APAC fintech funding slumps 52% as VC investment craters

Total fintech funding reached $19.4b across 1,675 deals in 2022 before sliding.

Financial technology (fintech) funding across the Asia-Pacific region (APAC) has continued to decline since its peak in 2022, with venture capital accounting for most of the decline, according to KPMG International.

Overall fintech funding investment value and deal numbers have fallen sharply over the past four years.

Total funding across venture capital (VC), private equity (PE) and mergers and acquisitions (M&A) reached $19.4b in 2022, covering 1,675 deals. 

By 2023, funding had dropped to $12.5b and deal count fell to 1,023. In 2024, total investment declined slightly further to $11.7b, although deal numbers remained largely unchanged at 1,028.

Year-to-date figures for 2025 show $9.3b invested across 763 deals. Compared with 2022, total funding has fallen by about 52%, whilst deal activity has also reduced significantly.

VC investment fell from $15.5b in 2022 to $11.3b in 2023, then to $9.0b in 2024. So far in 2025, VC funding stands at $7.5b. 

Deal numbers followed a similar pattern, dropping from 1,574 in 2022 to 934 in 2023. Activity remained almost flat in 2024 at 933 deals, before declining again to 672 in 2025 year-to-date.

Mergers and acquisitions have been more stable in terms of deal numbers. M&A transactions totalled 84 in 2022, 71 in 2023, 81 in 2024 and 82 so far in 2025. 

However, deal value has fluctuated. M&A investment stood at $3.5b in 2022, fell to $0.8b in 2023, rose to $2.5b in 2024 and is currently at $1.7b for 2025 year-to-date.

Private equity growth activity remains the smallest segment. 

PE deal value was $430.2m in 2022 and $439.6m in 2023. It declined to $303.5m in 2024 and to $101.8m in 2025 year-to-date. Deal count fell from 18 in 2023 to 14 in 2024 and to nine so far this year, a 50% drop from 2023.

The figures are based on KPMG International’s Pulse of Fintech H2’25 report, with data as of 31 December 2025.