Foreign-Investors-Still-Interested-in-Local-Lending-Fintech

Foreign Investors Still Interested in Local Lending Fintech

The financial Technology (fintech) businessmen based on peer-to-peer lending believe the interest of lenders from abroad or foreign investors to invest to Indonesia’s fintech will continue to grow from time to time.

The management of PT Investree Radhika Jaya (Investree) agrre with thier interest. They stated that the interest of foreign investors in local fintech is expected to double by the end of 2018. Co-Founder and CEO of Investree Adrian Gunadi said that Investree currently has investors of 30,000 people, with active investors of transaction are 20,000 people. The condition described that the number of active investors of transaction is just under 5%.

"It estimate will increase double related to the number of investors, but the local (investors) will still dominate," said Adrian. The other fintech lending company that has the same condition as Investree is Modalku. Co-Founder and CEO of Modalku Reynold Wijaya who mentioned that the number of transaction from foreign investors is still not as big as local investors. Reynold added, but at least from the number of registered investors which are 50,000 people, contribute almost 10%. "There is no target for our foreign investors, the most important is the balance. We are very excited to attract foreign money to Indonesia," said Reynold

Still Facing Various Regulations
Unfortunately, the high interest of foreign investors to actively transact in the local fintech lending company is still facing various regulations. One of them is the complexity of taxes calculation of foreign citizens. This regulation makes the local fintech lending businessmen less interested in responding to the interest of foreign investors.

These problems are revealed by the Director of one of fintech lending company Akseleran, Cristopher Gultom, "There are some (foreign investors) who are quite interested, but because the tax problem of foreign citizens (foreigners) will be quite difficult for us to calculate, then we want to focus first to the local ones.”

Of course, the policy of sharing profit for the surrounding community should also be a consideration for the company in this country. Nevertheless, the various regulations were faced did not reduce the number of foreign investor’s interest to invest to local fintech lending. Akseleran has been able to distribute of Rp 53 billion to 54 billion until the end of May 2018. While the number of active investors in the transaction of fintech lending reached about 15,000 people.

Source: Kontan

Disclaimer: This article is a summary of news articles obtained from a number of mass media. We are not responsible for the accuracy of data or sources of information presented by the mass media that became the reference.

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