Who’re the highest funded fintech startups in Indonesia as of early 2024? With a quickly rising economic system and a tech-savvy inhabitants, Indonesia has turn out to be a hotbed for fintech innovation and startups, peering into probably the most well-funded fintech startups in ASEAN’s largest nation can present hints on what verticals buyers are most bullish on on this area.
In 2022, the nation was residence to 993 energetic fintech corporations, representing about 25% of all fintech ventures working throughout the ASEAN area, information from a 2022 report by the United Abroad Financial institution (UOB), PwC Singapore and the Singapore Fintech Affiliation (SFA) reveal. The quantity makes Indonesia the second largest fintech ecosystem in ASEAN behind solely Singapore.
The increase of fintech in Indonesia can be mirrored within the surge of enterprise capital (VC) funding being poured into the sector. That sum totaled US$340 million in 2023, representing 27% of fintech funding in ASEAN, in accordance to the 2023 version of the report, showcasing the prominence of the Indonesian fintech sector throughout the broader area.
Share of funding offers by nation, 2022 vs YTD 2023, as of October 2023, Supply: Fintech in ASEAN 2023: Seeding the Inexperienced Transition, UOB, PwC Singapore and SFA, Nov 2023
As fintech in Indonesia continues to develop and evolve, we glance right this moment at a few of the business’s leaders, spotlighting the fintech startups headquartered within the nation which have secured probably the most enterprise capital (VC) funding. For this listing, we’ve used information from Dealroom, CB Insights, corporations’ bulletins and media coverages, specializing in unbiased, personal corporations, and the VC funding they’ve raised.
Xendit – US$538 million
Cost startup Xendit has secured about US$538 million in VC funding to this point, information from Dealroom and media coverages present, making it the highest funded fintech startup in Indonesia in 2024. Xendit’s newest spherical was a US$300 million Collection D the corporate secured in Might 2022 supposed at launching in new markets throughout Southeast Asia.
Based in 2014, Xendit is a fintech firm that gives cost options and simplifies the cost course of for companies. Xendit allows companies to simply accept funds in numerous strategies together with direct debit, digital accounts, credit score and debit playing cards, e-wallets, stores, and on-line installments, disburse payroll, run marketplaces and extra, on a straightforward integration platform supported by 24/7 customer support.
Xendit claims greater than 3,000 prospects, amongst which Samsung Indonesia, Seize Pay, Ninja Van Philippines, Qoala, Unicef Indonesia, Cashalo and Shopback, and says it tripled annualized transactions from 65 million to 200 million between 2021 and 2022, and elevated complete funds worth from US$6.5 billion to US$15 billion in the course of the interval.
Xendit expanded to Malaysia in January 2023, its third market after Indonesia and the Philippines. The startup is now reportedly seeking to enter Thailand and Vietnam, a spokesperson instructed Katadata.co.id in July 2023.
Akulaku – US$520 million
Banking and digital finance platform Akulaku has raised a complete of US$520 million in VC funding, information from Dealroom present, making it the second most well-funded fintech startup in Indonesia. Akulaku’s newest spherical was a US$200 million spherical secured in December 2022 used to gasoline its progress and broaden into new territories, markets, and merchandise.
Based in 2016, Akulaku is a banking and digital finance platform in Southeast Asia. The corporate goals to fulfill the every day monetary wants of underserved prospects in rising markets via digital banking, digital financing, digital funding, and insurance coverage brokerage companies. Its goal is to serve 50 million prospects by 2025.
Akulaku’s core merchandise embrace an e-commerce platform that permits customers to buy by utilizing installments and a digital bank card. The corporate additionally operates Asetku, a web-based wealth administration platform, and the Neobank app, a cellular digital banking providing supported by Financial institution Neo Commerce.
The corporate, which has a presence in Indonesia, the Philippines, and Malaysia, claimed 26 million customers and 4.8 month-to-month energetic customers in 2021. Final 12 months, complete income grew by 122% to US$598 million and complete gross merchandise quantity (GMV) elevated by 136% to US$5.8 billion. Akulaku is Indonesia’s Most worthy fintech startup at US$2 billion, information from CB Insights present.
Investree – US$254 million
Peer-to-peer (P2P) lending platform Investree has secured US$254 million in VC funding, information from Dealroom present, a sum that makes the startup Indonesia’s three most well-funded fintech firm.
Based in 2015, Investree is a Jakarta-based various finance participant. The corporate says it has disbursed IDR 14 trillion (US$900 million) value of loans in Indonesia. Nearly all of these loans have been disbursed to companions of agritech startup unicorn EFishery and Gayatri Microfinance. In addition to Indonesia, Investree additionally operates in Thailand and the Philippines.
