The Asean FinTech Census 2018 study by Ernst & Young show 73% of fintech firms in Malaysia are planning to expand beyond current markets they focus.
The study also conducted a survey on 170 Southeast Asia-headquartered fintechs across 16 key sub sectors, which include payments, blockchain, money transfer, data analytics and robo advisory, reported New Straits Times.
Partner and Malaysia Financial Services Banking & Capital Markets Advisory Leader at Ernst & Young Advisory Services Sdn Bhd Shankar Kannabiran, said: “In line with this, continuous dialogue with ecosystem players and the drive to push policy momentum further to ensure our financial markets remain competitive and secure are key.”
“Venture capitalists and banks are often the first port of call for fund-seekers, although most will not take on the credit risk of companies with a track record of less than three years.
“That said, there are many incubator and accelerator programs, and even government channels that FinTech firms can leverage for seed funding.”
19% of fintechs in Malaysia are content that there is full support from the government in terms of funding, 50% of respondents say there is medium to moderate levels of funding support, and 27% believe there is low support.