JAKARTA. Koinworks, a peer to peer (P2P) lending platform owned by  PT Lunaria Annua Teknologi, obtained series B and B2 funding worth US$ 18.5 million from a Japanese venture capital firm, Saison Capital.

Benedicto Haryono, CEO & Co-Founder of Koinworks, said the funding will be used to provide more financing for Small and Medium Enterprises (SME) segment, so they can strengthen their business. Haryono admitted that the potential of SMEs in Indonesia is still quite large.

"65% of Indonesia's Gross Domestic Product (GDP) is contributed by SMEs and 92% of SMEs in Indonesia have utilized social networks in their business," Haryono said through an official statement received by idnfinancials.com.

The opportunity is even greater, said Haryono, because most SMEs do not get credit from banks. This is due to the presence of incomplete documents and low business feasibility. "There are still many social commerce actors feel difficulty when they try to get access to financing," Haryono explained. (KR/AR)