Core Banking Software Market is Estimated to Hit the Market at USD 64.96 Billion By 2032 with a CAGR of 18.6% over 2025 to 2032; Increasing Demand for Digital Transformation Accelerated the Market Growth

The global core banking software market size was valued at USD 16.79 billion in the year 2024. The market is projected to grow from USD 19.67 billion in 2025 to USD 64.96 billion by 2032, growing at a CAGR of 18.6% during the forecast period. Fortune Business Insights™ presents this information in its report titled “Core Banking Software Market Size, Share & Industry Analysis, By Deployment (SaaS/Hosted and Licensed), By Banking Type (Large Banks (Greater than USD 30 billion in Assets), Midsize Banks (USD 10 billion to USD 30 billion in Assets), Small Banks (USD 5 billion to USD10 billion in Assets), Community Banks (Less than USD 5 billion in Assets), and Credit Unions), By End User (Retail Banking, Treasury, Corporate Banking, and Wealth Management), and Regional Forecast, 2025 – 2032”

Core banking software serves as a centralized system enabling banks to manage various banking activities, including transactions, payments, and financial records, in real-time. The increasing investments in financial technologies and the need for efficient customer account management are key factors propelling the market growth.

The COVID-19 pandemic has accelerated the adoption of digital banking solutions as financial institutions adapted to remote operations and changing customer behaviors. This shift has underscored the importance of robust core banking systems capable of supporting digital transactions and remote banking services, thereby positively influencing the market.

Rising Demand of Virtual Assistants and AI Chatbot Leads to the Development of the Market

Generative AI’s hyper-personalization feature enhances the prominent work in the banking sector by analyzing customer data, which offers recommendations, tailored products, and financial advice. These AI chatbots and virtual assistants handle the customer queries, provide real-time support, and improve customer satisfaction with an advanced update in the software.

Fiserv Inc. Extended its Partnership with COCC to Drive Extensive Innovation Growth

In December 2024, Fiserv, Inc. expanded its relationship with COCC, a customer-owned fintech company serving more than 200 credit unions. The partnership provides digital banking solutions powered by Fiserv’s Experience Digital (XD), paving the way for continued innovation to transform the standard of financial services.

Rising Need for Cloud-Based Solutions to Surge Market Growth in the Banking Sector

One of the key factors fueling core banking software market growth is the rising adoption of SaaS-based and cloud-enabling banking platforms. Leading software providers, including Finastra, FIS Global, and Temenos AG, offer these advanced platforms, allowing banking institutions to efficiently manage transactions, payments, and other financial operations in real-time.

However, data security remains a critical concern for banking executives as financial institutions face escalating cyber threats. Banks and financial service providers continue to get caught up with cyberattacks and data breaches, which is a high-level risk in the core banking software market despite having cutting-edge digital platforms.

Presence of Key Players Focusing on Innovation and Partnership to Fuel Market Dynamics

The core banking software market includes Edgeverve Systems Limited, Temenos Headquarters SA, Oracle Corporation, and Fidelity National Information Services as the prominent players. Other market players such as Fiserv Inc. and Stats Perform are delivering collaborations and acquisitions to expand core banking software market share. Partnerships and collaborations change along with the requirements on different types of business.

Key Players Profiled in the Report

• Edgeverve Systems Limited (Infosys) (India)
• Temenos Headquarters SA (Switzerland)
• Oracle Corporation (U.S.)
• Fidelity National Information Services (U.S.)
• Tata Consultancy Services Limited (India)
• Fiserv, Inc. (U.S.)
• Intellect Design Arena Ltd (India)
• Finastra International Limited (U.K.)
• Mambu GmbH (Germany)
• 10x Banking Technology Limited (U.K.)
• SDK.finance (Ukraine)
• Backbase (Netherlands)
• nCino (U.S.)
• SAP SE (Germany)
• CGI (Canada)
• Alkami Technology (U.S.)
• Jack Henry & Associates (U.S.)
• DeshDevs (U.K.)
• Securepaymentz (U.S.)
• Sopra Banking Software (France)
• …and more

To get a detailed report summary and research scope of this market, click here:

https://www.fortunebusinessinsights.com/core-banking-software-market-104392

Key Industry Development

• October 2023: Fiserv Inc. has enhanced its core banking platform to improve flexibility, infrastructure stability, and scalability to foster innovation and growth for credit union customers. Fiserv's Portico is part of a cloud-based Fiserv platform that enables credit unions to operate more efficiently while meeting the needs of members.

Further Report Findings:

• By banking type, large banks captured the largest market share of 32% in 2024, due to stringent adherence to varied regulatory necessities across the European Union. These banks are able to handle millions of transactions per day, thus, placement of a central banking system plays an important role in fueling the market growth.
• The market in North America is leading the banking software market, owing to investments done by government banks, and financial institutions. Prominent market players are developing advanced core banking software solutions which offer services across the globe.
•  Europe is expected to hold a significant share of the core banking software market due to increasing usage of cloud services, rise in the data generation in the banking sector, and majority of the public opting for advanced versions of banking applications.
• The Asia Pacific region’s market is anticipated to grow with the highest CAGR during the forecast period. Advancement of operational efficiency, regulatory compliance, and customer experience are constantly being updated in this region by the governments and banks.

Table of Segmentation