Funding Societies Makes Co-investment in Indonesia’s Bank Index

by Fintech News Indonesia April 26, 2022

Funding Societies, Southeast Asian SME digital financing platform also known as Modalku in Indonesia, announced its investment into Indonesia’s Bank Index alongside Carro, a Southeast Asian automotive marketplace platform.

This move signals Funding Societies’ entry into the neobanking space.

With a focus on SME banking, Bank Index is a privately-owned national bank with a nation-wide footprint of 53 offices networks in major commercial areas across Jabodetabek, Java, Sumatra, Bali and Batam.

Bank Index also conducts business across a range of commercial supply chains while offering mobile and internet banking services to its clients.

Funding Societies provides digital financing services, where developing MSMEs can apply for up to SG$ 2 million in working capital financing funded by institutional and retail investors through a digital market.

The company has facilitated more than SG$ 3 billion in working capital through more than 5 million MSME loan transactions.

In addition to Singapore and Indonesia, Funding Societies also operates in Malaysia, Thailand, and Vietnam.

Kelvin Teo

Kelvin Teo, Co-founder and Group Chief Executive Officer of Funding Societies and Modalku said,

“Our investment and partnership with Bank Index will support Funding Societies’ business strategy into neobanking. Bank Index shares the vision of empowering and developing SMEs.

Our complementary capabilities will enable us to serve SMEs better across banking, payments, lending and digital services to uplift Southeast Asia’s economies through small businesses.”

Gimin Sumalim

Gimin Sumalim, President Director of Bank Index added,

“We are delighted to welcome Funding Societies and Carro as shareholders of Bank Index.

Together, we will partner to forge strategic initiatives based on our shared vision and mission, primarily to greatly expand our services to our target market. This collective step is also a reference point to continue pursuing comprehensive digital transformation.”