Making the most of fintech’s boom

Why fintech is set to be one of the hottest event topics this year.

Fintech is booming in particular within Asia, according to an Ernst & Young report.
Fintech is booming in particular within Asia, according to an Ernst & Young report. Photo Credit: gettyimages/Melpomenem

During the pandemic, digital services across every sector boomed and fintech is no exception. Electronic wallets are proving particularly popular, in line with growth in e-commerce, while a younger, tech-savvy generation is choosing digital banking over more traditional providers.

According to a report from Ernst & Young, fintech is booming in particular within Asia, with several factors buoying the market. A report from Ernst & Young, the ‘EY Global FinTech Adoption Index’, released in July last year and which covers 27 markets, points to how Asia is retaining its global leadership in fintech adoption. Over the past two years, it says adoption of fintech tools across the region has skyrocketed among consumers and small businesses, particularly in China, India and the financial hubs, with 87% of Chinese respondents in its survey now using one or more fintech services.

Ernst & Young expects Asia to keep ahead of other markets, pointing to ‘a new openness to innovation by regulators; the advent of virtual banks; the growth of the API [application programming interface] ecosystem; and the entrance of new competitors backed by Chinese financial and technology giants’.

A view from global financial services group Macquarie, entitled ‘Delivering digital financial inclusion in Southeast Asia’, also highlights how many people within the region ‘remain unbanked, with no access to financial products [...] or are underbanked – lacking access to anything other than a bank account’. This, says Macquarie, provides the ideal backdrop for providers of digital financial services to step in and supplement established banking systems’ services.

With this demand in mind, fintech events are thriving and are likely to feature on many event agendas this year. The Fintech Asia Summit, taking place this week online, is covering areas such as payment gateways, artificial intelligence, compliance and cyber security, while Asia Fintech 2022, also online and on 9 May, focuses on promoting business opportunities and discussing the latest trends.

The co-located FinTech and PayTech Connect Asia event, from 11-13 October at Raffles City Convention Centre in Singapore focuses on fintech innovation, while the Singapore Fintech Festival will be held from 7-11 November.