For the first time, the Philippines has surpassed Indonesia in startup funding, raising US$86.4 million in the first half of 2025, according to the SEA Startup Funding Report H1 2025 by DealStreetAsia and Kickstart Ventures.
Indonesia followed closely with US$78.5 million.
Despite a 20 percent drop in overall Southeast Asian startup funding, the Philippines emerged as a bright spot, reflecting growing investor confidence in the country’s startup ecosystem.
Singapore led the region with US$1.2 billion across 229 deals, accounting for over half of the US$1.85 billion raised. Vietnam and Malaysia followed with US$275 million and US$196 million, respectively. The Philippines and Indonesia each accounted for over 4 percent of regional funding, while Thailand and Cambodia trailed significantly.
DealStreetAsia’s Head of Research, Andi Haswidi, noted that although deal volumes remained low, Q2 2025 saw a sharp recovery in capital deployment, doubling from US$580 million in Q1 to US$1.28 billion.
Top Philippine fundraisers included fintech firms Salmon, with US$88 million in equity and debt financing, and Cashalo, with US$75 million. Kickstart Ventures general partner Joan Yao highlighted that despite a cautious investment climate shaped by macroeconomic uncertainty, the Philippines is well-positioned to scale regionally by leveraging early-stage momentum and resilient sectors.
Fintech remained the dominant sector, though both volume and value hit multi-year lows. Health-tech rebounded, and green-tech showed resilience with 20 deals. Notably, sustainability-focused startups in renewable energy, waste management, and low-carbon mobility continued to attract investor interest.
Meanwhile, Southeast Asia added new unicorns: Malaysia’s Ashita Group (US$155M), Singapore’s Thunes (US$150M at US$1.42B valuation), and digital asset bank Sygnum. The region now counts 58 unicorns, despite a broader recalibration of valuations and risk appetites.
