In a bid to address the funding shortage faced by startups in Southeast Asia, DBS, the region's largest bank, has joined forces with Granite Asia, a prominent Asia-focused investment fund. The partnership, which will run for three years, aims to provide much-needed capital to the region's startups, which have struggled to secure funding in recent years.
According to Jenny Lee, senior managing partner at Granite Asia, the US is "amply funded, if not overfunded," while the rest of Asia is "underinvested." This disparity is evident in the fact that the US accounted for 10 of the 11 largest deals in the last quarter of 2025, as reported by KPMG. Lee emphasized that Asia is not a small market, highlighting the need for increased investment in the region.
The partnership between DBS and Granite Asia is a significant step towards bridging this funding gap. The new $110 million AI-focused IPO fund, which will be offered exclusively to DBS's high-wealth clients, will provide a much-needed injection of capital into the region's startup ecosystem. This fund is particularly significant, as it will focus on AI, a sector that has immense potential for growth in Southeast Asia.
The funding scene in Southeast Asia has been challenging in recent years, with investors holding back due to a mixed record of returns and a difficult macroeconomic environment. Traditional banks have been hesitant to extend loans to startups, exacerbating the funding shortage. This partnership aims to change that, providing a new avenue for startups to access the capital they need to grow and scale.
The partnership is also a testament to the growing importance of Southeast Asia in the global startup ecosystem. The region is home to a large and growing population of tech-savvy consumers, making it an attractive market for startups. However, the lack of funding has held back the region's potential, and this partnership aims to address that.
DBS's decision to partner with Granite Asia is a strategic move, as it allows the bank to tap into the expertise and network of a leading VC firm. Granite Asia has a strong track record of investing in successful startups, and its partnership with DBS will provide a new channel for the bank's high-wealth clients to invest in the region's startup ecosystem.
The partnership is also expected to have a positive impact on the broader startup ecosystem in Southeast Asia. By providing more funding options for startups, it will help to create a more vibrant and competitive ecosystem, which will in turn attract more investors and talent to the region.
In conclusion, the partnership between DBS and Granite Asia is a significant development in the Southeast Asian startup ecosystem. The new $110 million AI-focused IPO fund will provide a much-needed injection of capital into the region, and the partnership is expected to have a positive impact on the broader ecosystem. As the region continues to grow and evolve, this partnership is an important step towards addressing the funding shortage and unlocking the potential of Southeast Asia's startups.
In a bid to address the funding shortage faced by startups in Southeast Asia, DBS, the region's largest bank, has joined forces with Granite Asia, a prominent Asia-focused investment fund. The partnership, which will run for three years, aims to provide much-needed capital to the region's startups, which have struggled to secure funding in recent years.
According to Jenny Lee, senior managing partner at Granite Asia, the US is "amply funded, if not overfunded," while the rest of Asia is "underinvested." This disparity is evident in the fact that the US accounted for 10 of the 11 largest deals in the last quarter of 2025, as reported by KPMG. Lee emphasized that Asia is not a small market, highlighting the need for increased investment in the region.
The partnership between DBS and Granite Asia is a significant step towards bridging this funding gap. The new $110 million AI-focused IPO fund, which will be offered exclusively to DBS's high-wealth clients, will provide a much-needed injection of capital into the region's startup ecosystem. This fund is particularly significant, as it will focus on AI, a sector that has immense potential for growth in Southeast Asia.
The funding scene in Southeast Asia has been challenging in recent years, with investors holding back due to a mixed record of returns and a difficult macroeconomic environment. Traditional banks have been hesitant to extend loans to startups, exacerbating the funding shortage. This partnership aims to change that, providing a new avenue for startups to access the capital they need to grow and scale.
The partnership is also a testament to the growing importance of Southeast Asia in the global startup ecosystem. The region is home to a large and growing population of tech-savvy consumers, making it an attractive market for startups. However, the lack of funding has held back the region's potential, and this partnership aims to address that.
DBS's decision to partner with Granite Asia is a strategic move, as it allows the bank to tap into the expertise and network of a leading VC firm. Granite Asia has a strong track record of investing in successful startups, and its partnership with DBS will provide a new channel for the bank's high-wealth clients to invest in the region's startup ecosystem.
The partnership is also expected to have a positive impact on the broader startup ecosystem in Southeast Asia. By providing more funding options for startups, it will help to create a more vibrant and competitive ecosystem, which will in turn attract more investors and talent to the region.
In conclusion, the partnership between DBS and Granite Asia is a significant development in the Southeast Asian startup ecosystem. The new $110 million AI-focused IPO fund will provide a much-needed injection of capital into the region, and the partnership is expected to have a positive impact on the broader ecosystem. As the region continues to grow and evolve, this partnership is an important step towards addressing the funding shortage and unlocking the potential of Southeast Asia's startups.