Consumer finance market growth rate to reach 7%

The scale of China's consumer finance market will amount to 25 trillion yuan ($3.5 trillion) by 2027, with annual growth rates reaching about 7 percent in the next five years, according to a report released by global consultancy Boston Consulting Group.

The report said the number of customers and penetration rate of China's consumer finance industry have reached a plateau, while the increase in credit scale of existing clients will become a driving force bolstering the development of this sector.

Tammy Tan, managing director and partner of BCG, said consumer finance not only involves in a category of product, but also covers a complete business system, including marketing, product, risk control, operation and organization, adding that the systematic construction of entire business models is the top priority.

Consumer finance institutions should take differentiated strategies targeting different groups of clients; strengthening systematic, automatic and digitalized risk control capacities; as well as attract younger consumers, the report added.