The ID FinTech firm, Amartha, which operates an Indonesian peer-to-peer lending platform, has successfully amassed an investment of $100m from Community Investment Management (CIM), a prominent US-based debt provider.
The hefty funding round has resulted in a $100m cash injection into Amartha, thanks to the contribution from CIM, according to a report from Tech in Asia. This marks a significant milestone for the Indonesian platform in the FinTech space.
Diving into the operations of Amartha, the firm offers an innovative solution in the form of a peer-to-peer lending platform. Established in 2010, Amartha had a challenging start, with the company being on the brink of collapse. However, a successful pivot from conventional microfinance to peer-to-peer lending in 2016 marked a turning point. The company has been profitable for the past three years.
The newly raised funds are earmarked for working capital loans for Micro, Small, and Medium Enterprises (MSMEs) in Indonesia. Amartha’s dedication to nurturing these businesses is evident in their track record. To date, they have disbursed over $800m in working capital loans to 1.6 million businesses, a large percentage of which are women-led.
In 2019, Amartha’s CEO, Andi Taufan Garuda Putra, was appointed by President Joko Widodo as his special staff member. Putra, however, resigned shortly thereafter.
Before this round, Amartha had raised an impressive total of $85.5m across various funding rounds, which included a significant $50m from UK-based Lendable.
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