Overview
The fintech funding winter has been ongoing for almost a year now. While there are arguments on shortage of funds, investors being selective and similar business models amongst fintechs, the greater questions remain, what further impact will this have on the sector, and economy at large and if it will push for more M&A deals.
Global private markets fundraising totaled $1.2 trillion in 2022, matching the prepandemic high achieved in 2019. However, fundraising fell 11.4 percent from its $1.4 trillion record haul in 2021 (Exhibit 1). Still, 2022’s total is the third highest on record, revealed a latest report by McKinsey.