JAKARTA - Standard Chartered Bank Indonesia (Bank) and Kredivo, the leading digital credit platform with multi-finance licenses and the fastest growth in Indonesia, announced a partnership to channel credit through the digital platform Buy Now, Pay Later (Buy Now, Pay Later / BNPL) to retail market segment.
Furthermore, Kredivo's extensive retail market reach and strong artificial intelligence-based credit scoring capabilities, as well as Standard Chartered's deep retail banking expertise, as one of the oldest banks with more than 150 years of presence in Indonesia, enable consumers to enjoy the credit application process. quickly, easily and securely, with a fully digital experience and no face-to-face verification requirements.
Jeffrey Tan, Head of Consumer, Private and Business Banking (CPBB), Indonesia, Standard Chartered, explained, “Although Standard Chartered already has a strong position in the upper-middle retail banking segment, we are now strengthening and expanding our distribution channels to serve consumers in the mass market segment more efficiently. Therefore, we are pleased to partner with Kredivo, who share the same vision of increasing financial inclusion in Indonesia, through POS (point-of-sale) offerings through digital platforms.”
The formation of this partnership is in line with the acceleration of the adoption of digital financial services in Indonesia. Data from the Financial Services Authority (OJK) recorded that the total assets of fintech lending companies rose to Rp 4.34 trillion in July 2021 from Rp 3.25 trillion in July 2020. Meanwhile, the total outstanding loans disbursed increased from Rp 11.94 trillion in July 2020 to reach Rp 24.22 trillion in the same period. With the increase in the number of vaccinations, market sentiment and retail sales continue to increase, the demand for loans is also expected to continue to grow. (LM)