Kredivo is Targeting to Distributes Loans of IDR 4 Trillion
PT FinAccel Teknologi Indonesia aka Kredivo, a fintech lending technology startup, is targeting to distribute Rp4 trillion in loans by the end of this year. To achieve this target, the company will hook several banks.
CTO founder and founder Kredivo Alie Tan said the company would hook more partners this year. Kredivo is in the middle of processing agreements with several banks.
He gave an example, Kredivo’s partnership with Bank Permata resulted in a loan of Rp 1 trillion last year. “In essence, we are not just thinking about the loan, but also how to distribute it to merchants or users. From which bank? We think of all,” said Alie in Jakarta, Thursday (2/20).
This startup will also intensify cooperation this year. One of them, the company hooked Tokopedia to channel loans to buyers on the platform. In addition, Kredivo will strengthen marketing to attract more users.
Since its establishment at the end of December 2015, Kredivo has distributed loans to around 30 million borrowers. The number of borrowers who still have obligations to reach 1.2 million today. Currently, Kredivo is preparing loan products specifically in the education, health and sharia sectors.
The company is in the process of licensing and making technical preparations to launch the three products.
Kredivo is Focusing for Expansion
Previously, Commissioner Kredivo Umang Rustagi said that there were still many Indonesians who did not yet have accounts. In fact, there are substantial loan needs in all three sectors. “We see ample opportunity to service these three loan products,” he said
Moreover, its parent company, FinAccel, has just received series C funding of US$ 90 million or around Rp 1.27 trillion. Even so, Umang was reluctant to specify the target of launching the three service products.
They also plan to expand to the Philippines in the first semester of 2020. FinAccel CEO Akshay Garg said the additional capital would be used to increase lending in Indonesia.
In addition, the company wants to develop Human Resources (HR) and create new products. Fintech’s financing wants to expand the market. “The roots are very similar to Indonesia, so we think the country is right for expansion,” Akhsay said during a press conference in Jakarta, Wednesday (12/4).
The population in the Philippines is around 70 million, most of which do not have access to financial services. Kredivo is also eyeing a productive loan portfolio of 30 percent of the total distribution target.
Health, Education and Sharia Funds were Targeted by Kredivo in 2020
“Entering 2020, we are increasingly ready and optimistic to accelerate the rate of business growth to double which 30% of which is productive loans,” said CEO Kredivo Alie Tan in a written statement, Friday (02/14/2020).
Noted, the number of loans in the Kredivo cash loan product category during 2019 rose 100% compared to 2018, along with the number of active users who also experienced an average growth of 50% YoY. This year, Kredivo targets to channel Rp4 trillion in cash loan services.
The offer of short-term cash loans is the most sought after by users, given the affordable interest and verification process that is easy, fast, and safe.
Kredivo also intends to spread its wings into the realm of health, education, and Islamic loans.
“We also plan to develop our services more broadly to cover education, health, and Islamic loans, of course by continuing to prioritize good user experience and user data security,” he said.
From the industry side, the potential development of fintech lending in Indonesia this year is also estimated to be still very large. The Indonesian Joint Funding Fintech Association (AFPI) estimates that lending by fintech lending will grow 50% on an annual basis (YoY) in 2020.