JAKARTA (TheInsiderStories) - Finance technology (FinTech) firm, Payfazz, invested US$30 million in Singapore-based Xfers to provide financial access for businesses through a robustly built payment infrastructure across Southeast Asia. Following this agreement, the two companies will become part of a new financial entity, Fazz Financial Group.
“Leveraging Payfazz’ extensive local network in Indonesia and Xfers’ strong regional payment infrastructure, is a step forward for the two companies to come together and work towards common goals,” said Hendra Kwik, Group CEO of Fazz Financial Group in a written statement released on Thursday (03/04).
With this investment, Xfers will function as a business-to-business (B2B) service focused on external customers. In Indonesia, the provider connecting online businesses to various payment methods which include bank transfers, e-wallets, and offline channels such as banking agent networks and multipurpose shops.
Since 2020, the tech firm has built its position to activate a banking network of agents such as credit agents, grocery stores, and warungs to facilitate the digital payments. Through Payfazz and its network, its expecting Xfers has gathered access to more than 10 million people who do not have access to banking finance in the country.
In the second quarter of this year, Fazz Financial Group will launch the first two new products of a no-integration payment solution targeted at Singapore-based merchants. Then, a single integration solution to connect companies or entrepreneurs with FinTechs wishing to enter Southeast Asia with local payment methods in the region. This is also supported by assistance to reach consumers who do not have banking access.
This investment will further encourage Payfazz and Xfers’ fintech leadership regionally to provide a more collaborative service across the region. Fazz Financial Group will have capabilities that support inclusion through its financial service offerings in Southeast Asia.
Currently, Paypazz launched Online Warung Feature to allowed agents to sell their products online through the online shop profile link on the provider’ application, which they can share with their customers via social media or chat. This apps is a development of a feature that was launched in August last year, namely the Warung Tools Menu, which later orders by customers can be directly recorded in the features so that it can reduce physical contact with customers.
Based on Statistic Indonesia data, 11.7 million out of 64 million micro, small, and medium enterprises have penetrated the digital ecosystem. Currently, there is potential for more than 55.8 million or 87 percent of them that are still not digitalized. This is a potential for startups to help improve their businesses through digital platforms.
Written by Editorial Staff, Email: theinsiderstories@gmail.com
