Latin American startups are the rage with SoftBank. The Japanese company claims that since first announcing it was planting a stake in the ground in the region in early 2019, it has invested more than $5 billion into the region and expects that total to reach $8 billion by year’s end.
To put it mildly, its capital contributions are significant. Latin American entrepreneurs got $5.3 billion in funding overall in 2019, according to according to CB Insights . They raised nearly the same sum in 2020.
SoftBank Group CEO Marcelo Claure predicts that by 2023, closer to $30 billion will be spent in the region yearly. This year, the pace of dealmaking has accelerated, with $9.3 billion pumped into Latin American businesses in the first six months.
Finally, the world has acknowledged the immensity of Latin America, according to Bolivian-born Claure, who spoke at TechCrunch Disrupt today. Although it is just half as big as China, it is twice as big as India and three times as big as Southeast Asia.
There are more people generating money there, he claimed. The GDP per capita in Latin America is the same as that of China ($9,000 to $10,000 annually), which is three times that of India and twice that of Southeast Asia.