COVID 19 Crisis Creating Opportunity in Credit Market
As Coronavirus hit the world in 2020, whilst some countries took a slow approach to comprehend & dealing with the situation, UAE was one of the very few countries taking pivotal steps to minimize both health & economic risks in the country. However, as the global oil demand decreased drastically, the plunging oil prices impacted the UAE economy greatly. Therefore in order to combat the dual shocks (COVID & Oil Prices), CBUAE devised “Targeted Economic Support Scheme (TESS)” with the aim of providing relaxations in the form of 3 elements i.e. Bank’s reserve requirements for DD reduced by 50%, AED 50 Bn fund provided to banks via 0% interest collateralized loans & abiding by Central Banks suggested customer support measures in the form of reduced fees/compliance.
How pandemic is working in favor of Retail Loans?
On the credit supply side, decreased reserve requirements & buffer fund provisions are expected to encourage banks to lend more freely as compared to previously limited loan disbursals. Whereas on the demand side, the capping & relaxation on fees & charges (especially credit cards) is expected to increase retail loan demand with a rate of ~4% in the year 2020. The demand will further be supplemented as consumers suffering from pay cuts/job loss will resort to credit cards/personal loans to fulfill their daily utility expenses. SMEs contributing ~40% to GDP are one of the most impacted entities post-pandemic. With almost zero revenue generation during the lockdown phase, small enterprises are expected to rely on credit as they resume their operations thereby increasing SME loans by 15-20% in 2020.
A blessing in Disguise for Online Aggregators
The lockdown around the world taught industries the importance of online presence. This has created a huge opportunity for loan aggregators who work on the online operating model. Owing to health safety concerns, consumers now prefer minimal movement. Therefore, a significant shift in the consumer behavior can be seen with a growing preference for contact fewer services. As a typical loan involves multiply hidden and nonhidden charges, consumers approach online aggregators for price comparison & comprehensive analysis across multiple loan options. Analyzing the changing trends Ken Research forecasts the number of leads generated to grow at a whopping M-o-M level of 7%. However, with high growth during 2020, one can expect saturation in terms of loan demand (as loans from 2020 continue) thereby normalizing lead generation graph.
Analysts recommend, taking advantage of the scenario, key players to strengthen their technological landscapes by incorporating Artificial Intelligence, Machine Learning & Predictive Modeling to provide a customized advisory solution, match customer’s needs & choices and overall customer segmentation. Given the online aggregator’s highly scalable model and loan demand expected to rise worldwide, players can also, consider expanding geographically initially to GCC countries.
Companies Covered: -
YallaCompare
Souqalmal
BankOnUs
Policy Bazaar UAE
SoulWallet
UAE Cash Loans
Time Period Captured in the Report: -
Historical Period: 2015–2019
Forecast Period: 2020-2024
Key Topics Covered in the Report: -
UAE Online Loans Market
UAE Online Loans Industry
UAE Online Loans Market Major Players
COVID 19 Impact on UAE Loan Industry
UAE Retail Loan Industry Analysis
Online Brokers vs Online Aggregators UAE
Online Brokers in UAE
Commission Rate Online Aggregators UAE
Credit Outstanding in the UAE in AED
UAE Retail Loans Market Share
Impact of COVID 19 on UAE Loan Industry
UAE Online Aggregator Services Market
YallaCompare Credit Cards Online Revenue
For More Information on the assess product portfolio, Click on the Below Link: –
Related Reports by Ken Research: –
India Online Loans Market Outlook to 2019 - Industry Transformation by the Advent of Web Aggregators
Contact Us: –
Ken Research
Ankur Gupta, Head Marketing & Communications
+91-9015378249
( IFSCapitalloan@gmail.com ) Is Offering Its Global Fund Program, Where Loans Are Offered To Interested Clients Globally To Fund Profitable Business And Projects. Interested Parties Should Contact Us For More Information Through Email: IFSCapitalloan@gmail.com
ReplyDelete( IFSCapitalloan@gmail.com ) Are The Solution To Your Financial Problem ( IFSCapitalloan@gmail.com ) Has Set Itself The Mission Of Promoting Short, Medium And Long-Term Loan Financing With Us To ( IFSCapitalloan@gmail.com ) Borrow Flexibly! Our Program Are Financial Institutions To Fund Private Capital, Private Equity, Project Funding, Real Estate, Business & Entertainment Funding, Venture Capital, Hedge Funds, And Others. Interested Parties Should Contact Us For More Information Through Email: IFSCapitalloan@gmail.com
If You Are Seeking A Loan For The Development Of Expansion Of Your Business, Innovative Products, Processes Or Even Technical Services; ( IFSCapitalloan@gmail.com ) Has Professional Finance Programs That Will Provide You With The Chance To Gain A Competitive Edge Over The Competition And Pave The Way For The Positive Growth Of Your Company. Interested Parties Should Contact Us For More Information Through Email: IFSCapitalloan@gmail.com
Dear sir,
ReplyDeleteI am a direct Mandate to a genuinely renowned Investment Finance Company offering Cash & Asset Backed Financial Instruments on Lease and Sale at the best rates and with the most feasible procedures.
Instruments offered can be put in all forms of trade and can be monetized or discounted for direct funding. For Inquiry contact.
Email: longmornprojectfinances@gmail.com
Skype: longmornprojectfinance@hotmail.com
Whatsapp: +1(661)262-9225
Warm Regards
Simon Federman.
Hello to Everyone, this is a Testimony on how i got my loan, i have been scammed by so many company's who has claimed to be real Lenders, but all my effort was in vain, i have lost over €4200 to fake lenders whom claim to be what they are not. Until my friend introduced me to the right lender which i contacted and i got my loan successfully from them within just 48hrs, I will advise anyone seeking loan to contact them without any fear via email: mobilfunding1999@gmail.com or WhatsApp:+12342411827 and get your loan Asap.
ReplyDelete