1. Startups

KoinWorks Has Distributed IDR 27,3 Trillion in Funds to More Than 900 Thousand MSMEs

KoinWorks portfolio 80% of businesses are micro businesses, 36% are owned by women and 48% are located in rural areas

Startups KoinWorks announced the launch of the second edition of its Impact Report entitled "Leveling Up The MSME Ecosystem". This report highlights the company's various social achievements throughout 2023 and confirms its commitment to be fintech responsible for supporting the growth of MSMEs throughout Indonesia in 2025.

KoinWorks Group Co-Founder & CEO Benedicto Haryono emphasized the company's dedication to strengthening the MSME ecosystem in Indonesia.

"We are committed to providing superior and inclusive financial services. In 2023, KoinWorks will record a significant breakthrough in inclusive financing that reaches various businesses in an interconnected supply chain," he said.

Improving the MSME ecosystem

KoinWorks has taken big steps in supporting MSMEs through various sectors such as fast-moving consumer goods (FMCG), agriculture, and health. More than 60% of businesses face challenges in managing their supply chain efficiently, especially regarding cash flow constraints.

With access to efficient financing from KoinWorks, MSMEs can negotiate better with suppliers, recruit more team members, invest in technology, and take advantage of new market opportunities.

Eratani Co-Founder & CEO Andrew Soeherman shared his experience, "KoinWorks facilitates financial access through easier and faster funding, especially for farmers and other business units."

KoinWorks' collaboration with key MSME players and support from the government and MSME facilitators strengthens the supply chain and overcomes liquidity constraints. The majority of MSMEs are funded by individual investors from Indonesia who believe in the Indonesian MSME ecosystem.

Encourage inclusion and growth

KoinWorks has distributed IDR 27,3 trillion ($1,8 billion) to more than 900 thousand MSMEs, empowering thousands of businesses to grow. With 83% of loans financed by young investors, this shows the strong commitment of the younger generation to support MSMEs.

KoinWorks portfolio 80% of businesses are micro businesses, 36% are owned by women and 48% are located in rural areas.

Job creation is a significant achievement for KoinWorks in 2023, with 95.000 new jobs created by MSMEs that received loans. MSMEs reported an average increase of 37,8% in sales value and 37,2% in total assets, indicating the positive impact of KoinWorks financing.

Commitment to ESG practices

KoinWorks adheres to local and international client protection standards, with ISO 27001:2022 certification and participation in the Digital Finance Service Client Protection Assessment Tools by Cerise+SPTF.

"Our commitment goes beyond rules and regulations, reflecting our promise to users that every interaction is conducted with high ethical standards," said KoinWorks Group Chief of Impact Angelique Timmer.

KoinWorks plans to strengthen ESG practices, MSME business health, and pave the way for green financing and services tailored to women entrepreneurs. The 'Play It Forward' initiative invites changemakers to share their stories and help communities through the sport of football.

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Disclosure: This article was produced with AI technology and supervision of the content writer
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