04 Oct 2018
Recent advances in technology and new business models have opened a world of opportunity in the fintech industry. It isn’t going anywhere, either – the industry’s importance is only increasing, with countries all over the world choosing to embrace the value of the digital world in financial services. Ranked the most innovative country worldwide by the Global Innovation Index, Switzerland’s growth in this sector is unsurprising. The country is slowly climbing up the ladder to become a global fintech hotspot, and here’s how:
Even though Zurich is not yet the next London or Berlin, the city – along with Geneva and Lausanne – is home to a growing fintech community. Zurich specifically, boasts an estimated 10% of all global European fintech businesses.
There are several characteristics which contribute to Switzerland’s global appeal. The country’s stable and neutral political system, along with its high average salaries, good quality of living, low tax rates and unemployment rates make it an ideal base for digital finance start-ups. Young talent is also found in abundance, which makes recruiting quality candidates an easy job.
Additionally, the Swiss government has taken initiative to minimize bureaucracy and red tape troubles that start-ups around Europe have long struggled with.
Switzerland may not yet seem like a clear choice for start-ups, but one should not be lulled into thinking that the more predictable options offer all the best solutions. Switzerland accommodates long-term visions whilst providing extreme stability – A feature to benefit all start-ups.
Currently, London is Europe’s fintech hub – whilst on a global basis, Chinese cities have dominated the rankings. Will we soon see Zurich approaching the list? Only time will tell.