Having a more certain ecosystem, three digital banks new comer are ready to compete

Published on 5 Apr 2023

KONTAN.CO.ID - JAKARTA. Even though the digital banking fever is over, new comers continue to emerge offering digital products and services. Most recently, there is Superbank which is a transformation from Bank Fama that will target MSME players.

This bank has received support from its investor, PT Elang Media Visitama, which is the EMTK Group and Grab. Then there is, Bank Mayora, which was recently acquired by BNI, is also directed to optimize the MSME market. Then there is Bank Jasa Jakarta which is owned by the Astra Group together with WeLab which is already strong in working on the motor vehicle credit market.

Senior Faculty of the Indonesian Banking Development Institute (LPPI) Amin Nurdin said that the key to digital banking is only one, the ecosystem. As long as it has a strong ecosystem, it will enable digital banks to survive and increase valuation values.

“Even those that already exist, on average, they only recorded profits in the third year, because at the beginning they burned money or made losses. The challenge for newcomers is to have a new database and must have product innovation, as well as risk management," said Amin to Kontan.co.id on Wednesday (5/4).

Apart from that, Amin said conventional banks have also used two legs besides optimizing traditional business, they have also massively optimized digital services. Amin said globally there are 250 digital banks but only 13 are still in existence, with three entities recording significant profits.

Superbank’s Finance Director Melisa Hendrawati stated that she would focus on continuing the transformation into a digital bank by developing products and services to meet customers' daily needs. Then it will increase integration with the ecosystem owned by Grab and EMTK.

“How do we study pain points in the market, what are the obstacles for users, and use cases for users, drivers, passengers, and merchants. Also what has not been touched by the bank so far and that will be assisted by Grab and EMTK so that our products will not be the same as those already on the market," said Melisa, Wednesday (5/4).

Andya Daniswara, SVP Business Development, Emtek Group, admitted that of the many business lines, EMTK does not yet have services in the financial sector. He sees one of the loopholes that can be entered through digital banks.

Andya stated that with the help of EMTK, Superbank could get exposure to 180 million EMTK consumers, especially from their media line. Then there is also the potential for 14 million MSMEs owned by Bukalapak as one of EMTK's business lines that can be utilized by Superbank. "Data on MSMEs and individuals who are unbanked and underbanked are within Bukalapak, but it's not credit data. But it can be used as an alternative credit rating,” he explained.

As an investor, EMTK wants Superbank to have a sustainable business and be able to make a profit. Along with that, he opened up opportunities for 9,000 EMTK employees to get payroll from Superbank.

The Main Director of BNI, Royke Tumilaar, stated that in the near future he would announce a new name for Bank Mayora which had been transformed into a digital bank. He stated, this digital bank will only focus on the MSME segment.

Meanwhile, Astra Financial Director Handoko Liem said, Astra Financial has officially acquired Bank Jasa Jakarta in September 2022 and in the near future will launch a digital bank. "Our target is one year, so around September 2023 it will be launched," said Handoko recently.

Astra Financial Director Suparno Djasmin said, Bank Jasa Jakarta will later focus on the retail customer segment. He emphasized that Bank Jasa Jakarta would later be developed into a digital bank. Astra Financial sees Bank Jasa Jakarta as a bank that can be synergized with the company's business focus going forward.

This article has been published on Kontan.co.id with the title "Having a More Certain Ecosystem, Three New Digital Banks New Comer Ready to Compete".

Reporter: Maizal Walfajri
Editor: Wahyu T. Rahmawati