People's Capital Pockets Funding from Fazz Financial Group
Also has a business license from OJK after obtaining a registered sign since 2018
P2p lending startups People's Capital announced the acquisition of an undisclosed amount of funding from Fazz Financial Group (FFG). At the same time, the company also received a business license from the OJK. Previously they were registered status.
FFG is an entity resulting from Payfazz's $30 million strategic investment into Xfers which was unveiled in early March. FFG exists to oversee the joint mission of providing financial access and inclusion across Southeast Asia.
According to an official statement, Hendra Kwik, President Director of FFG and CEO of Payfazz, said, "By joining Modal Rakyat in Fazz Financial Group, we hope to further strengthen the synergy with all products under the auspices of Fazz Financial and support the provision of financial services. inclusive, especially for business actors throughout Indonesia to rural areas."
Hendra is also a Commissioner at the People's Capital.
Regarding the acquisition of a business license, the CEO of Modal Rakyat Hendoko Kwik said this was one of the strategic steps to more massively reach all regions in distributing financing to MSME actors. "Modal Rakyat hopes to embrace more strategic partners, both financial companies, startups, and other entities," he said.
In terms of business relations, since 2018 Modal Rakyat has collaborated with Payfazz to provide micro sector loan products for all stalls and pulse traders in the Payfazz ecosystem. To date, there have been 32.399 micro-loan applications submitted through the People's Capital with a total distribution of more than Rp29 billion.
Micro Capital Products disburse loans ranging from IDR 500 thousand to IDR 2 million with a loan duration of 14 days. This agent-based loan is one of People's Capital's strategies to be able to channel financing to micro-enterprises, especially those that have not been reached by banks and other financial institutions. Credit scoring is based on an analysis of the transaction data of agents in the Payfazz application.
“The mission of the People's Capital in realizing financial inclusion certainly requires synergy with many parties. Not only the government and fellow financial entities, but we also invite the community to continue to contribute by funding in People's Capital," added Hendoko.
Until now, the total distribution of People's Capital has penetrated more than Rp. 1,2 trillion to more than 25 thousand MSME players. The number of active lenders reached 12 thousand lenders consisting of 71,24% male and 28,76% female. Based on demographics, these lenders came from Java (75,22%) and outside Java (24,78%).