The Globalisation of Fintech

Which international markets are growing the fastest?

Alex Speedie

February 3, 2025

While the United Kingdom remains Europe's leading fintech hub, the rapid expansion of other European markets is noteworthy. Spain, for instance, experienced a remarkable 110.4% increase in job vacancies in 2024, driven by pro-startup regulations such as the Start-Up Law. Similarly, Portugal saw substantial growth, with an 82.1% rise, supported by progressive government policies, tax incentives, and initiatives like Startup Portugal. Poland has also demonstrated consistent year-on-year growth, particularly within Warsaw’s expanding tech sector.

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In North America, New York and San Francisco continue to be the continent’s dominant fintech hubs. The Americas remain home to the highest number of fintech firms globally, surpassing both EMEA and the Asia-Pacific region. According to recent research from Statista (January 2025), there are currently 13,779 fintech companies in the Americas, compared to 11,789 in EMEA and 6,351 in Asia-Pacific.

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Notably, approximately half of all fintech firms in EMEA are based in the UK, underscoring the country’s dominant position in the sector. This strength is largely attributed to the UK’s convergence of capital, government support, and a highly skilled talent pool—an ecosystem that is challenging to replicate. The UK government has reinforced its commitment to fintech through initiatives such as the extension of the Enterprise Investment Scheme (EIS) and Seed Enterprise Investment Scheme (SEIS), as well as the planned introduction of PISCES, aimed at providing early-stage investors with a streamlined exit strategy.

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However, despite these advantages, the UK’s fintech dominance may face increasing competition as other countries continue investing in their own technology ecosystems. A McKinsey study projects that Latin America, Africa, and the Asia-Pacific region (excluding China) will see their share of global fintech revenue increase from 15% to 30% over the next five years.

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In Africa, blockchain technology is emerging as a key driver of fintech expansion. In 2023, blockchain ventures across the continent secured $135.4 million through 17 funding transactions. Despite a challenging global investment climate, the first half of 2024 witnessed 12 new deals totaling $34.7 million—a 9% increase from the same period in 2023. Blockchain now accounts for 6.4% of Africa’s venture capital funding and 12.5% of transactions, significantly exceeding global averages. The technology also holds the potential to reduce Africa’s annual $5 billion in remittance fees by up to 90%, while addressing critical challenges in identity verification and fraud prevention.

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Similarly, Latin America has experienced significant fintech growth, with funding increasing by 71.4% year-on-year to reach $2.4 billion in 2024. For example, Asaas secured $148 million in a Series C funding round in October to expand its sales and marketing operations, strengthening its market presence and facilitating international expansion. Founded in 2012, Asaas provides financial software solutions for small and medium-sized enterprises (SMEs), including payment processing, invoicing, and fraud protection.

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Given these developments, it is unsurprising that Wise has intensified its investment in Latin America. The London-listed fintech announced last Thursday that its clients in Mexico will now be able to use its platform to transfer funds to 160 countries in 40 different currencies. "Mexico presents a strategic opportunity for Wise, where support for low-cost international money transfers is more critical than ever," said Diana Avila Gonzalez, Wise’s Chief Banking and Expansion Officer. Wise estimates that in 2023, Mexican clients lost approximately $446 million in hidden fees when sending money abroad—fees often disguised through fine print, last-minute charges, or exchange rate mark-ups. Given that Mexican consumers are expected to send more than $27.9 billion in cross-border remittances this year (according to Edgar, Dunn & Company), this represents a significant market opportunity for payments firms.

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In conclusion, British fintech firms that successfully expand into these high-growth regions will be well-positioned to outperform their competitors. However, achieving international expansion requires a comprehensive strategy and strong commercial teams capable of navigating diverse regulatory environments. At Rex Machina, we specialize in helping fintech firms build and scale high-performing teams, ensuring they have the right talent to succeed across markets. Contact us to learn more about how we can support your growth objectives.

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The Globalisation of Fintech

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