Indonesian State-Owned Enterprises Launching Centralized E-Payments Platform

Feb 2019

Several Indonesian state-owned Indonesian enterprises are jointly launching a new digital payments platform, called LinkAja, which will be operation from 1 March, 2019. The QR code based payment platform was developed by the State-Owned Lender Association (Himbara), Telkomsel, a subsidiary of state-owned telecommunications company PT Telkom Indonesia, and state-owned oil and gas enterprise, Pertamina. 

LinkAja integrates several individual payment systems from the participating entities, including E-Cash from  Bank Mandiri, Bank Rakyat Indonesia’s T-bank and My QR, Bank Negara Indonesia’s Yap! and UnikQu, Telkomsel’s TCash and MyPertamina from  state-owned Energy corporation Pertamina.

LinkAja allows users to top up mobile credit, pay merchants, pay bills (electricity, water, state health insurance, internet), buy game vouchers, donate, send money and make online purchases. According to some media reports, LinkAja could collaborate with Alibaba’s Alipay and Tencent’s WeChat Pay but there is no confirmation for this. 

Indonesian banks have been losing out to non-bank providers of e-payment platforms, such as Go-Jek (which provides Go-Pay). This integration could help the state-owned enterprises compete better by bringing together the customer pools of all these players and providing them better services.

(Sources: Jakarta Post; Nikkei Asian Review; KrASIA; Kompass)