Go-Jek, Indonesia’s largest on-demand multi-service platform, has announced a partnership between its payment unit Go-Pay and Philippines-based fintech startup Coins.ph.
Go-Jek will also make a substantial acquisition of shares to support Coins.ph in its rapid expansion. The amount it will invest is yet undisclosed.
As the market leader in mobile wallets in the Philippines, Coins.ph helps customers, even those without a bank account, to easily access financial services including mobile airtime, remittances, and bill payments through their mobile phone. Its users have reportedly grown to over 5 million in under 5 years, and it processes more than 6 million transactions a month.
The partnership with Go-Pay will potentially bring wider access to critical financial services for the Filipino general public by harnessing Go-Jek’s technological strength and expertise. Go-Pay is the market leader in Indonesia for digital payments, partnered by some 240,000 merchants.
“Coins.ph and Go-Jek share the same vision that has made each a success in their markets, empowering their customers by giving them lower-cost and more convenient access to services. Together we have a tremendous opportunity and by leveraging Go-Jek’s resources and expertise, we can give Filipinos even more convenience, choice, and access to the services they want,” said Ron Hose, Coins.ph founder and CEO.
Go-Pay CEO Aldi Haryopratomo said, “Consumer transaction behavior in Indonesia and the Philippines share many similarities, and together with Coins.ph, we hope to have similar success in accelerating cashless payments in the Philippines.”
Data from WeAreSocial in 2018 has shown that Southeast Asia has one of the highest mobile connectivity rates in the world, with Indonesia and the Philippines clocking higher mobile penetration rates than the worldwide average. However, the Philippine central bank reported in 2017 that the majority of the Filipino population remains unbanked (77%), makes payments primarily in cash (60%) and uses counter services to remit money (over 80%).