1 Billion People, Trillions in Growth: LATAM & SEA Lead Digital Finance Revolution
- Editor
- 5 days ago
- 2 min read
Whats Happening:
A new study by Valor Capital Group and Credit Saison highlights a massive $1.67 trillion financing gap for SMEs and MSMEs in Latin America and Southeast Asia. The report calls for increased investments in digital finance, cross-border collaboration, and blockchain to unlock the full potential of these regions, which are home to over one billion people and are emerging as global economic powerhouses.
Key Moves:
Study reveals $1.67 trillion financing gap for SMEs in LATAM and SEA
Report calls for investments in digital finance, cross-border collaboration, and blockchain
Regions face financial inefficiencies and regulatory barriers despite growth potential
By The Numbers:
87% of SME financing needs in Latin America remain unmet, resulting in a $1.4 trillion gap
51% of MSMEs in Southeast Asia face difficulties accessing financial services, creating a $272 billion deficit
Remittance fees in both regions average 6.1%, costing consumers $7 billion annually
Key Quotes:
"Latin America and Southeast Asia are no longer just emerging markets; they are defining the future of digital finance, trade, and economic collaboration," says Bruno Batavia, Director of Emerging Tech at Valor Capital.
"This report serves as a critical blueprint for stakeholders seeking to harness the immense potential these regions offer," said Qin En Looi, Partner at Saison Capital.
"In Brazil, although we lead in fintech innovation, we have one of the world's most complex currency exchange systems," explains Bruno Batavia, Director of Emerging Tech at Valor Capital.
Bottom Line:
Latin America and Southeast Asia are poised for significant economic growth, driven by digital finance and cross-border collaboration. However, addressing the $1.67 trillion financing gap for SMEs and MSMEs is crucial. Investments in fintech, regulatory modernization, and blockchain technology could unlock these regions' full potential and reshape global trade and finance.
Comments