Singapore’s fintech scene bucked the global downtrend in H1 2025, pulling in ~US$1.04 billion across 90 deals—an 87% YoY jump and the strongest half since H1 2023—according to KPMG’s Pulse of Fintech H1’25. The rebound came even as global fintech investment fell to US$44.7b (2,216 deals), the weakest six-month tally since 2020.
What’s driving the rebound
Payments led value (~US$475m), anchored by a mega cross-border infrastructure round—evidence that investors still back rails enabling faster, cheaper regional commerce.
Digital assets logged the most deals (48) and ~US$254m in value, pointing to steady institutionalisation under Singapore’s clearer rulebook.
AI in fintech reached ~US$234m across 22 deals, focused on risk, fraud, and productivity gains rather than headline demos.
The macro backdrop
Asia-Pacific overall was soft—ASPAC funding fell to ~US$4.3b (363 deals)—but Singapore outperformed on the back of regulatory clarity (PSA/DPT, stablecoin framework), deep banking rails, and its role as a cross-border hub.
Why this matters for founders and SMEs
Cross-border money movement and merchant acceptance remain investable themes—especially if you show compliance-by-design and measurable cost savings.
AI that cuts unit costs (KYC, fraud, ops) is getting funded; tools that only add complexity aren’t.
With global checks tighter, expect fewer, larger, more strategic rounds—strong governance and clear regulatory scope are now non-negotiable.
Quick takeaways if you’re building in Singapore
Map your model to the Payment Services Act (SPI/MPI) and, where relevant, DPT obligations (custody/segregation, Travel Rule).
For stablecoin use or issuance, align to MAS’ reserve/redemption/disclosure framework.
Keep a tight compliance narrative in your data room: safeguarding mechanics, vendor stack, incident playbooks, and board oversight. (Investors are asking earlier and deeper.)
Bottom line: Despite global fragmentation and tariff headwinds, capital is still flowing to Singapore fintechs building infrastructure, compliance-ready digital assets, and AI that improves economics. The bar is higher—but the door is open.
Need an entity for AI business, banking, and a clean compliance path? We’ll map it end-to-end.
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