Australia is 6th in the world in the global fintech rankings: are we punching above our weight?

Australia has recently gained two places in global fintech rankings, ranking 6th in the world and second in the Asia Pacific region, according to the global research and analytics firm Findexable (Source: 2021 Global Fintech Rankings, Findexable, accessed July 2021).

That's quite the achievement for the Australian Fintech industry

According to the Australian Government, Australia's Fintech industry continues to grow and grow, with our nation fast becoming a global leader and a hub for Fintech activity.

Recently, we spoke to some key figures from two successful companies within the Stone & Chalk Group to discuss their own Fintech solutions and better understand how they view the current environment for startup and scaleup Fintech companies in Australia.

As part of this, we asked the question: Is Australia really punching above its weight globally with Fintech solutions?

Robin Sands, CEO and Founder of Link4, a seamless e-invoicing solution, agrees with this sentiment, stating that "there are a lot of Fintechs in Australia that are ahead of the competition, and we've come out with some amazing things."

However, he believes there could still be much more government support.

"I don't know if we get the support locally that justifies the proposition. So it doesn't matter if we've got support or not. We're going to fix that problem."

Sarah Zenon, Venture Manager for FrankieOne, a global identity and fraud detection engine, believes that as a global hub, it's important for Australian Fintechs to ensure that the people and the countries they are working with are also working in the same regulated and responsible space that they are.

"From our perspective, we are compliant with ISO2001, and that's really important for us because it helps to build the trust with our customers that we are acting in their interest and that we're acting in a safe and secure way. That's critical to our platform and the service we provide."

Likewise, maintaining the integrity of users' personal data is paramount to the processes that FrankieOne utilises in its day-to-day operations. They're constantly working to strengthen this as the best way to unlock more customers quickly for true scalability and regulatory compliance.

Is Australia punching above its weight when it comes to Fintech solutions?

Yes, 100%, according to Robin.

With Link4 working to solve one of the most common pain points for business owners – invoice processing – he suggests that the solutions they have developed are now in demand around the world.

"If you look at what we do, we have been approached by foreign governments. We've done paid consulting work for different countries around invoicing and how they can engage small businesses and get them involved. Japan was one of the more recent ones that engaged us to help establish their invoicing scenario."

Sarah puts Australia's success down to our innovative culture, our location on the world map, and the regulations surrounding how we do business.

"I think because we are quite geographically separate from the rest of the world, this is a way for Australians to show the exciting capabilities that we have in our region and in our ecosystem – that we're able to push those ideas out, that we're able to engage with lots of other countries and innovate, and I think that that's quite important.

"I think also being quite a regulated country – slightly different to the US, which has much more relaxed regulations than we do – that we do have to work within those boundaries, and I think that tests us to look at things from different angles, to think about how we can do this and do it right to protect ourselves and our customers, but actually push the boundaries on how we do it more effectively, more efficiently, and make a better proposition out of that."

Both agree that Australia is the ideal breeding ground for innovative Fintech, and the proof is in our success.

What do the next five years look like for Australia Fintech?

Robin suggests that rather than trying to be a unicorn, Fintechs need to learn to work together to complete the picture and solve the larger problems for businesses around the country.

This idea of networking and community and working together is paramount to the work that Stone & Chalk does with both new and established Fintechs, and both Robin and Sarah cite this as one of the keys to their success in the space.

Robin also highlights that it's essential for Fintechs to understand what they are replacing and, more importantly, what will eventually try to replace them, rather than believing that their solution is the best and only way to go about it.

"Someone's going to come along and do better than us, or we're going to be under threat from something else, so it's important to understand what that is and try and work towards and build towards that as well."

Meanwhile, Sarah tells us that, from their own perspective, FrankieOne will help more Fintechs take it to the next level by accelerating and scaling across different geographies.

“As an onboarding platform focused on a frictionless customer experience, FrankieOne's single API works as an engine for Fintechs, enabling them to cut through the complexities of working with other regions and scale internationally to achieve greater growth.

“This, coupled with a renewed focus on expanding their products and looking for new opportunities, will help FrankieOne to support more Fintechs around Australia and drive the industry forward as we cement our place on the global stage.”

It’s certainly an exciting time for all those in the Fintech sector, both in Australia and on a global scale. With Australia proving itself as a leader in this space, we at the Stone & Chalk Group will continue to find new ways to provide the support, the tools and the networks that Fintech startups need to make a real difference today and into the future.

As the largest innovation ecosystem in Australia, Stone & Chalk is the spark that helps drive new possibilities for startups and established Fintechs around the country.

About Stone & Chalk Group

Stone & Chalk Group is Australia’s home for emerging technology innovation. Our world-class expertise and networks, provide unrivalled knowledge, access to capital, infrastructure and guidance that's driving emerging tech innovation for positive impact.

For more information, visit: www.stoneandchalk.com.au