HSBC unveils $1b ASEAN Growth Fund for digital platform players

The amount will be used to lend to digital companies to boost their operations.

HSBC launched a $1b ASEAN Growth Fund to support the growth of digital platform players in the region.

In a statement, HSBC said Southeast Asia’s digital economy is amongst the fastest-growing in the world as it stood at $218b in 2023 and is expected to reach $600b by the end of the decade, citing Bain & Company.

The amount will be lent to companies that are ramping up their operations through digital platforms in the region, targeting new-economy names, more established corporates and non-banking financial institutions.

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The bank will assess the companies' operating metrics tied to their “cashflow-generative asset portfolio, rather than relying solely on traditional financial metrics.”

“With a working population that is digitally native, increasing in size, and poised to consume more goods and services – especially on e-commerce – ASEAN has so much potential for growth,” Amanda Murphy, Head of Commercial Banking for South and Southeast Asia at HSBC.

“The introduction of our latest offerings allows us to better support new-economy companies in ASEAN, whether they are start-ups or scale-ups, as they expand across the region and advance along the corporate lifecycle,” she added.