Finfra & Xendit team to offer lending platform for SMEs in Indonesia

By Gloria Mathias

Finfra, the lending infrastructure provider that operates in Indonesia has announced a partnership with Xendit to bring automated collections of revenue-based financing of SMEs across Indonesia.

Xendit, the payment gateway solution designed specifically for the Southeast Asian market, has provided MSMEs with advanced payment rails and infrastructure. The partnership will bring an entirely new collections automation structure to the mass market in Indonesia, and Finfra, through its affiliate Danabijak, will be the first to roll it out to customers.

Finfra and Xendit have developed a new system of API-enabled bank accounts that can be opened on behalf of the borrowing party. Through these Finfra- and Xendit-built accounts, users can receive short-term loans, enabling business growth by providing needed capital and repayment flexibility that caters to their exact needs. Xendit’s Rekening Dana Fintech (RDF) feature then allows funds to be automatically debited from the borrower as corresponding revenue accumulates in their account.

Reinis Simanovskis, Co-Founder, and CTO at Finfra, said, “Xendit’s specific focus on Southeast Asia made them an ideal partner, and we’ve worked closely with them to make sure this product addresses the needs specific to this region. We see this as bringing an innovative new product to a market that is more than ready for it, and yet another way we’re supporting Indonesian SMEs in a global context.”

Mikiko Steven, Managing Director at Xendit, said, “We’re incredibly excited about this partnership with Finfra through its affiliate, Danabijak, and this product, which finally provides the Indonesian market with the modern RBF program it needs. Simplifying and modernising payments has been at the core of our work since we founded this company, and we see this as a new implementation of that focus. To that end, it matters to us that we’re partnering with a company as focused on Southeast Asia and Southeast Asian SMEs as we are.”