Micro, small and medium enterprises (MSMEs) have become an influential backer for the Indonesian economy. The Finance Ministry notes that the MSMEs contributed 60.3% to the total gross domestic product in 2019. Besides, it also absorbs 97% of the entire workforce and 99% of the whole job opportunity. Currently, there are more than 64 million MSMEs in the country, and 63.3 million are micro-enterprises.
As the majority of people in Indonesia are unbanked, most MSMEs are lacking in financial access. In its study, Indonesia’s Fintech Lending: Driving Economic Growth Through Financial Inclusion, consultancy firm PwC Indonesia finds that 74% of total MSMEs don’t have access to credit. Hence, creating an opportunity for fintech lending to tap this market. Tapping this opportunity, Koinworks (PT Lunaria Annua Teknologi) chooses to offer financing schemes to the MSMEs players, specifically those who sell their products on e-commerce. This brings advantage to the company in the midst of the COVID-19 pandemic since MSMEs who are able to operate online should still manage their business better than the conventional ones.
“From the beginning, we focused on the online sellers [as our target market], which made us a P2P lending platform with the biggest online merchant portfolio. The impact from COVID-19 to these online sellers are not that big compared to the conventional offline retailers,” says Benedicto Haryono, the cofounder and CEO of Koinworks.
BACK ON TRACK
Collective wealth gets a 21% boost to a record $162 billion amid an economic uptick.
Championing Locals
The wave of social commerce is enabling inclusive digital economies beyond urban areas.
Boys in the Bubble
Startups are supposed to specialize, but OPENSEA’s founders thrived by building a wide-open market for creating and trading all manner of NFTs, whether art, music or gaming. Now that they’re centimillionaires and poised to become billionaires, they have other worries: competitors, fraudsters and the next crypto crash.
Enduring Relations
The implementation of IA-CEPA amid the pandemic signifies the Indonesia-Australia’s commitment to recover and counter future challenges together.
Sweet Success
Steven Erwin envisions Unifam to become a major global player in the confectionery and F&B industry.
Marathon Man
Across America, scores of municipal pension funds remain scandalously underfunded. But not the pension fund of Tampa’s police and firemen, thanks in large part to JAY BOWEN, whose no-frills approach to stock picking has protected and served them for more than 45 years.
Gold Rallies on Inflation Fears
During September the price of gold rallied to $1,868 per ounce following the release of figures on US inflation by the Bureau of Labor Statistics which indicated that, as of September, CPI inflation had rocketed to 6.2%, above the 5.8% which economists had been predicting.
Set Off to A New Start
Bank Aladin has two main ingredients for success: establish trust and offer better customer experiences.
The Daily Intake
YOUVIT plans to invest further into marketing and grow into one of the leading vitamin brands in Indonesia.
THE CROESUS OF CRYPTO
FTX COFOUNDER SAM BANKMAN-FRIED BUILT A $22.5 BILLION FORTUNE BEFORE HIS 30TH BIRTHDAY BY PROFITING OFF THE CRYPTOCURRENCY FRENZY—BUT HE’S NOT A TRUE BELIEVER. HE JUST WANTS HIS WEALTH TO SURVIVE LONG ENOUGH TO GIVE IT ALL AWAY.
