Global fintech investment saw a significant resurgence in 2025, climbing to $116b from $95.5b in 2024, according to KPMG’s latest Pulse of Fintech H2’25 report. This rebound was largely fuelled by a surge in exit activity, which hit $104.4b, marking the third-highest year on record. Despite a decline in overall deal volume, the substantial increase in capital deployed indicates a focus on larger, strategic deals and scaled growth platforms.
The Americas led the charge with $66.5b in investment, primarily driven by the United States. However, the Asia-Pacific region experienced a decline, despite robust activity in India accounting for $3.5b of total fintech investment across 213 deals. Japan accounted for $645.6m of total investment, while Australia attracted $609.9m and China recorded $876.1m. Overall, deal sizes across the region remained relatively small, reflecting continued investor caution and a focus on early-stage and selective opportunities.
The digital assets sector emerged as a key driver, with investment nearly doubling to $19.1b, thanks to improved market conditions and regulatory clarity, particularly following the GENIUS Act in the US.
Anton Ruddenklau, Global Lead of Innovation and Fintech for Financial Services at KPMG International, noted, “After several years of contraction, fintech investment is clearly finding its footing again. Whilst deal volumes remain muted, the increase in capital deployed—and the resurgence of exits—signal growing investor confidence, particularly around scalable platforms in digital assets and AI.”
The payments sector remained stable at $19.2b, with investors concentrating capital in proven, scaling platforms. As liquidity improves, the renewed momentum is expected to translate into stronger deal activity in the coming year. The report highlights a shift towards more mature consolidation in payments-focused M&A activity, focusing on operational strength and long-term competitiveness.
