However data has shown that startup funding activity has been slowing down significantly in the country, and continues to fall largely due to the global pandemic.
In 2020, startup companies based in Singapore raised a total of $5.5 billion in funding, 35% lower than 2019.
To put things into context, startup companies raised $8.5 billion in 2019, $14.3 billion in 2018, and $7.86 billion in 2017 respectively.
While many would attribute the drop in funding due to the pandemic, this trend has continued for several years, largely due to investors pouring money into new markets such as Indonesia, Thailand, and Vietnam.
Singapore still accounts for over half of the cumulative value of venture capital investments in the ASEAN region since 2014, playing a significant impact in the rise of giants such as Grab, Sea Group, Shopback, and many others.
Much of Singapore's success so far has been attributed to strong government leadership and its ability to adapt to market changes, coupled with the country's strong investment activity/network across the world.
While it is uncertain to how things would play out in the coming months/years as the pandemic recovers, there is a possibility that the figures may continue falling in 2021 due to rising new markets, declining travel, and minimal foreign business activity within the country.
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