This proves that our P2P fintech has a very nice advantage and competitiveness
Jakarta (ANTARA) - The total financing arranged by financial technology firms for productive sectors until October 2021 reached Rp114.76 trillion, accounting for 43.65 percent of the total accumulated distribution, the Financial Services Authority (OJK) has said.

"This shows that fintech's role toward productive sectors, such as MSMEs (micro, small, and medium enterprises), has a very huge potential," OJK official Riswinandi noted at an online event here on Tuesday.



To this end, fintech has become a connecting bridge between loan providers and borrowers, to help untangle the long economic distribution chain, he said.


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Fintech has also expanded access to financial services for the people, especially those in the informal productive sector or MSMEs, he added.



In addition, local fintech has good prospects and has a chance to penetrate the regional market, at least within ASEAN nations, Riswinandi said.



This can be observed by the existence of Indonesia's peer-to-peer (P2P) fintech in neighboring countries such as Thailand and the Philippines, he added.



"This proves that our P2P fintech has a very nice advantage and competitiveness," he affirmed.



He explained that in its operation, P2P lending is capable of quick online customer acquisition and risk assessment with the support of artificial intelligence technology.


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Hence, P2P fintech or online lending is a type of financial industry that can play a vital role, especially in bolstering financial inclusion and reaching people who do not yet have access to banking, he observed.



P2P fintech has also become one of the keys for expediting national economic growth through financing to various sectors, he added.



"Especially within our condition that obliges us to limit our mobility as an effort to stem COVID-19 spread, fintech exists with all of its convenience and practicality to receive financing access," Riswinandi expounded.


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Translator: Agatha Olivia, Fadhli Ruhman
Editor: Fardah Assegaf
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