January 10, 2023
A revolution in finance is changing the way Kiwis live, work and pay and it’s happening fast.
The litmus test of how rapidly fintech is changing will be judged at the FinTechNZ hui taumata event in Auckland on February 28.
The summit brings together the brightest minds in the fintech sector to offer global thought leadership and insight in order to build understanding, capability and capacity to export.
The tech sector has become New Zealand’s second biggest export earner and fintech is the second largest tech sub-sector by revenue.
Kiwi fintech firms generate $2.14 billion in export revenues. FinTechNZ executive director Jason Roberts says fintech firms in Aotearoa are gearing up this year for a full return to business as usual after covid lockdowns.
“Post-covid NZ companies are assessing markets and destinations, such as the growth and proximity of Asia markets. The new UK free trade agreement is significant as well,” Roberts says.
“Tech is changing the way the finance industry operates and delivers services. The market is undergoing a major shift leveraging cutting-edge and trail blazing fintech. Tech advancement has majorly driven the growth of fintech across the globe.
“Despite some relatively significant changes in the top-end venture capital market and the correction back to pre-pandemic levels for unicorn tech companies, Aotearoa is yet to see the impact in investment in fintechs flow through.
“This is probably a reflection of Kiwi investor sentiment reflecting a more balanced approach and less hype and the need for proof of revenue once products have hit the market.
“We are also seeing the tailwind of pre-committed funding often committed during the pandemic period. Small fintechs are gearing up for new rounds and we are seeing the first signs of delayed investment and IPO activity. We will hear more about this at the fintech hui next month.
“As we enter an anticipated recessionary period, it opens the door for new innovation and competition. We are likely to carry on seeing new fintechs offering more competitive propositions across payments, mortgages, investment and insurance that will be attractive to consumers.
“Tech is shifting the finance industry and how it operates and delivers services. The market is undergoing a major shift leveraging cutting-edge and trail blazing fintech, such as the shift from plastic card payments towards digital, such as phone digital wallet solutions. This tech advancement has majorly driven the growth of fintech across the globe.
“As technology improves and becomes even more ingrained in the day-to-day life of people, there will be more embedded finance, such as payments and lending and more embedded insurance than ever before.
“No matter how centralised or not these solutions are or will be, the future looks bright,” Roberts says.
For further information contact Jason Roberts on 021 2227624 or NZTech’s media specialist, Make Lemonade NZ editor-in-chief Kip Brook on 0275 030188