MICROLEAP RECORDS OVER 100 PCT RISE IN TOTAL FINANCING DISBURSEMENT IN 2023

KUALA LUMPUR, March 27 (Bernama) -- Malaysia's first shariah-compliant and conventional peer-to-peer (P2P) financing platform microLEAP recorded total financing disbursement of RM62.18 million last year, more than double from RM30.91 million in 2022.

It said that while the alternative fundraising industry experienced a commendable increase of 27.8 per cent in financing disbursement, microLEAP's 101.4 per cent growth far outpaced this figure.

“This showcases our ability to outperform market standards and set new benchmarks for success in the P2P financing landscape,” founder and chief executive officer Tunku Danny Nasaifuddin Muzaffar said in a statement today.

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Shariah-compliant financing in the country grew to RM524.8 millionlast year, a significant increase from RM140.8 million in 2022, predominantly attributed to the surge in P2P financing activity.

“To drive sustainable growth in the fintech sector, it's imperative to prioritise investor education and transparency.

“By empowering investors with knowledge and fostering a culture of trust, we pave the way for a more resilient and inclusive financial ecosystem,” he said.

According to the statement, the average funding amount facilitated by microLEAP in 2023 escalated by 57.9 per cent year-on-year to RM536,015.52, showcasing growing investor confidence in the platform's capabilities.

It said that in contrast, the industry saw 67 per cent of P2P financing campaigns consisting of smaller fundraising amounts of about RM50,000, highlighting a prevalent trend towards smaller-scale investments.

“This significant disparity underscores microLEAP's ability to attract larger investments and reflects the trust Investors place in the platform, thereby amplifying its impact on the entrepreneurial ecosystem,” microLEAP said.

Looking ahead, the statement said microLEAP remains steadfast in its commitment to sustainable growth, driving financial inclusion, and promoting responsible investing practices.

“With a continued emphasis on regulatory compliance, innovation, and investor protection, microLEAP is poised to reshape the fintech landscape, ensuring that all stakeholders are empowered on the journey towards economic prosperity and success,” it added.

-- BERNAMA