Canadian Fintech Investments fell sharply in the first half of 2022
KPMG, a leading global professional services firm, released its Canadian fintech report yesterday, highlighting a significant drop in total investment during the first half of 2022 (H1 2022). According to the report, companies working in Canada’s fintech ecosystem attracted investments worth $810 million across 85 deals in the first half of 2022.
KPMG noted that over a third of deals in the aforementioned period occurred in the crypto space despite challenging market conditions. Across 85 deals, 69 were venture capital deals with a total value of more than $776 million. Within the fintech area, 8 agreements took place in the payments sector.
“The innovation coming out of Canada’s fintech space and the digital opportunity it brings to the financial services ecosystem makes Canada an attractive location for fintech investment, and I believe we will continue to see growth in areas such as payments, reg tech and crypto, despite the upheaval in the cryptoasset space and broader technology sector, says Rajeev Shankar, Partner Finance Transformation & Financial Services at KPMG in Canada.
In the first half of 2021, Canadian fintech companies attracted a record investment of $5.4 billion.
Global Fintech
While global financial markets struggled in the first half of 2022 amid rising inflation and uncertain economic conditions, the international fintech sector remained resilient. Overall, global fintech investments reached $107.8 billion in H1 2022, compared to $111 billion in H2 2021.
“We’re also seeing investment in fintech companies based in places like Charlottetown, Medicine Hat and Quebec City, so that tells me that Canada’s fintech ecosystem will continue to evolve and diversify, both in terms of the types of fintech that are emerging, the services that offerings and even where they thrive,” Shankar added in the report.
Last month, fintech firm Tamara secured $100 million in its Series B funding round.
KPMG, a leading global professional services firm, released its Canadian fintech report yesterday, highlighting a significant drop in total investment during the first half of 2022 (H1 2022). According to the report, companies working in Canada’s fintech ecosystem attracted investments worth $810 million across 85 deals in the first half of 2022.
KPMG noted that over a third of deals in the aforementioned period occurred in the crypto space despite challenging market conditions. Across 85 deals, 69 were venture capital deals with a total value of more than $776 million. Within the fintech area, 8 agreements took place in the payments sector.
“The innovation coming out of Canada’s fintech space and the digital opportunity it brings to the financial services ecosystem makes Canada an attractive location for fintech investment, and I believe we will continue to see growth in areas such as payments, reg tech and crypto, despite the upheaval in the cryptoasset space and broader technology sector, says Rajeev Shankar, Partner Finance Transformation & Financial Services at KPMG in Canada.
In the first half of 2021, Canadian fintech companies attracted a record investment of $5.4 billion.
Global Fintech
While global financial markets struggled in the first half of 2022 amid rising inflation and uncertain economic conditions, the international fintech sector remained resilient. Overall, global fintech investments reached $107.8 billion in H1 2022, compared to $111 billion in H2 2021.
“We’re also seeing investment in fintech companies based in places like Charlottetown, Medicine Hat and Quebec City, so that tells me that Canada’s fintech ecosystem will continue to evolve and diversify, both in terms of the types of fintech that are emerging, the services that offerings and even where they thrive,” Shankar added in the report.
Last month, fintech firm Tamara secured $100 million in its Series B funding round.
