Logiq, a US-based leading global provider of eCommerce and fintech solutions, has entered into an exclusive strategic alliance with Koperasi Mona Santoso Berjaya (KMSB), Indonesia’s social security program provider.
Through its Indonesian operations, Logiq will provide microlending services to Badan Penyelenggara Jaminan Sosial Ketenagakerjaan (BPJSTK), which is the entity that administers retirement and pension plans of around 600,000 small- and medium-sized businesses (SMBs) with a combined total of 48 million individual members. A pilot program is planned to start in the first quarter of 2021, allowing 6,000 BPJSTK’s employees to borrow up to 20% of their annual salary.
Subsequently, the partnership aims to reach 5 million contract/delivery drivers of Garda Digital Indonesia, a membership organization overseen by BPJSTK that handles pensions and health benefits for ridesharing drivers. These drivers would be able to take up microloans for personal or business use, such as purchasing, configuring, or repairing mobile vehicles.
Ultimately, the program will cover all 48 million members of BPJSTK and 600,000 SMBs. They will gain access to Logiq’s e-Wallet (PayLogiq), its food delivery mobile platforms (GoLogiq), and mobile app creation platform (AppLogiq). Logiq and KMSB plan to start marketing subscriptions of AppLogiq to SMBs in the first quarter of 2021. Additionally, they expect to achieve 30% penetration of BPJSTK’s SMB membership by the end of the year.
Indonesia has a fast-growing digital financial services market, growing at a compounded annual rate of 34%, reaching USD 8.6 billion by 2025.
(Source: Globe Newswire)