JAKARTA - On September 18, PT Mitrausaha Indonesia Group (Modalku) signed a partnership with PT BPR Varia Centralartha (Bank Varia), PT BPR Bekasi Binatanjung Makmur (BPR BBTM), and PT BPR Sukawati Pancakanti (BPR Kanti). This form of cooperation is a joint funding or commonly called joint financing, where the four parties jointly collect funds to finance Micro, Small and Medium Enterprises (MSME) borrowers.

For information, a joint financing system or joint funding is implemented when the value of the loan proposed by the borrower is too large to be financed by one bank or one financial institution. Therefore, some financial institutions collectively fund these loans.

Reynold Wijaya, Co-Founder & CEO of Modalku, said, "We are very pleased to be able to collaborate with BPR. This collaboration proves that FinTech and banks can go hand in hand with the same vision, which is to strengthen the Indonesian economy through the development of local MSMEs."

This collaboration has enabled Modalku to reach more users, not limited to Modalku's operational areas. Reynold added that his team trusted BPR because they recognized the characteristics and needs of the community in its operational areas, namely Bekasi for Bank Varia and BPR BBTM and Bali for BPR Kanti. (LM)