With its HQ in the hub of SEA, a financial technology firm has polled SMEs there to discover pain points, opportunities.
In a Q1 2025 survey of 250 decision makers in small- and medium- sized enterprises (SMEs) in Singapore to understand the financial pressures, workforce challenges, global expansion plans and digitalization programs at play, a financial technology firm headquartered there has found some actionable trends.
First, in terms of financial pressures and business resilience, rising costs remain the most pressing issue, cited by 62% of respondents, followed by challenges managing cash flow both globally and locally (48%).
Second, inflation (43%) and regulatory complexity (40%) were also major concerns in the country.
Other findings
Third,46% of respondents had cited the lack of suitable manpower as a barrier to growth, with many pointing to skill mismatches and labor shortages as key hiring challenges. Also:
- Resilience and growth mindset: Respondents cited they were maintaining an expansion-first mindset, with South-east Asia emerging as the top destination for overseas growth (40%), followed by East Asia (37%), and Central Asia (30%). Also, 76% were intending to increase corporate spending, with 33% intending to significant boost investment on growing revenue, improving efficiency, and capturing market share.
- Fintech and digital adoption: As respondents’ organizations scaled, many were turning to digital and fintech solutions to manage rising complexity in financial operations: from improving cash flow visibility to navigating compliance requirements across borders. Nearly all respondents (96%) had cited either having adopted, or having plans to onboard digital or fintech platforms to support their business finance needs, citing convenience, faster transactions, cost savings, and stronger features as key drivers. Also, 91% had indicated that they trusted fintech platforms to manage their financial operations.
According to Ershad Ahamed, Head of Southeast Asia, Airwallex, the firm that commissioned the survey amid increased investments in its HQ operations in Singapore: Understanding the pain points of Singapore SMEs “allows us to design and provide products and services that address their priorities and pressures.”
