Indonesian e-commerce leader Bukalapak has phased out its buy now, pay later (BNPL) service, BukaCicilan, as of 29 February 2024.
This decision reflects the broader challenges facing the BNPL sector, which has seen several service discontinuations and exits in recent times.
Desy Hartono, Vice President of Financial Solutions at Bukalapak, shared with Tech in Asia that this move is intended to simplify installment payment options for their customers, promoting a direct engagement between users and BNPL providers, such as Kredivo, for a more streamlined experience.
BukaCicilan was originally introduced in October 2018 through a partnership with multifinance entity, PT Akulaku Finance Indonesia.
Despite its closure, Bukalapak clarifies that the decision is not linked to the temporary operational restrictions Akulaku faced from Indonesia’s Financial Services Authority (OJK) in October 2023.
Notably, Akulaku has since resumed its BNPL activities as of 4 March 2024.
