The Asia-Pacific (APAC) region’s digital economy is undergoing a transformative shift, powered by the rapid growth of e-commerce, travel, and cross-border trade. This momentum is fuelled by technological advancements, a thriving startup ecosystem, and an increasing demand for efficient financial solutions. Businesses in APAC are looking for ways to operate more seamlessly across borders, and fintech players like Airwallex are at the forefront of this change, offering innovative solutions that empower companies of all sizes.

Arnold Chan, General Manager of APAC at Airwallex (above), reflects this confidence, “The region’s robust e-commerce, travel, and cross-border trade, coupled with a vibrant startup ecosystem, present significant opportunities. As businesses adapt in this evolving landscape, technology and innovation are crucial for success.”

This vision has been reflected in Airwallex’s strong performance in 2024. In Q3 alone, the company reported an 83% year-on-year revenue increase. It also posted a 49% year-on-year growth in transaction volume across APAC. These figures underscore the increasing demand for digital-first financial solutions that facilitate seamless transactions across borders.

Southeast Asia: a key digital economy growth driver within APAC  

Within APAC, Southeast Asia stands out as a dynamic and rapidly expanding region. With its young, digital-savvy population, rising middle class, and booming digital economy, the region is emerging as a powerhouse for fintech innovation. Countries like Singapore and Malaysia are leading the way, fostering robust startup ecosystems and driving cross-border commerce.

Beyond these established hubs, Indonesia and Vietnam are also experiencing significant fintech growth. Indonesia, with its dynamic economy and growing digital ecosystem, presents a huge opportunity for digital payments and financial services. Meanwhile, Vietnam’s fast-growing economy and rapid digital transformation make it an attractive market for fintech expansion. Businesses in these markets seek faster, more efficient financial solutions. Accordingly, Airwallex is well-positioned to support their cross-border payment needs and operational efficiencies.

Airwallex recognises Southeast Asia’s potential and has made significant strides in the region by supporting businesses of all sizes – whether startups, SMEs, or large enterprises – to manage everything from payments, treasury, and spend management to embedded finance. 

Also read: How these Airwallex talents found their way in the fintech world

Singapore: fuelling startup growth and enterprise expansion

Singapore is a key hub for innovation in APAC, and Airwallex has continued to deepen its presence in the city-state. Building on successful launches in Hong Kong and Australia, Airwallex expanded its Airwallex for Startups programme in Singapore. This programme provides local businesses with resources and tools to scale internationally.

In November 2024, Airwallex awarded its first S$10,000 Level-Up Business Grant to NatureThings, a promising Singapore-based startup that integrates nature into urban environments for enhanced human and spatial wellbeing. To date, over 2,000 startups across various regions have benefited from the programme’s networking events, partner offers, and mentorship.

Low Cher Hao, Head of SME and Growth at Airwallex Singapore, reaffirmed the company’s commitment to the local ecosystem, “Startups and SMEs form the backbone of innovation and entrepreneurship in Singapore. The programme is designed to help them accelerate their growth by offering them the right means and channels to build their business beyond borders.”

Looking ahead to 2025, Cher Hao aims to expand Airwallex’s engagement with the local business community: “The launch of the Airwallex for Startups programme last year was just the beginning. We are looking to do a lot more and offer the support that’s needed to grow their businesses, particularly amidst the variety of challenges local businesses face in today’s macroeconomic climate.”

Beyond startups and SMEs, Airwallex is also focused on empowering larger enterprises in Singapore. This is true particularly through the integration of embedded finance solutions. David Brady, Director of Sales, Enterprise, Southeast Asia, highlights the potential of embedded finance in the region, “Singapore’s strategic position as a financial hub makes it an ideal market for embedded finance. As businesses seek to streamline operations and enhance customer experience, embedded financial solutions will play a key role in enabling seamless payments, digital banking, and innovative financial services across Southeast Asia.”

Also read: Breaking barriers: My journey with Airwallex this International Women’s Day

Malaysia: strengthening fintech innovation and B2B growth

With over 300 fintech companies, Malaysia is rapidly strengthening its position as a startup hub in Southeast Asia. The country’s strong digital economy, coupled with its government’s push for fintech innovation, has created ‌fertile ground for B2B financial solutions.

At the inaugural KL20 Summit hosted by Malaysia’s Ministry of Economy, Jack Zhang, Co-founder and CEO of Airwallex, shared insights into the company’s trajectory and the broader potential of Malaysia in the evolving global fintech landscape. He highlighted the importance of financial technology in driving business efficiency, particularly in cross-border trade.

Looking into 2025, Aren Yip, Country Manager, Malaysia, Airwallex, believes Malaysia’s B2B fintech sector is primed for accelerated growth. “Malaysia is poised to become a regional leader in B2B fintech, driven by global trade, cost efficiency, and AI integration. SMEs are increasingly leveraging fintech for seamless cross-border payments, operational efficiency, and data-driven insights. On top of that, AI is becoming a key enabler in the industry, helping businesses address unique challenges specific to their workflows, industries, and end users.”

Airwallex has also been active in fostering collaboration with key industry players, participating in events alongside Amazon and Xero as well as ecosystem players like Malaysia External Trade Development Corporation (MATRADE), the national trade promotion agency under the Ministry of Investment, Trade and Industry (MITI) and Malaysian Research Accelerator for Technology & Innovation (MRANTI) under the Science, Technology and Innovation Ministry (MOSTI). This engagement underscores Airwallex’s commitment to facilitating trade and supporting businesses in navigating the complexities of international growth.

The road ahead: Driving financial innovation across the region  

As digital transformation accelerates across Southeast Asia and APAC, the demand for financial solutions that facilitate borderless business operations will continue to grow. Fintech players like Airwallex are not only responding to this demand. They are also shaping the future of finance by using AI, embedded finance, and cross-border payment innovations.

With continued growth in key markets like Singapore, Malaysia, Indonesia, and Vietnam, Airwallex is set to play a pivotal role in empowering businesses – whether startups, SMEs, or large enterprises – to unlock new opportunities and scale beyond borders. As the fintech ecosystem in APAC matures, businesses will need a robust and flexible financial infrastructure to stay competitive in an increasingly digital and interconnected world.

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This article is sponsored by Airwallex

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Featured Image Credit: Airwallex

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