Polaris Capital has released its annual Emerging Markets Technology Outlook report, providing in-depth analysis of technology trends, investment opportunities, and entrepreneurial ecosystems across Southeast Asia, Latin America, and Africa. The 68-page report draws on Polaris Capital's extensive on - the - ground research, interviews with over 150 technology leaders, and proprietary data analysis.
Key Market Trends
The report identifies several overarching trends shaping technology adoption and innovation across emerging markets in 2025. Digital financial services continue to lead the way, with mobile money users expected to exceed 1.5 billion globally by the end of the year. Digital infrastructure investments are accelerating, particularly in edge computing and distributed renewable energy systems. Climate tech is emerging as a major investment theme, with sustainable solutions being developed to address local environmental challenges.
"What's most exciting about technology development in emerging markets today is the increasing confidence of local entrepreneurs to build solutions tailored for local needs rather than simply adapting Western models. We're seeing genuinely innovative approaches that leverage unique local insights and address specific regional challenges—often with solutions that end up having global relevance."
Regional Highlights
In Southeast Asia, the report highlights the rapid growth of the digital economy, which is on track to reach $360 billion by 2027. Key opportunity areas include embedded finance, SME digitization, and healthcare technology. In Latin America, fintech continues to dominate, but the report notes accelerating activity in agritech and logistics technology. Across Africa, the report identifies mobile-first SaaS, digital commerce infrastructure, and distributed energy solutions as areas of particularly dynamic innovation.
Investor Landscape
The report provides a detailed analysis of the evolving investor landscape across emerging markets. While global venture capital deployment has moderated compared to the 2021-2022 peak, emerging market ecosystems have shown resilience, with local and regional investors stepping up to fill funding gaps. The report also notes the growing role of corporate venture capital, particularly from Asian technology companies expanding their strategic footprints across emerging markets.
Top Investment Themes for 2025-2026
Challenges and Opportunities
The report acknowledges persistent challenges across emerging markets, including regulatory uncertainty, talent constraints, and infrastructure gaps. However, it emphasizes that these challenges often create the most compelling opportunities for innovation. The report highlights how entrepreneurs are developing novel business models and technologies specifically designed to overcome these structural barriers.
Stay Updated
Subscribe to our newsletter for the latest news and insights.
We respect your privacy. Unsubscribe at any time.