Investment in Singaporean Fintech Surges More Than 200%
Total investments into Asian fintech may have dipped quarter-on-quarter, but over in the Lion City, things couldn’t be more different.
The Straits Times, citing a report by KPMG, says that investments into Singapore-based fintech companies have more than tripled in the second quarter of the year. Q2’s number came in at a solid $61.5 million, even though it registered only four deals versus the previous quarter’s seven. The Monetary Authority of Singapore’s moves to attract more companies into the former colony were reportedly the main drivers behind the climb:
In the second quarter, MAS began to shift its focus from education and innovation to promoting technology adoption and attracting companies to launch offerings in Singapore, it added.
“Over the longer term, MAS hopes to see more fintechs using Singapore as a base to pilot and then deploy solutions to other countries within South-east Asia, such as Indonesia and Thailand,” said Mr Chia Tek Yew, the head of financial services advisory at KPMG Singapore.
“The success of these cross-border solutions could prove the viability of using Singapore as a springboard for Asia-based expansion.”
Payments and lending were among the choice sectors in Asia, though blockchain technologies – a perennial favorite – seemed to have received a little more love, with KPMG’s Chia noting “a major push to transform Singapore into the world’s blockchain leader.”
Globally, fintech investments more than doubled to $8.4 billion in the second quarter. KPMG notes that this was mostly due to M&A however, as fintech venture funding seemed to have dipped to $2.5 billion versus the quarter before.
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