New research reveals challenges faced by Fintech sector

New research from Barclays Corporate Banking has revealed the Fintech sector is facing a number of challenges in order to drive growth.

Growth remains the number one priority for 23 per cent of Fintech across the globe, followed by talent acquisition as the second-most pressing area across EMEA, the Americas and Asia-Pacific. More than 11 per cent of Fintech have no greater priority than securing the talent they need to succeed and grow their businesses.

Research also shows that 60 per cent identify start-ups as the key drivers of disruption and change in the financial services industry, and now look abroad for the next major development in payments

Jenni Himberg-Wild, head of Fintech and non-bank PSPs, UK, at Barclays Corporate Banking, said: “It’s essential to understand that the battle is no longer just for coders and technical payments people.

“As the market continues to mature, there is increasing demand for people with a real breadth of experience. The competition is now fierce. As these businesses mature and evolve, it is not enough to just bring in new tech. Talent is essential to the continued growth of these businesses.”

The report also finds that the majority of Fintech expect disruption and change to come from start-ups and are increasingly likely to look abroad for the next source of payments innovation. Fintech see partnering with these organisations as crucial to their growth and success.

Fintech are now looking to prioritise a wider spread of supporting activities which will power their development in the short to medium term, including increasing profitability, conducting acquisitions, enhancing cross-border operations, and redefining target markets.

Many Fintech see payment innovation developing abroad contrasting with previous years, which saw home bias opting for their own regions.