Dear reader,
In the first half of 2024, fintech funding in Southeast Asia experienced a significant decline, reaching its lowest point in three years, according to a Tracxn report.
Total funding dropped to US$899 million, marking a 25% decrease from H1 2023. This decline was primarily attributed to macroeconomic and geopolitical challenges, resulting in a sharp decrease in seed and late-stage investments. Late-stage funding plummeted by 47%, while seed-stage investments fell by 53%.
Despite the overall decrease in funding, early-stage funding saw a 17% increase, indicating sustained investor interest in emerging ventures. Notably, investment tech funding surged by 666%, raising US$216 million, and banking tech funding grew by 59%.
Singapore remained the dominant hub, attracting over half of the total investments. While there were no fintech IPOs, the number of acquisitions increased to 16, reflecting ongoing industry consolidation.
Key investors such as East Ventures and Y Combinator continued to play a critical role in the ecosystem.
Looking forward, the region’s young population, extensive consumer base, and supportive government initiatives are expected to drive long-term fintech growth despite the current setbacks.
Sainul,
Editor.
—
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The post Ecosystem Roundup: Fintech investments down in H1 2024 | Ninja Van slashes more jobs | Koo is shutting down appeared first on e27.