GoPay Savings Collaboration Encourages Growth of Bank Jago Application Users in 2023

PT Bank Jago Tbk (IDX: ARTO) gained an additional 3 million application users throughout 2023, to a total of 8,1 million from 5,1 million users in 2022. Meanwhile, Bank Jago's total customers reached 10,2 million.

As stated in the release, the growth in Jago application users is said to have been contributed to by the GoPay and Jago synergy savings products, namely GoPay Savings by Jago in October 2023. The addition of Jago application users contributed to the acquisition of third party funds (DPK) which grew 46% (YoY) to IDR 12,1 trillion throughout 2023.

“Collaboration with our strategic partners, including the GoTo ecosystem, becomes pintu "customers log in to access Jago banking products and services," said Bank Jago President Director Arief Harris Tandjung.

Bank Jago's credit distribution grew 38% to IDR 13 trillion compared to the previous year which was around IDR 9,4 trillion. This growth is driven by Jago's partnerships with financial ecosystems and digital platforms. The non-performing loan (NPL) ratio was recorded at 0,8%.

As a result, Bank Jago earned net interest income of IDR 1,6 trillion. Meanwhile, net profit after tax shot up 355% to IDR 72 billion throughout 2023. "Throughout 2023 we were able to maintain positive and healthy business growth by paying attention to potential risks. This will be a good momentum for sustainable growth in 2024.”

As of the end of 2023, Bank Jago has total assets of IDR 21,3 trillion or growing 26% (YoY) with a capital adequacy ratio (CAR) reaching 62%.

Please note, Jago is part of the digital ecosystem belonging to the GoTo Group. Currently, GoTo holds 21,4% of Bank Jago shares through its subsidiary PT Dompet Karya Anak Bangsa (GoPay's parent company). Account opening is a product of initial synergy between GoTo and Jago. Followed by a number of other services, including Kantong/Pocket Jago as a service payment option Gojek.

Last year, GoTo officially released the GoPay application as a separate platform from Gojek, allowing it to reach a wider market. One of the follow-up strategies is to launch GoPay Savings by Jago which is claimed to have attracted 700 thousand users with a transaction increase of up to 5 times from its initial release until February 2024.

Following the strategic partnership between TikTok and Tokopedia, Bank Jago mentioned the middle explore a number of use case which can be used to enter two ecosystems E-commerce the largest in Indonesia.