ACV Fintech Report Q1 2023
Published on March 29, 2023
Indonesia’s Fintech Industry is Ready to Rise
AC Ventures and Boston Consulting Group have jointly released one of the single most comprehensive reports to date on Indonesia’s fast-growing fintech sector. Titled “Indonesia’s Fintech Industry is Ready to Rise,” the report charts the progress of financial technology in the country across multiple sub-verticals, starting from the inception of fintech startups and the local digital economy in 2011 up until 2022. Over the last decade, Indonesia has witnessed a 6-fold increase in the number of fintech players, with the count rising from 51 in 2011 to 334 in 2022. From humble beginnings, the fintech landscape in Indonesia is now diverse and dynamic, with lending, payments, and wealthtech becoming clear industries of the future. New players in segments such as software as a service and insurance are also emerging, indicating that fintech in Indonesia is maturing and moving toward more sophisticated products and services. Equity is targeted based on an operator’s or vertical’s maturity. Early-stage funding deals are receiving over 80% of the total invested capital. Funding from 2020 to 2022 reached US$5.4 billion, 2.7 times more than the period of 2017 to 2019.