Finfra, Indonesia's leading lending infrastructure provider, has announced an innovative partnership with Tyme Group, the digital banking group behind TymeBank in South Africa and GoTyme Bank in the Philippines. This collaboration marks Tyme Group's entry into the Indonesian market as part of its growth strategy in Southeast Asia, following successful expansions in both the Philippines and Vietnam.

This announcement follows Finfra's recent $2.5 million funding round led by Cento Ventures, with participation from Accion Venture Lab, Z Venture Capital, and others. Indonesia, as the largest economy in Southeast Asia, is undergoing rapid digital transformation, particularly in the small and medium-sized enterprise (SME) sector. By the end of this year, approximately 24 million micro, small, and medium-sized enterprises (MSMEs) are expected to be operating online, contributing to a total of 64 million businesses nationwide.

The Indonesian government aims to digitalize 30 million businesses by 2025, driving demand for accessible credit solutions. Embedded lending, which integrates credit products into digital transactions, is emerging as a sustainable alternative to traditional lending methods. Coen Jonker, Executive Chairman of Tyme Group, emphasized that Southeast Asia is crucial to their growth strategy, with Indonesia being a long-targeted market.

This partnership enables Tyme Group to leverage Finfra's embedded lending infrastructure to access Indonesia’s extensive SME segment, enhancing financial access and providing innovative lending solutions quickly to a wider range of businesses and consumers.

To support its growth, Finfra has upgraded its platform with a new API suite designed to improve client onboarding, management, and servicing. The upgraded infrastructure includes tools such as in-house credit reports and portfolio analytics to promote responsible loan growth. Additionally, Finfra has appointed Hadi Tanzil, a former co-founder of EmpatKali and Xendit alumnus, as Chief Technology Officer to accelerate development.

Markus Prommik, CEO and Co-founder of Finfra, stated that the partnership with Tyme Group is a crucial milestone, validating their business model and enabling collaboration with various digital platforms interested in offering embedded lending services. As more businesses adopt integrated lending services, Finfra's platform is set to create transformative connections between borrowers and service providers.

Finfra’s infrastructure allows non-financial platforms to easily integrate lending services, creating additional revenue streams while enhancing user experience. The comprehensive API-driven system features a complete loan management suite, scoring tools, portfolio analytics, and regulatory compliance, empowering international lenders like Tyme to implement scalable embedded lending solutions for underserved businesses.

With this latest funding round, Finfra has raised a total of $4.3 million to date, doubling its client base and projecting significant quarterly gross profit growth by the end of 2024. The company has already facilitated over $65 million in credit to underserved Indonesian businesses and aims to use the new funds to enhance its onboarding capabilities, data analytics, scoring, and risk assessment services as it moves toward profitability.

INVESTING.COM