Startups in the Philippines have quietly won $1-billion in total funding deals for two straight years in a row in 2021 to 2022, and there are indications they could continue the winning trend.
New funding deals may yet to be clinched at the Geeks On A Beach (GOAB) international conference on November 22 to 24 at Panglao Island in Bohol, which gathers startup founders, entrepreneurs, software engineers, technologists, venture capitalists, corporates, government, and other stakeholders.
“In 2010, Filipino startups raised $40-million in funding. This has gone up 27 times to $1.03-billion in 2021 and $1.1-billion in 2022. This is a vote of confidence for Filipino startups that ought to be celebrated and continued,” said GOAB founding organizer Tina Amper of GeeksPH, referring to a highlight of the Philippine Venture Capital Report 2023.
Amper said that Filipinos’ share in funding available or won across the region has grown for the past three years, as she expressed elation over the rosy report by Foxmont Capital Partners.
“Comparing the aggregate deals closed by country, the Philippines has increased its stake relative to neighboring Southeast Asian countries over the last three years. The Philippines more than doubled from two percent in 2020 to five percent 2021, and further grew to nine percent in 2022. This once again shows that Philippine deal growth is reaching admirable levels compared to its neighbors,” said the Foxmont study.
“Deals” are venture capital transactions where startup companies raise capital from external sources, which include financing received from venture capital funds, angel investors, angel groups, accelerators, incubators, corporate venture firms, corporate startup investors, joint ventures, private equity funds, mergers and acquisitions, grants, and crowdfunding.
For Amper and GOAB co-organizers, startup successes mean more entrepreneurs, more employment, more contributions to the economy, and more benefits for the Filipino public.
On the consumer side, perhaps the most well-known among startups and related businesses are those in e-Commerce and Fintech.
The e-Conomy SEA Report 2022 says the value of Philippine e-Commerce market has grown exponentially from $3-billion in 2020 to $14-billion in 2022.
Statista meanwhile said that total mobile wallet transactions, led by dominant leader GCash, amounted to $28.6-billion in 2022, or almost twice the figure in 2021.
The Philippines has also approved licenses for six digital banks that aim to make the financial system more inclusive: Overseas Filipino Bank, Tonik, UNO, Maya, UnionDigital and GoTyme. Universal, commercial and rural banks are also actively pushing digital-only savings products.
More consumers are also flocking to innovative, digital lenders, including those that tie up with e-Commerce apps.
The Department of Information and Communication Technology (DICT) has strongly supported GOAB from its first conference 10 years ago until today. Its enhanced support this year, makes GOAB a fitting culmination to the Philippine Startup Week 2023.
“GOAB has been a part of the startup ecosystem since 2013. We are excited to meet old and new friends for this unique conference where we celebrate victories, share insights, pitch their ideas, and collaborate,” said Amper. Aside from Amper, other GOAB co-organizers from #geeksPH non-profit coalition include Dave Overton of Symph, Mark Deutsch of Happy Garaje and Doris Isubal-Mongaya of PRWorks.
Program and ticket information are now available at the website https://www.geeksonabeach.com/
GOAB supporters are led by GCash and Eastern Communications, as well as Kickstart Ventures, Grab Philippines, LalaMove, Helixpay, Snack.ph, DOHE Group, Cleaningly, Uniform Solutions, NTX Printing and CoDev.
