KOMUNAL raised $5.5 M Series A+ funding from Sumitomo Corporation Equity Asia
Aiming to promote financial inclusion through the digitalization of rural banks (BPR), KOMUNAL is an Indonesian fintech company that raised $5.5 million in a Series A+ funding round led by Sumitomo Corporation Equity Asia to close out 2023.
Notable venture capital firms Gobi Partners, Jafco Asia, Skystar Capital, and Sovereign Capital also participated in the funding round. said KOMUNAL on Monday in a statement.
With the Series A+ funding, KOMUNAL is still dedicated to advancing financial inclusion in Indonesia by digitalizing rural banks, which have hyperlocal connections to their local communities.
The business will also keep adding new products to its lineup and forging strong alliances with more small banks, especially those outside of Java and Bali.
The company added that it successfully maintained operational profitability in the second half of 2023, achieving strong operational performance and growth.
KOMUNAL was able to channel nearly three times as much money in loans and deposits in 2023 ($600 million total), compared to the previous year.
Over 1,300 micro, small, and medium-sized enterprise (MSME) projects across Indonesia have received loans totalling $250 million from the company through KomunalP2P.
Furthermore, $350 million in deposit funds have been routed to 376 rural banks nationwide through DepositoBPR by Komunal.
“We are grateful for these achievements, and hope that they also reflect the benefits experienced first-hand by many individuals and small businesses,” said Hendry Lieviant, Co-Founder and Chief Executive Officer of KOMUNAL.
“This is a collective accomplishment by all of KOMUNAL’s treasured stakeholders,
“Without the backing of our investors, rural bank partners, regulators, and the entire KOMUNAL team, these milestones would not be possible,” he added.
Additionally, he expressed his strong belief that digitalizing rural banks is essential to fostering financial inclusivity in Indonesia.
“We will continue to innovate and bring meaningful impacts to Indonesia’s massive population base, especially the underserved yet promising MSMEs in tier 2 and 3 cities,” he said.
In order to boost economic growth in Indonesia, KOMUNAL is a fintech company whose goal is to digitize rural banks and accelerate financial inclusion by combining funding access and hyperlocal lending.
By means of its exclusive collaboration with Indonesia’s rural banks, Komunal offers financial services to the unbanked populace.
KOMUNAL channels profitable loans to MSMEs primarily based in Indonesia’s tier 2 and tier 3 cities through partnerships with 376 rural banks throughout the country.
