Why the next big thing in fintech is not mobile payments
By Peng T. Ong
In October 2018, Grab raised US$200 million to expand its fintech offerings. That means it’s no longer just a ride-hailing service: it is now one of Southeast Asia’s largest non-bank financial firms, offering payments, microloans, and other services. In fact, it handles more than 1 billion financial transactions every year.
Grab is not the only one branching out into fintech. Other companies, including fellow Southeast Asian ride-hailing service Go-Jek and international ecommerce giants like Alibaba and Amazon, have moved into the space as well.
What’s the secret to fintech’s appeal? On one hand, there’s the vast numbers of unbanked people in the world, which represent a ready-made user base for innovative financial products.
Photo courtesy of Highways England.