Short Description: Global fintech investment tops USD210 billion in 2021: Report
Global fintech investment tops USD210 billion in 2021: Report
Total global fintech funding (across mergers & acquisitions, private equity and venture capital) reached USD210 billion with a record 5,684 deals in 2021 -- up from USD125 billion across 3,674 deals in 2020, a new report showed on Tuesday.India once again shined on the global map, with four out of top 10 fintech deals in the Asia-Pacific region originating from the country.
"It demonstrates India's increasing influence in the fintech space. Advent of digital rupee will make this space more interesting as newer models evolve around neobanks, wealthtech and insurtech," said Sanjay Doshi, Partner and Head, Financial Services Advisory, KPMG in India.
According to the 'Pulse of Fintech H2'21', the fintech funding in the second half of last year accounted for USD101 billion.
The payments space saw USD51.7 billion in investment in 2021 - up from USD29.1 billion in 2020 and investment in blockchain and crypto space soared from USD5.5 billion in 2020 to USD30.2 billion in 2021.
A continued surge in interest in areas like 'buy now, pay later', embedded banking, and open banking aligned solutions has helped keep the payments space very robust, said the report.
Cybersecurity (USD4.85 billion) and wealthtech (USD1.62 billion) also saw record-levels of investment.
Cross-border fintech M&A deal value more than tripled year-over-year - to USD36.2 billion.
Total fintech-focused M&A deal value rose from USD76 billion in 2020 to USD83.1 billion in 2021.
"PE funding to fintechs more than doubled from its previous high - with USD12.2 billion in investment in 2021 compared to a peak of USD5.2 billion in 2018," the report noted.
VC investment in fintech globally more than doubled year-over-year -- from USD46 billion in 2020 to a record USD115 billion investment in 2021.
The US accounted for USD88 billion of total funding and USD52.7 billion in VC funding.
Fintech investment in the Asia-Pacific region almost doubled - from USD14.7 billion in 2020 to USD27.5 billion in 2021, said the KPMG report.
( Details and picture courtesy Gadgetsnow, the content is auto-generated from RSS feed.)
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