Klarna is launching in Australia and grabs $200m in new investment from Commonwealth Bank

The Swedish FinTech unicorn Klarna is launching in Australia with the backing of one of the country’s four biggest banks.

Commonwealth Bank has injected $200m into the buy now, pay later scaleup. As part of the deal, the instalment-paying startup will be integrated into the bank’s offering, giving Commonwealth Bank’s customers a fast way to tap into the service.

The service will also be available to people who are not customers to the bank.

“Our partnership with Klarna will further enhance the customer experience in our leading banking app and address the rapidly growing demand among consumers for new payment options,” said Matt Comyn, CEO of Commonwealth Bank, according to Yahoo Finance.

“In particular, it allows us to build on our leading technology to deliver the very best payment services for our customers and merchants in Australia, on platforms which are safe, secure and easy to use.”

The deal highlights how far Scandinavian FinTech and the Swedish ecosystem in particular has come over the past few years.

Swedish, Norwegian, Danish, Finnish and Icelandic FinTech companies have raised over $2.7bn in total over the past six years, according to FinTech Global’s data.

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