The Association of Financial Services Technology Providers "FinTech Indonesia" is Officially Launched

Officially Thursday (17/09) a number of financial technology service companies (fintech) and banks in Indonesia, such as Bareksa, Kejora, CekAja, Doku, Bank Mandiri, Veritrans, and Kartuku, launched the establishment of an association of Indonesian financial technology service providers named Indonesian Fintech.

Also attending the launch event were Coordinating Minister for the Economy Darmin Nasution, President Director of Bank Mandiri Budi Gunadi Sadikin, and Regional Director of IFC-World Bank Group Ivan Mortimer-Schutts.

Fintech Indonesia was established as an event to bring together entrepreneurs providing financial services technology, banks, financial institutions, and insurance as well as policy makers (stakeholder) financially from both government and non-government. All new solutions that can support these various programs can be accommodated in this association.

"Financial services technology is an innovative and inclusive way to invite millions of Indonesians into the banking financial services sector and it is hoped that technology can bridge access and create inclusive conditions for positive growth," said JP Ellis, Founder/CEO of CekAja and Compare88 Group.

The World Bank notes this time Financial inclusion is a global challenge, it is estimated that in 2015, there are still around 2 billion people who do not have a bank account (unbanked). The very low level of investment penetration and literacy in Indonesia is part of the challenge. In 2014, only 36% of Indonesians aged 15 years and over were recorded as having bank and financial accounts. This figure is one of the lowest in the East Asia and Pacific region.

Therefore, the Founder/CEO of Bareksa (financial portal and mutual fund marketplace) Karaniya Dharmasaputra emphasized that financial technology offers solutions to overcome these problems.

"Not only is it like a shiny Maserati, fintech is actually a car that is very important for business financial inclusion, to bring some of our people into the modern financial system immediately.” Karaniya said.

Along with economic growth, as well as increasingly advanced technological growth, the role of financial services is growing, and FinTech Indonesia is trying to be present as an initiative to form a dialogue in a constructive, positive, and inclusive way.

Encouraging a more innovative financial ecosystem

As the initiator of the association of Indonesian financial services technology providers, the Founder and CEO of CekAja and Compare88 Group JP Ellis reiterated that the existence of FinTech is also expected to encourage financial institutions, both banking and insurance, to change their business strategies by placing technology as the main element in the product innovation process. and services. In the end, financial service technology service providers are also encouraged to continue to innovate.

Currently the stakeholder Indonesia has also encouraged innovation in financial services, both banking and insurance, to engage in the use of technology, fully supported by the government which is actively starting to promote programs e-service for each service provided.

Dondi Hananto from investment company Kinara Indonesia who was also involved steering committee FinTech Indonesia hopes that the association can bring the interests of its members, especially to lobbying Bank Indonesia and the Financial Services Authority (OJK) which is the regulator in this industry.