March 17, 2021
Digital technologies create opportunities for establishment and growth of new businesses and business models in Southeast Asia. In addition to creating jobs and economic growth, these companies will give access to previously unreachable services for rural population.
Southeast Asia is about to becoming one of the world’s fastest-growing arenas for online commerce, according to a Bloomberg report. The majority of the Southeast Asian population is young and technologically mature to adapt to new digital solutions.
Introducing digital services to rural populations
While the spread of the digital economy so far has been uneven, with growth concentrated in the region’s biggest cities, the digital economy is now also reaching smaller cities and rural areas .
This will introduce a large part of the region’s population to services that have been out of reach for them. Examples are online banking, insurance, payments, as well as access to digital marketplaces, digital education content and efficient distribution models of agricultural produce to the final markets.
Openspace Ventures Fund III
Openspace Ventures III is a fund investing in early-stage technology companies in Southeast Asia, with a particular emphasis on Indonesia.
Openspace Ventures Snapshot
- Established in 2014
- Singapore-based venture capital firm
- Portfolio of 33 investments
- Presence in over 5 countries
- 25 employees
- More info: Openspace Ventures | Southeast Asia Venture Capital Fund
The two founders of Openspace Ventures, Hian Goh and Shane Chesson are experienced and well placed to take advantage of the interesting opportunity that new digital technologies represent, and to offer direct benefit to people in rural areas as well as in cities.
There are a lot of ways technology can help boost things like health, education and access to financial services. We are very excited about the quality of the entrepreneurs that are approaching us and we look forward to supporting more of the in the coming years.
Hian Goh, Founder and general partner openspace ventures
To date, Openspace Ventures Fund III has made four investments in agritech, ed-tech, fintech and SaaS companies:
Norfund’s contribution:
In 2020, Norfund committed 128 MNOK to the fund. Through this partnership, Norfund will be able to support many more early-stage technology companies than we could do alone. As a development finance institution Norfund will contribute actively to increase the ESG expertise within the Openspace investment teams and help them implement routines in accordance with the IFC Performance Standards within their own company as well as within their investees.
Investing in Openspace Ventures III enables Norfund to support early stage businesses in Southeast Asia, and thereby contribute to job creation and economic growth as well as enabling more people in developing countries to take part in the digital economy.
Bernt Brun, Vice President, Norfund
