10 November 2021 – Financial technology (fintech) funding in ASEAN rebounded strongly in 2021, up more than three times in the first nine months of 2021 compared with full year 2020 to an historic high of $3.5 billion. According to the FinTech in ASEAN 2021 report by UOB, PwC Singapore and the Singapore FinTech Association, the rebound in fintech funding was driven by 167 deals including 13 mega-rounds, which accounted for $2 billion of the total funding. Most investors showed strong interest in late-stage fintech firms, which secured 10 out of 13 mega-rounds this year. This trend signals a shift in the strategy of investors across several ASEAN markets as they take a more cautious and risk-adverse approach of backing mature firms that are seen as standing a higher chance of emerging stronger from the pandemic. Given the growing adoption of digital payments in ASEAN, investors placed their confidence in, and injected the highest amount of funds into, late-stage fintech firms from the payments sector.
Re-disseminated by The Asian Banker from UOB