APAC and MEA Finance and Accounting Managed Services Industry Market, by End User (Manufacturing, IT & Telecom, Retail & E-commerce, BFSI, Healthcare, and Others), and by Region (Asia Pacific and Middle East and Africa) - APAC and MEA Forecast to 2025, is expected to be valued at US$ 1,059.35 million by 2025, exhibiting a CAGR of 7.0% during the forecast period (2020-2025), as highlighted in a report published by Coherent Market Insights.
Overview
The finance and accounting services are comprise of several activities which are used in businesses to comply with local, state, and federal regulations. The major finance and accounting services include bookkeeping services, financial reporting, and statutory reporting. Finance and accounting managed services refer to outsource the related service to a third party service provider instead of hiring in-house team. By adopting managed services, the companies transfer a higher degree of control to a third party service provider.
APAC and MEA finance and accounting managed services industry market was accounted for US$ 879.72 Mn in terms of value in 2019 and is expected to grow at CAGR of 7.0% for the period 2020-2025.
Market Dynamics
The companies involved in finance and accounting managed services are inclining towards outsourcing their finance and accounting services to third parties instead of hiring in-house team owing to cost efficiency offered by managed service providers. As per Coherent Market Insight’s analysis, the cost associated with hiring in-house accountant such as recurring process, employees’ salaries, etc. is comparatively higher than outsourcing financial and accounting services to third party managed service providers. Moreover, according to the Coherent Market Insight’s analysis, over 60% operational cost can be reduced by outsourcing finance and accounting managed services. Moreover, the organization has the benefit to focus on their core competency if they outsource their complex accounting tasks to a third party service provider which leads to enhanced productivity and operational efficiency.
Several India-based finance accounting and managed service providers are planning to outsource their services to the UAE in the coming years. The managed service providers are planning to outsource some of their business process such as finance and accounting, and IT services.
For instance, in 2020, several organizations are focusing on outsourcing of few business processes to Saudi Arabia, to streamline their business process. Outsourcing was initiated by the banking and financial sector in the Saudi Arabia, and it is expected to increase over the forecast period.
APAC and MEA Finance and Accounting Managed Services Industry Market - Impact of Coronavirus (Covid-19) Pandemic
The COVID-19 pandemic has poise a significant impact on finance and accounting managed services industry market. The pandemic led to temporarily shutdown of businesses, which has impacted the overall revenue significantly. The organizations are planning to cut down the operation cost which is encouraging them to adopt managed services for their finance and accounting services. This has poised a positive impact on the market growth.
To know the latest trends and insights prevalent in APAC and MEA Finance and Accounting Managed Services Industry Market, click the link below:
Browse 150 market data tables* and 90 figures* on “APAC and MEA Finance and Accounting Managed Services Industry Market” - APAC and MEA forecast to 2025
Key Trends and Analysis of the APAC and MEA Finance and Accounting Managed Services Industry Market:
- Several U.S. and Europe-based companies are outsourcing their services to Singapore due to the availability of large educated population, and majority of them are highly proficient in the English language. Moreover, the Singapore government has invested a significant amount in the development of IT infrastructure in the country. For instance, according to Industrial Trade Administration, in 2020 Singapore Government is expected to invest US$ 2.5 billion in ICT infrastructure.
- Singapore based small and medium companies involved in finance and accounting managed services are expected to witness significant growth, owing to competitive price offerings as compared to large vendors. For instance, according to the primary analysis, EY Singapore is charging US$ 5,000 to US$ 5,400 per month for 200 transactions, while TMF is charging 800 – 1,200 US$ per month for 200 transactions, for accounting and bookkeeping services in Singapore.
- Several Australia-based organizations are choosing India as their preferred destination for outsourcing their accounting and bookkeeping managed services, due to several advantages such as lower labor cost as compared to Australia, availability of talented and skilled resources in India. Moreover, managed bookkeeping service providers in India are well versed with International Financial Reporting Standards (IFRS).
Competitive Section
Major companies operating in the APAC and MEA finance and accounting managed services industry market include: Baker Tilly, BDO, CROWE, Deloitte, Ernst & Young APAC and MEA Limited, Grant Thornton, KPMG, Mazars, PWC, RSM International, and TMF Group.
Segmentation
Market Taxonomy:
- By End User
- Manufacturing
- IT & Telecom
- Retail & E-commerce
- BFSI
- Healthcare
- Others
- By Region
- APAC
- Singapore
- Japan
- Australia
- Malaysia
- Hong Kong
- Thailand
- Vietnam
- MEA
- UAE
- Saudi Arabia
- APAC
