Fintech funding falls 63% in 2023; $2 billion raised compared to $5.4 billion in 2022

Financial technology startups raised a total of $2 billion in funding last year, marking a 63% decline from the $5.4 billion they had raised in the year before that, amid a wider slowdown in funding across sectors. At the peak of the funding boom in 2021, fintechs had raised $8.4 billion in funding, data from Tracxn showed.

However, Indian fintech sector still received the third-highest funding globally in 2023. “Indian fintech sector has witnessed substantial growth and traction in becoming one of the world’s top-funded ecosystems and is also the fourth highest-funded startup ecosystem in the fintech sector globally based on funding to date,” the report said.