The global digital payments market will reach $132.5 billion by 2025, based on a compound annual growth rate of 17.6% over the next six years, according to a report by Grand View Research Inc.

The growth is based on the rising penetration of smartphones around the world and the entry of large non-bank companies like Alibaba and Amazon into the payments space. 

Several key developments are included in the report:

• Demand for immediate monetary transactions is helping to drive digital payments growth.
• Processing electronic transactions in the cloud is more secure than transactions on premises.
• Electronic payments can help speed SME growth by delivering better customer experience, reducing transaction costs and other enhancements. 
• Various banks and financial institutions are transforming their operations to digital. 
• Asia Pacific is registering the highest growth rate, based on increased demand for electronic transactions in China and India.

In addition to the key drivers above, the report cites several key players in the digital payments space, including: Ayden, N.V., ACI Worldwide Inc., PayPal Holdings Inc., Novetti Group Ltd., Global Payments Inc., Wirecard AG and Total System Services Inc.