Weekly News Roundup 27-31/05/24

Bursa Malaysia Launches API Gateway

Bursa Malaysia Berhad has introduced a new API Gateway to streamline the Central Depository System (CDS) account management for brokers and participating organisations. This initiative enhances efficiency in account activation and real-time trading for retail investors, reducing the time required to open, update, or reactivate accounts. The API Gateway has already been adopted by five organisations and supports the digitalisation of processes, improving customer experience, and promoting sustainability.?

Paystack Leads Acquisition of Nigerian Fintech Startup Brass

Nigerian fintech startup Brass has been acquired by an investment group led by Paystack , including PiggyVest, Ventures Platform, P1 Ventures, and angel investors Oo Nwoye and Olumide Soyombo. The acquisition, whose financial details remain undisclosed, marks significant consolidation in Nigeria’s fintech sector. Brass, launched in 2020, offers financial tools for small and medium-sized businesses, boasting a customer base of over 5,000

Trustly Delays IPO Despite Strong Financial Performance

Swedish fintech Trustly has postponed its initial public offering (IPO) for another year or two, despite reporting a significant 51% increase in operating profit. CEO Johan Tjarnberg cited the need to further demonstrate the value of its open banking technology to investors. In 2023, Trustly achieved $265 million in revenue, with a notable 27% growth in the second half of the year and a 48% increase in transaction volumes.?

PhonePe Launches Secured Lending Products

PhonePe , the Walmart-owned digital payments company, has introduced secured lending products through collaborations with banks, non-banking financial companies (NBFCs), and fintech firms. Targeting its 535 million users, the new service includes loans for mutual funds, gold, bikes, cars, homes, property, and education. Partners such as Tata Capital, L&T Finance, Hero FinCorp, and Muthoot Fincorp are part of this initiative. Users can access these loans directly through the PhonePe app, streamlining the process. This expansion aims to enhance financial inclusion and credit access across India, with PhonePe planning to increase its network to 25 partners by the next quarter.

Doconomy Raises €34m to Expand Carbon Tracking Tools

Swedish fintech startup Doconomy has raised €34 million ($36.9 million) in a Series B funding round led by UBS Next and CommerzVentures, with participation from S&P Global and existing investors. The funds will help Doconomy expand its carbon tracking tools and develop new products, including its AIand Index, which converts financial transactions into CO2 equivalents. With partnerships including Boston Consulting Group, Mastercard, and the UN Framework Convention on Climate Change, Doconomy aims to support over 100 financial institutions in engaging clients in ESG initiatives.

Morgan Stanley Reveals $269m Investment in Spot Bitcoin ETFs

摩根士丹利 , the sixth-largest banking firm in the United States, has disclosed a $269 million investment in spot Bitcoin Exchange Traded Funds (ETFs), signalling a surge in institutional interest in cryptocurrency. The investment was made in Grayscale’s Bitcoin Trust (GBTC) during the first quarter of 2024, according to a recent Securities and Exchange Commission (SEC) filing. This move positions Morgan Stanley as one of the top holders of GBTC, behind Susquehanna International Group, which holds a $1.0 billion investment.?

AIIB to Invest $1 Billion in African Projects

The Asian Infrastructure Investment Bank (AIIB) has announced plans to invest $1 billion in African projects to boost connectivity and growth. Despite being a significant global player, AIIB's African investments have been modest, constituting only 4% of its $52 billion disbursed since inception. AIIB President Jin Liqun highlighted Africa's $700 billion infrastructure funding gap and the dilemma faced by heavily indebted nations in prioritising basic needs over infrastructure. The AIIB's planned projects include green energy in Egypt and Madagascar, and water provision in Morocco, with additional support for multi-year projects in Ivory Coast. Senegal, Tanzania, and Mauritania are finalising membership with the AIIB, joining 16 other African nations.