Investree’s newest spherical was a US$231 million Collection D funding spherical raised in October 2023, the fifth largest VC funding spherical of 2023 in Asia-Pacific (APAC). The startup stated on the time that it will use the proceeds to broaden its product choices, strengthen partnerships with numerous collaborators and improve its suite of modern digital options tailor-made to the precise wants of micro, small and medium-sized enterprises (MSMEs).
As a part of the deal, Investree and JTA additionally established a three way partnership in Doha to function a hub for Investree’s Center Jap operations and supply digital lending companies for SMEs within the area.
Regardless of having obtained appreciable monetary backing, Investree has reportedly raised a further US$7 million from an present backer after the startup’s high-profile CEO stepped down amid allegations of misconduct and numerous challenges confronted by the corporate.
Dana – US$250 million
E-wallet platform Dana has secured a complete of US$250 million in disclosed VC funding, information from Dealroom present, making it the fourth most well-funded fintech startup in Indonesia. Dana secured its newest spherical in August 2022, elevating US$250 million from native conglomerate Sinar Mas to broaden in its residence nation and spend money on new tech and new monetary companies.
Based in 2017, Dana is a digital pockets that gives cost infrastructure and monetary companies in Indonesia. The platform permits customers to transact with ease, ship cash, pay payments, make e-commerce purchases, and extra.
For retailers, the expertise offers broad developer integration choices and straightforward onboarding, supporting the nationwide QR Indonesia Normal (QRIS) community in addition to the nationwide open API funds requirements (BI-SNAP).
Dana claims it reached 170 million individuals in 2023, representing a person progress of 23% year-over-year (YoY). QRIS transactions, in the meantime, surged 272% YoY and utilization of the Ship Cash function elevated by 147% YoY. Based on CB Insights, Dana is the second Most worthy fintech startup in Indonesia, and is valued at US$1.13 billion.
Dana has quietly being making inroads into social commerce with the group shopping for platform BoraBora. The platform, an initiative underneath Dana’s enterprise studio arm Dana Ventures, will construct merchandise that align with the digital cost agency’s core monetary companies, a high govt instructed DealStreetAsia in February 2023.
Ajaib – US$243 million
On-line brokerage Ajaib is Indonesia’s fifth high funded fintech in Indonesia in 2024, having secured a complete of US$243 million in VC funding, information from Dealroom and media coverages reveal. The startup joined the unicorn membership in October 2021 after elevating US$153 million from buyers together with DST International, Ribbit Capital, ICONIQ Capital and IVP.
Based in 2018, Ajaib is a web-based wealth administration answer that permits customers to purchase and promote shares, change traded funds (ETFs), and mutual funds. The platform affords superior options for inventory merchants and buyers, and offers a premium service referred to as Ajaib Prime that comes with personalised recommendation and margin buying and selling.
Ajaib doesn’t provide commission-free buying and selling, however does apply decrease charges in comparison with its rivals. The corporate targets first-time Millennial buyers in Indonesia, with the aim of accelerating monetary inclusion, and claims it’s the first on-line stockbroker in Indonesia to have scrapped minimal capital necessities.
Ajaib stated in July that it recorded 3 million retail buyers for its inventory buying and selling and Ajaib Crypto merchandise within the first half of 2023, a 50% enhance from November 2022. The corporate claims it is likely one of the largest brokerages by the variety of transactions in Indonesia.
Stockbit – US$190 million
Wealthtech startup Stockbit has raised about US$190 million in VC funding so dar, information from Dealroom and press coverages present, making it the sixth high funded fintech startup in Indonesia in 2024. Stockbit secured its newest spherical in March 2022, elevating greater than US$80 million in a funding spherical led by GIC and joined by Prosus Ventures amongst different present buyers. The startup stated on the time that it will use the proceeds to launch of latest services and products, rent native expertise and strengthen its monetary education schemes to create consciousness among the many basic public.
Based in 2013 as a social community for inventory buyers, Stockbit has developed into an app that integrates inventory buying and selling, data aggregation, and social networking. The corporate launched in 2019 Bibit, a robo-advisory funding app that permits customers to spend money on diversified asset courses equivalent to mutual funds, major and secondary authorities bonds, Financial savings Bond Ritel (SBR), Sukuk Tabungan (ST), Sukuk Ritel (SR), Mounted Fee (FR), and shares. In 2021, Stockbit entered the brokerage enterprise via Stockbit Sekuritas. Final 12 months, the startup made its foray into the funding administration business in collaboration with Fullerton Fund Administration, subsequently launching a three way partnership referred to as Develop Investments.
Featured picture credit score: Edited from freepik
