Logiq, Inc. said the Indonesian Government has approved an annual lending rate for it to provide micro-lending services to the more than 50 million members of Badan Perlayanan Jaminan Sosial Ketenagakerjaan (BPJSTK). BPJSTK manages the pensions and health benefits for these members in Indonesia.
The provider of award-winning e-commerce and fintech solutions said the lending rate approval follows its earlier announcement that it will launch a program to provide mobile fintech services in an exclusive strategic alliance with the country’s social security program provider, Koperasi Mona Santoso Berjaya (KMSB). The program will offer microloans to BPJSTK members for personal or business use, using the approved lending rate.
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Following delays due to coronavirus (COVID-19), Logiq said the lending rate approval represents a major step towards improving the lives of millions of Indonesians, who do not have access to traditional financial services. It will now begin the initial rollout of its new mobile fintech offering to the 5 million contract and delivery drivers of Garda Digital Indonesia, a membership organization overseen by BPJSTK, as well as 6,000 government body employees.
These individuals will be able to borrow up to 20% of their annual salary through the new program.
“We look forward to benefiting from this fast-growing demand as we support greater financial inclusion in Indonesia through our micro-lending services,” Logiq president Brent Suen said in a statement.
“We also see tremendous opportunities for strong new revenue streams from micro-lending, mobile payments, and our eCommerce solutions with BPJSTK’s enormous user base, as well as with other future partners in the region.”
Logiq is a US-based leading global provider of e-commerce and fintech business enablement solutions. Its DataLogiq business provides a data-driven, end-to-end e-commerce marketing solution. Its AI-powered LogiqX data engine delivers valuable consumer insights that enhance the ROI of online marketing spend. The company’s Fixel technology offers simplified online marketing with critical privacy features.
Contact the author at stephen.gunnion@proactiveinvestors.com