South East Asia’s largest ride-hailing app Grab plans to invest 700 million in Indonesian fintech over the next four years.
In big news coming out of South East Asia, Grab has unveiled the ‘Grab 4 Indonesia’ 2020 master plan, which has been endorsed by the Government of Indonesia’s Investment Coordinating Board. To make the master plan a reality, Grab plans to invest 700 million in Indonesian fintech over the next four years.
The plan covers three major pillars aimed at helping Indonesians move into the digital economy. In cooperation with the government of Indonesia, Grab aims to create new IT jobs, invest in entrepreneurship and expand access to mobile payments and financing opportunities.
Anthony Tan, Group CEO and Co-founder of Grab, said, “as the largest homegrown technology startup in Southeast Asia, we are excited to make this significant investment in Indonesia’s future and accelerate their transition to a fully integrated digital economy. The ‘Grab 4 Indonesia’ 2020 master plan underlines our deep commitment to driving Southeast Asia forward and our excitement about the tremendous opportunities we see in Indonesia to help build and advance the country’s digital infrastructure and ecosystem.”
H.E. Thomas Lembong, Chief of Indonesia’s Government Investment Board, said, “The ‘Grab 4 Indonesia’ 2020 master plan is testimony to Indonesia’s conducive business climate. We welcome companies like Grab who want to contribute to Indonesia’s economic progress and create jobs for Indonesians – to further strengthen the nation’s competitiveness in the global marketplace.”
According to a company statement, Grab will expand its mobile payment solutions through GrabPay Credits, its cashless stored value option, and existing partnerships with Mandiri and their e-Cash solution. The company will also continue to develop its shared e-money payments platform with the Lippo Group and Nobu Bank to enable Indonesians to use Grab to pay for goods and services at Lippo’s retail partners.
Grab will also open an R&D center in Jakarta and invest approximately 100 million US dollars in a social impact investment fund for startups & aspiring entrepreneurs. The fund will focus on the mobile and financial services industries.
Grab plans to invest 700 million in Indonesian fintech come at a time of rapid growth for the company in South East Asia. Since launching in 2012, Grab has grown to over 630,000 drivers and recorded 33 million downloads across the region.