AwanTunai, an Indonesian fintech startup, has successfully secured $60 million in debt financing to help bridge the credit gap for micro, small, and medium-sized enterprises (MSMEs) in Indonesia. Led by Accial Capital, the syndicate financing round included global financial companies such as Variant Investments, Developing World Markets (DWM), Swiss responsAbility, Symbiotics, and Saison Investment Management.

The debt funding is intended to accelerate AwanTunai’s operations, enhance its loan portfolio, and improve access to affordable financing for traditional MSMEs. The company focuses on the fast-moving consumer goods (FMCG) supply chain, providing financing solutions to businesses such as small stores, wholesalers, grocery shops, and distributors.

CEO and Co-founder Dino Setiawan emphasized that this funding would help provide flexible credit solutions to businesses that are often underserved by traditional banking systems. “AwanTunai bridges the financing gap for MSMEs, offering them affordable and flexible loans to foster growth and resilience,” Setiawan explained.

AwanTunai’s services include financing for inventory purchases, integrated online ordering systems, and inventory management solutions for wholesalers. By offering financing options, AwanTunai enables MSMEs to improve cash flow, invest in technology, and enhance productivity and profitability within Indonesia’s supply chain ecosystem.

With an estimated $165 billion credit gap in Indonesia’s MSME sector, AwanTunai plays a crucial role in providing the necessary financing for businesses that have traditionally struggled to access bank loans. Since its founding in 2017, AwanTunai has disbursed loans worth over IDR 1 trillion per month and plans to increase this amount to IDR 3 trillion by the end of 2025. The company offers a competitive interest rate of around 2%.

Unlike many fintech players that diversify their products or expand internationally, AwanTunai remains focused on the FMCG sector in Indonesia, a strategy that Setiawan believes has been key to the company’s success. Backed by investors such as Insignia Ventures Partners, International Finance Corporation (IFC), Global Brain, BRI Ventures, and OCBC Ventura, AwanTunai continues to attract funding to support its mission.

The fintech startup has already raised more than $50 million in equity financing and over $100 million in debt financing from global investors. In March 2024, AwanTunai closed a $27.5 million Series B funding round led by global banking groups and national investors, including Norfund, MUFG Innovation Partners (MUIP) from Japan, and OP FinnFund from Finland.

SOURCE: BISNIS | PHOTO: DAILYSOCIAL