Sydney, Australia’s most well-known city, is not only a popular tourist destination for backpackers and Europeans – it has also earned itself the title of “Australia’s Fintech Hub”.
In recent years, Sydney has taken the lead in both Australia’s Fintech and startup scenes, with many fresh-faced companies making significant waves in recent years at home and abroad.
So what is happening down under, that’s resulting in such growth in the Fintech space? And why is it centred mostly in Sydney?
Here are some fun facts about this exciting startup ecosystem, which is currently boasting a major Fintech focus…
Fun facts from Australia’s Fintech scene:
- 629 fintechs are said to be active in Australia, with around 60% based in Sydney.
- Investment in the Australian Fintech sector has followed a trend globally, with $101M investment activity recorded in the first half of 2019, according to the most recent KPMG Pulse of Fintech report.
- Sydney is one of the top cities for economic opportunity, despite being a rather expensive destination, due to its growth-prone business environment. See also why Sydney is great for startups.
- Sydney is Australia’s financial capital, with a $60 billion financial services industry.
- It hosts the first dedicated space for Fintech entrepreneurs, Tyro Fintech Hub.
- According to Australian Fintech, Sydney is home to over half of Australia’s fintech companies – with competition now rising in the thriving fintech scene in Melbourne in recent years.
- It’s ranked 5th in the world in a global assessment of Fintech hubs – and although London is seen as the global leader, there is an opportunity for Sydney to become the Fintech hub of Asia.
- Australian fintech investment has remained strong with $US675 million invested in the Fintech sector in 2016, compared to $US53 million in 2012.
- Sydney is the only Australian city to rank in the top 20 globally in the Startup Genome’s 2017 report, with NSW home to almost two-thirds of Australia’s Fintech companies.
- The Finnie Awards, supported by the NSW Government, recognises emerging tech and talent, as well as excellence in wealth management, payments, consumer lending, crowdfunding and more.
Australia has the potential to lead the world in areas of fintech innovations such as payments, regtech and blockchain. Government policy, support and vision has played a critical role in the growth of fintech, especially in regards to the ongoing development of the regulatory environment and development of skills and talent attraction.
We recently sat down with Lukas Bower, Managing Director of Industrie&Co — a high-growth fintech consultancy based in Sydney, with offices across the Asia Pacific — to learn more about this rising boost of the fintech scene in Sydney, more broadly in Australia, and even across the shore to New Zealand.
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