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APAC Witnesses Milestones in Alternative Finance Space with Significant 5G Boost

After months of global lockdown under the influence of a massive pandemic triggered by the Chinese virus, several opportunist businesses across emerging economies in Asia are contemplating a steady and substantial return, banking largely upon 5G innovations as the most logical solution for a rebound plan. The global lockdown has in many ways accelerated digital transformation and 5G is the next big connecting point to support businesses in current times, especially those that are at various stages if infancy.
Favorable adoption rates of smartphones and pervasive internet connectivity are significant stepping stones pushing reliance upon 5G connectivity. One of the most beneficial and tangible outcome of 5G integration across businesses is finance and banking sector. With access to banks and banking activities significantly grim owing to global lockdown, advances mobile solutions that offer easy banking solutions and alternative lending practices across most countries in the APAC. A report by Cambridge Center for Alternative Finance suggests that Southeast Asia owns a whopping $2.19 billion worth asset in alternative finance market. The number is anticipated to be rising enormously in the forthcoming months, substantially aided by lockdown and social distancing mandates.
Alternative lending is likely to come of tremendous aid to vast scores of Asian population amidst social distancing and large scale ownership of smartphones besides smartphone literacy. Further, IoT integration along with 5G networking is also likely to include the unbanked and underbanked segments, paving new opportunities.
SMBs in APAC are therefore encouraged to incline towards alternative finance alternatives to efface off the challenges of financial barriers owing to insufficient credit history Several modes of alternatives finance are widely available for SMBs to overcome the challenges of sluggish businesses. Some of the most potential ones comprise peer to peer lending, equity crowdfunding and the like.