Modalku, Pefindo Credit Bureau partner to create more inclusive financial ecosystem
MODALKU, a peer-to-peer (P2P) lender in Indonesia, and Pefindo Credit Bureau, a credit information organisation, have announced a collaboration to build a more efficient and data-driven P2P lending infrastructure so more people will have access to quality financial services.
The partnership gains Modalku access to Pefindo’s credit reports, consisting of credit history, credit scores, and applicant borrowers’ backgrounds. Information from Pefindo Credit Bureau will add to Modalku’s database, making credit analysis more refined and accurate.
With a faster and more accurate credit assessment process, Modalku can support more quality local Micro, Small, and Medium Enterprises (MSMEs). MSMEs without financing history in the national database system can qualify for credit access.
The partnership also builds efficiency while lowering risks for lenders, as Pefindo Credit Bureau’s reports can be utilised in the loan assessment process to reduce risk of default.
Indonesian MSMEs lack sufficient working capital loans to expand their businesses. According to OJK data, there is an annual credit need of 1.7 trillion rupiah for Indonesian MSMEs.
Source: Digital News Asia