Jakarta, 7 January 2019 – The Accion Frontier Inclusion Fund, managed by Quona Capital, has announced an investment in KoinWorks, Indonesia’s largest responsible digital lender for SMEs. This marks Quona Capital’s first investment in Indonesia. Quona is a venture capital firm focused on fintech for inclusion in emerging markets, leveraging a strategic relationship with Accion, a non-profit pioneer in financial inclusion.
KoinWorks has more than 100,000 lenders on its platform, more than any other digital P2P lender in Indonesia. The company has disbursed nearly Rp1,000,000,000,000 (US$70 million) in loans, while keeping its NPL (non-performing loans) below 0.5%, by leveraging proprietary credit scoring methods. Through innovation, KoinWorks has enabled tens of thousands of SMEs to access credit and grow their business, positively impacting not only the SMEs but the economy at large. The company is registered and supervised by Indonesia’s Financial Services Authority (OJK).
Ganesh Rengaswamy, Co-founder & Partner at Quona Capital, states, “We are thrilled to partner with KoinWorks and their existing set of marquee investors for our first investment in Indonesia. Indonesia is one of the most rapidly growing fintech and financial inclusion markets. We are committed to the country and have been evaluating opportunities here for several years. We have been patiently searching for a responsible lender with a unique growth story committed to empowering SMEs. We are excited to have found KoinWorks.”
Benedicto Haryono, CEO & Co-Founder KoinWorks, says that, “It is exciting for us to be able to collaborate with Quona as one of our investors. As a global fintech fund focused on financial inclusion, they look for companies that try to solve real problems for the underbanked and underserved. We are connected by the same vision.”
The collaboration between Quona and KoinWorks is based on the belief that technology has the power to improve quality, access, and affordability of financial services for the millions who are not well served. In Indonesia, up to 33% of the population is unbanked, with only 26% of the total population considered well-served by financial institutions. This leaves a sizeable market for companies like KoinWorks and Quona to address.
Willy Arifin, Chairman & Co-Founder KoinWorks states, “Quona’s deep understanding of the fintech space will accelerate our growth and strengthen our mission to be a responsible lender. Their experience in guiding multiple fintech companies to become dominant market leaders around the world, while keeping social responsibility front and center, will be invaluable for KoinWorks.”
KoinWorks was also recently backed by an international consortium led by Mandiri Capital, one of the largest banks in Indonesia.
About Quona Capital
Quona Capital is a venture capital firm dedicated to financial technology for inclusion in emerging markets. Quona invests in scale-up stage companies that are expanding access to quality financial services for underserved consumers and small businesses in Africa, Latin America and Asia. The firm backs entrepreneurs whose companies have the potential to provide outstanding financial returns and promote breakthrough innovation in financial inclusion. Quona leverages a strategic relationship with Accion, a global nonprofit with a pioneering legacy in microfinance and fintech impact investing. For further information, please visit http://www.quona.com.
KoinWorks is the largest responsible digital lender in the growing P2P lending space in Indonesia. The company connects borrowers to lenders on its online platform to provide access to credit to the underserved market. Established in 2016, KoinWorks specializes in SME loans, and has more than 100,000 retail lenders and more than 4,000 borrowers active on its platform. The company was awarded as The Most Innovative Fintech of the Year in 2017 by Bisnis Indonesia. KoinWorks is registered and supervised by Indonesia’s Financial Services Authority (OJK). For further information, please visit www.koinworks.com.