FUNDING for financial technology (fintech) startups in Asean more than trebled to hit a record US$3.5 billion in the 9-month period in 2021 compared to full-year 2020, according to a report.
A report by UOB, PwC Singapore and the Singapore Fintech Association (SFA), titled FinTech in ASEAN 2021, released on Wednesday (Nov 10) showed that 167 deals, including 13 mega-rounds, or funding rounds of over US$100 million, accounted for US$2 billion or 57.1 per cent of total funding.
"The revival of investments in Asean's fintech industry has seen funding break through US$3.5 billion this year. Looking beyond this strong rebound, the opportunity to forge strong win-win-win partnerships between incumbent banks, fintech firms and ecosystem platform players and expanding across the region will remain instrumental in propelling the sustainable growth of ASEAN's fintech firms," said Janet Young, head of group channels and digitalisation, UOB.
Late-stage fintech companies, or Series C funding and beyond, garnered the most investor interest, securing 10 of 13 mega-rounds in 2021 so far. This signals a more cautious and risk-averse approach by investors to back mature firms that seem to stand a higher chance of emerging stronger post-Covid 19.
Date: 10 November 2021
Source: The Business Times (Singapore)
November 25, 2021