TEMPO.CO, Jakarta - Fintech`s growth is getting stronger along with their ambition to become investors in formal financial service institutions such as banks. On Friday last week, China-based fintech company AkuLaku becomes a shareholder in Bank Yudha Bhakti.
Akulaku is registered with the Financial Services Authority (OJK) as a peer-to-peer lending company through PT Pintar Inovasi Digital.
OJK's deputy commissioner for banking supervision Budi Armanto said fintech's existence could improve banks' information and communication technology.
He added that the inclusion of small and medium banks could also become a trend, given the current digital development.
Akulaku now owns 8.9 shares that belong to Bank Yudha Bhakti's controlling shareholder PT Gozco Capital, who previously had 42.16 percent shares. Akulaku paid Rp158bn to acquire the stake.
Meanwhile, the banking industry also continues to increase its service coverage to compete with fintechs. Bank Mandiri, for example, has established partnerships with e-commerce platforms to reach the MSME sector.
Mandiri's director of small business and networking division Hery Gunardi said the bank had recently established cooperation with Bukalapak, after having done so with Tokopedia.