Priya Patel
TLDR:
- AwanTunai, a fintech startup in Indonesia, raised $27.5 million in a Series B funding round to support its digitalization efforts.
- The funding will go towards enhancing lending capital and risk management technology to help SMEs access financial services.
In a recently announced Series B funding round, Jakarta-based fintech startup AwanTunai secured $27.5 million to drive its digitalization initiatives and support Indonesian SMEs. The round was led by Norfund, MUFG Innovation Partners, and OP Finnfund Global Impact Fund I, among others. AwanTunai aims to use the funding to enhance its lending capabilities and risk management technology in order to provide small and medium enterprises (SMEs) in Indonesia with online financing and payment services. The startup’s goal is to cover $2 billion of annualized inventory purchase financing by the end of 2024.
The company, founded in 2016, offers services like AwanTempo for financing and AwanToko for inventory and order management to over 120,000 merchants across Indonesia. By utilizing proprietary transaction data and machine learning technologies, AwanTunai aims to analyze and mitigate risks associated with lending, especially for cash-based enterprises that have limited access to traditional banking services. The funding round is expected to help the startup address the challenge of limited access to working capital for many business owners in Indonesia and contribute to the growth of digital lending in the country.
The fintech space in Indonesia is rapidly expanding, with startups like Finture and Alami also making waves in the industry. As AwanTunai continues to innovate and support SMEs through its digital solutions, the future of financial inclusion for Indonesian businesses looks promising.
