Rapid growth prompts Singapore marketplace lending trade body launch

By Daniel Lanyon on Wednesday 18 April 2018

Editor's PickAlternative Lending

The Singapore Fintech Association has unfurled a dedicated Marketplace Lending Committee.

The Singapore Fintech Association has launched a Marketplace Lending committee as the country’s alternative lending industry continues to see strong growth.

It says its new subcommittee will help build trust and credibility and demonstrate alternative financing as a viable route for businesses in Singapore to gain funding.

In 2016 Southeast Asia’s alternative finance market reached a record $215.94m, the SFA says, representing a growth of 362 per cent compared with 2015. Data for 2016 also show strong growth with Singapore’s alternative finance market size was valued at $163.75m in 2016, more than double the entire value from 2013-2015.

The largest p2p/marketplace lenders in Singapore include Crowdo, Funding Societies, Minterest, New Union and Validus Capital. Their initial tasks are to design and promote best practices, industry guidelines and codes of conduct in a collaborative and open manner.

Chia Hock Lai, President SFA says with strong growth comes the need to encourage transparency between market participants.

“With a growing lending marketplace in Southeast Asia, we felt there was a need for a consolidated and cohesive voice to lead the way among the community. Through this committee, we aim to enable Singaporean businesses to access the necessary financing options,” he said.

 

 

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