KPMG Report: Mekar is one of the Top 10 online lending platforms of Indonesia
Over the last 2 years Indonesia has witnessed a fast paced growth of online lending and growth of online lending platforms. These are referred to as Peer-to-peer (P2P) lending platforms in Indonesia.
While the large Indonesian archipelago with over 260 million inhabitants only had around 5 online P2P platforms in 2016, it now has 79 platforms registered with the Financial Markets Authority (the OJK) and some 200 unregistered platforms, many of which have now been closed down.
With this fast pace of change it is welcoming that a global consultancy firm like KPMG identifies the Top 10 players in this changing market. Among those Top 10 is MEKAR, the earliest of P2P lenders in Indonesia.
MEKAR, though maybe not the largest total volume of loans, is unique in serving the small “unbanked” businesses in the farthest parts of Indonesia. It has some of the safest loans and, probably together with Amartha.com, has financed the most small businesses in the country.
Over the last two years since the MEKAR service started, it has financed 50,000 small women-run businesses by raising USD 7 million or IDR 100 billion. Less than 0.3% of the loans are late in repaying. Moreover, lenders can earn over 12% per year, by helping small businesses who cannot get a loan from a bank.
The other P2P lending platforms in the Top 10 as researched by KPMG, in alphabetical order, are:
- Akseleran (PT Akseleran Keuangan Inklusif Indonesia)
- Amartha (PT Amartha Mikro Fintek)
- CROWDE (PT CROWDE Membangun Bangsa)
- Crowdo (PT PT Mediator Komunitas Indonesia)
- Danamas (PT Pasar Dana Pinjaman)
- Gradana (PT Gradana Teknoruci Indonesia)
- Investree (PT Investree Radhika Jaya)
- KoinWorks (PT Lunaria Annua Teknologi)
- Mekar (PT Mekar Investama Sampoerna)
- Modalku (PT Mitrausaha Indonesia Grup)
The KPMG Report “FinTech Edge” was published on 29 November 2018. The introduction of the report has an interesting analysis of the market size, trends and how Indonesia compares with other Asian markets.
