We are delighted to share that our member Triodos Investment Management’s Microfinance Fund, Fair Share Fund and Hivos-Triodos Fund have provided a EUR 3 million debt facility to KoinWorks, the leading digital lender in the growing peer-to-peer (P2P) lending space in Indonesia.
KoinWorks is a company which connects borrowers (SMEs) to lenders on its online platform to provide access to credit to the underserved SME market. KoinWorks specialises in SME loans and has over 225,000 retail lenders and more than 4,000 borrowers active on its platform. KoinWorks thereby provides small savers (i.e. retail individuals) with wealth management solutions and an opportunity to channelise and diversify their investments towards the underserved SMEs which form the backbone of the Indonesian economy.
P2P lending is relatively new in Indonesia. KoinWorks plans to work towards further scaling up the platform over the next 2-3 years; also, they aim to continue and further develop, financial literacy training and awareness regarding P2P lending, for example via podcasts and events in Indonesia. Some topics include marketing, running one’s business, financial education and the risks associated with lending.
Currently, KoinWorks’ operations are focused on Java and Sumatra regions, given that they are the major economic hubs of Indonesia, but it will expand to other regions as well in the near future.
Triodos Investment Management is a globally active impact investor. They invest to generate social and environmental impact alongside a healthy financial return. They see impact investing as a driving force in the transition to a more inclusive and sustainable world. For more than 30 years, they have offered impact investment solutions that connect investors who want to make money work for positive change with innovative entrepreneurs and sustainable businesses that believe in the same.