WeLab, the company that operates online lending platforms providing unsecured personal loans to borrowers, will expand to Indonesia through a fintech joint venture company created with PT Astra International called PT Astra WeLab Digital Arta (AWDA), as reported by Enterprise Innovation.
The newly-formed company will offer mobile lending products to retail consumers and provide financial technology solutions to enterprise customers in Indonesia. Using to-be launched mobile application Maucash, AWDA seeks to fulfill the credit demands of the market.
Through Maucash, users can enjoy online-only borrowing service with easy access. Using big data analytics, AWDA will cultivate insights to assess the borrowers’ creditworthiness.
The decision to partner with Astra is for WeLab to leverage on the local strong network and brand presence that the company has maintained in financial services. “We believe our technology and know-how in the fintech industry, combined with Astra’s operational experience running market-leading businesses in Indonesia, will allow us to redefine consumer lending in Indonesia,” said Simon Loong, Founder and CEO of WeLab
With the rapid smartphone user growth of 10.5% Compound Annual Growth Rate (CAGR) through 2021 according to eMarketer, and 55% internet penetration rate according to wearesocial dominated by a large, young population of digitally active consumers, Indonesia is an attractive market for fintech innovation.
This joint venture is WeLab’s third market outside China and Hong Kong, and a start of the company branching out internationally.
Image Credit: Finance Magnates