Investment pouring into Chinese fintechs
Accenture report shows total investment in Asia-Pacific hits US$10.5bn in the first nine months of 2016, compared with US$6bn in the United States
Investment in Chinese financial technology companies (fintech) pushed total investment in Asia-Pacific to US$10.5 billion in the first three quarters of 2016, dwarfing a total US$6 billion of similar investments in the United States, according to Accenture.
Massive investments into fintech companies in Asia-Pacific, including a US$4.5 billion round of private equity financing by Alibaba Group Holding affiliate Ant Financial Services in April, catapulted the region well ahead of Europe, which attracted US$2 billion in the same period, Accenture analysis of CBI Insights data found.
Alibaba Group owns the South China Morning Post.
The latest investment figures come as the eight participants of Accenture’s latest Fintech Innovation Lab Asia-Pacific batch demonstrated their technology to investors in Hong Kong on Wednesday.
“We are increasingly seeing a willingness from financial institutions in the region to work with fintech startups to help address new challenges ranging from how best to adopt blockchain technology to how to maximise IT efficiency,” said Jon Allaway, senior managing director, Financial Services at Accenture.
Ant Financial this week took the top spot in KPMG’s Fintech100 list alongside fellow Chinese companies micro loans company Qudian, peer-to-peer lender Lufax and internet insurance company Zhongan in the top five. A total of 24 companies represented the Asia-Pacific region on the list.
