Southeast Asia Fintech Funding Falls 25% in H1 2024

Total funding for Southeast Asian (SEA) Fintech startups dropped 25% to $899 million in the first half of 2024 from $1.2 billion in the same period last year, according to a report released by Tracxn.

The global SaaS-based market intelligence platform’s “Geo Semi-Annual Report: SEA Fintech H1 2024” also highlighted a 31% decline from the $1.3 billion raised in the second half of 2023.

The SEA fintech ecosystem, which experienced its highest half-yearly funding in H2 2021, has seen a significant decline since then.

Tracxn attributed the funding downturn to prevailing macroeconomic conditions and geopolitical issues, marking the first half of 2024 as the least funded half-year in the past three years.

The report pointed out that declines in seed and late-stage investments were primary drivers of the downward trend.

Late-stage investments plummeted 47% to $338 million in H1 2024 from $632 million in H1 2023. Seed-stage investments saw a sharper decline, falling 53% to $42.5 million from $90 million in the same period last year.

However, early-stage funding rose 17% to $519 million in H1 2024 from $443 million in H1 2023.

Notably, only two funding rounds exceeded $100 million in H1 2024, compared to four in both H1 2023 and H2 2023. ANEXT Bank raised $148 million in a Series D round, and GuildFi secured $140 million in a Series A round.

Despite the overall decline, certain segments performed well. The investment tech segment saw a remarkable 666% surge in funding, securing $216 million in H1 2024 compared to $28.2 million in H1 2023.

The alternative lending segment, however, experienced a 59% drop, raising $206 million compared to $502 million in H1 2023. Banking tech companies raised $186 million, up 59% from $117 million in the same period last year.

The report noted that no SEA fintech companies went public in the first half of 2024. However, acquisitions increased, with 16 deals in H1 2024, up from 11 in H1 2023 and 13 in H2 2023.

Singapore led the sector in funding, accounting for over half of the total investments. Fintech companies based in Singapore raised $518 million in H1 2024, while those in Bangkok and Jakarta raised $140 million and $128 million, respectively.

East Ventures, Y Combinator, and 500 Global emerged as the all-time top investors in SEA fintech. Antler, Hashed, and AppWorks led seed-stage investments in H1 2024, while MassMutual Ventures, Illuminate Financial, and Nyca Partners dominated early-stage funding. MUFG Innovation Partners and NewView Capital were the top investors in late-stage rounds.

“Despite certain challenges, significant optimism exists for this region’s long-term growth,” Tracxn stated. It added:

Factors such as the young population, large consumer base, reliance on informal financial and commercial systems, and government initiatives are expected to accelerate growth in this region.


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