One of the most exciting features of the upcoming Cards & Payments Asia conference is the opportunity that we have to feature innovative fintech startups from across Asia. We caught up Aidil Zulkifli, the founder of Indonesian startup UangTeman, to discuss how fintech, short term loans, and the his industry heroes.
How will fintech evolve in Indonesia over the coming year?
Over the next year, fintech in Indonesia will see limited evolution and disruption to the financial services industry. The bulk of fintech innovation in Indonesia is still very much “soft innovation” in which collaboration with the banks is essential to business models like comparison and payments. Online lending, whether in the form of direct alternative finance like UangTeman or P2P lending, is slowly emerging, and this is where traditional financial services face a real risk of being disrupted as there is limited reliance on traditional banks. However, the nascent online lending industry is still very much in the early learning phase where online lenders are still finding their footing in terms of risk pricing, management and, more important, access to data points.
How can analytics help restore the reputation of unsecured lending?
Analytics, when used properly, will help in creating an efficient, fast and convenient lending experience for the average Indonesian. With the use of objective and data-driven analytics that is automated, lenders will be able to limit their risk exposure and most importantly, learn and iterate from the data resulting from the online lending. However, quantifiable analytics must be combined with one’s understanding of the Indonesian money culture in order for analytics-driven lending to be successful in Indonesia. With analytics, we can provide a customer-centric service to the consumer that will drive a change in consumer finance consumption in Indonesia.
Who is your fintech hero and why?
I don’t have a specific fintech hero but if I have to choose one, it will be Elon Musk. Whilst he is now more widely known as the founder of Tesla and SpaceX (sexy stuff), it must be remembered that Musk had co-created PayPal, which today remains a very durable force to be reckoned with in global payments. The customer-centricity in PayPal where they envision simply sending money by email is something that is not recognised by most in financial services to their own detriment. Musk nailed it with his vision and technology (something he repeated in his subsequent ventures) – and that is a trait worth admiring.
Aidil is one of over 120 speakers confirmed to speak at the conference in April. To make sure you have a seat at the most important industry event of the year, register your ticket here.