Collaboration to transform Indonesia’s digital payment services | Bahasa
Indonesia.24 May 2023.3 min read
Indonesia, 24 May 2023 - Research by Google, Temasek, Bain & Company found that 51% of Indonesians do not have bank accounts due to a lack of access to financial institutions (unbanked). The same report also found that around 26% of Indonesia’s population do not have the access that matches their needs, like credit cards, insurance, and long-term savings (underbanked). To accelerate financial inclusion in Indonesia, DANA (PT Espay Debit Indonesia Koe), an Indonesian digital wallet, offers solutions to the unbanked and underbanked segments in Indonesia. This is in line with the Indonesian government’s financial inclusion goal.
Working closely with fintech companies, e-commerce business, and e-marketplaces to create a digital solution that supports Indonesia’s digital economy, DANA and Bank DBS Indonesia’s collaboration started in August 2022. This collaboration aims at leveraging Real-Time Application Programming Interface (API) by DBS or DBS RAPID digital solution to integrate real-time processing of payments, receivables, and transaction information into business workflows. This enables corporate customers to focus on growing their business without getting bogged down by the complex back-end processes.
DANA Chief Product Officer Rangga Wiseno has an ambition to create a financial technology application that provides transparent and easy-to-use payment services for the general public. As a server-based digital wallet, DANA offers top-up, money transfer, online and offline bill payment, and online game top-up services and facilitates barcode scanning at various outlets and e-commerce businesses. DANA also offers zero-fee transfer service to banks and non-bank financial institutions. Today, DANA has more than 144 million users that enjoy the benefits of its services.
“We believe that everyone has the right to access to financial services. Therefore, DANA focuses on improving digital services to reach the wider public, especially in rural areas. To accelerate system transformation, we work together with our partners, including Bank DBS Indonesia,” said Rangga Wiseno.
As one of the first banks to implement the BI-Fast payment system, Bank DBS Indonesia incorporated the API feature into the DBS RAPID service, namely the BI-Fast API, to facilitate domestic fund transfers at BI-Fast participants instantly 24/7, and the Transaction Status Enquiry (TSE) API that serves to check the payment status in the event of a timeout.
"The BI-Fast payment system makes it easy to move funds between digital wallets and various bank accounts at a more affordable cost. By using DBS RAPID, we find that payment settlement time is shortened so that it is more efficient and transaction costs are more affordable. DBS RAPID also helps minimise problems such as failed payments that result in temporary suspension of services on the application. Going forward, DANA and Bank DBS Indonesia will continue to innovate to help advance the national economy, and encourage the acceleration of financial inclusion and literacy in Indonesia," said Rangga Wiseno.
PT Bank DBS Indonesia's Global Transaction Services unit reported an increase of more than 700% in total transaction volume in 2022, contributed mostly by BI-Fast transactions through DBS RAPID’s corporate digital channel. The adoption of DBS RAPID was further strengthened by a 1,500% increase in transaction volume in 2022. This is an encouraging development as more and more corporate customers require integrated digital services.
Bank DBS Indonesia creates a better experience for corporate customers through the development of features and solutions that are integrated into the bank's core system. Bank DBS Indonesia will also continue to improve DBS IDEAL’s customer journeys and expand its feature capabilities by participating in BI-Fast phase two that will focus on revenue. Additionally, Bank DBS Indonesia will develop API channels to support cash management and trade finance products and services.
Dandy Pandi, Head of Global Transactions Services, PT Bank DBS Indonesia, said, "We are pleased to be able to help DANA accelerate digital-based services and achieve banking service efficiency. This is supported by Bank DBS Indonesia’s capabilities, with more than 46 API services to facilitate the transaction needs of corporate customers. By integrating our banking services into DANA's core system, they can operate without the need to switch platforms, making transactions more visible. This commitment makes us 'More like an innovator, less like a bank' that continues to innovate to provide smart and intuitive digital banking solutions that are ready to help businesses grow rapidly."
Driven by a mission to be the Bank of Choice for Transition, Bank DBS Indonesia is committed to helping corporations as well as fintech companies make the transition to be more environmentally friendly and optimise the digitalisation process. In the fintech segment, recently, DBS Bank Ltd (DBS) and Bank DBS Indonesia collaborated with KreditPro (PT. Tri Digi Fin), a digital funding platform for micro, small, and medium enterprises (MSMEs) in Indonesia, to provide supply chain financing. DBS, acting as institutional lender, channels loans to MSMEs via KreditPro. The collaboration is the realisation of DBS' aspiration to reach the MSME segment.
For more information on DBS RAPID, visit https://go.dbs.com/id-rapidpr.
About DBS
DBS is a leading financial services group in Asia with a presence in 19 markets. Headquartered and listed in Singapore, DBS is in the three key Asian axes of growth: Greater China, Southeast Asia and South Asia. The bank's "AA-" and "Aa1" credit ratings are among the highest in the world.
Recognised for its global leadership, DBS has been named “World’s Best Bank” by Global Finance, “World’s Best Bank” by Euromoney and “Global Bank of the Year” by The Banker. The bank is at the forefront of leveraging digital technology to shape the future of banking, having been named “World’s Best Digital Bank” by Euromoney and the world’s “Most Innovative in Digital Banking” by The Banker. In addition, DBS has been accorded the “Safest Bank in Asia“ award by Global Finance for 14 consecutive years from 2009 to 2022.
DBS provides a full range of services in consumer, SME and corporate banking. As a bank born and bred in Asia, DBS understands the intricacies of doing business in the region’s most dynamic markets. DBS is committed to building lasting relationships with customers, as it banks the Asian way. Through the DBS Foundation, the bank creates impact beyond banking by supporting social enterprises: businesses with a double bottom-line of profit and social and/or environmental impact. DBS Foundation also gives back to society in various ways, including equipping communities with future-ready skills and building food resilience.
With its extensive network of operations in Asia and emphasis on engaging and empowering its staff, DBS presents exciting career opportunities. For more information, please visit www.dbs.com
Working closely with fintech companies, e-commerce business, and e-marketplaces to create a digital solution that supports Indonesia’s digital economy, DANA and Bank DBS Indonesia’s collaboration started in August 2022. This collaboration aims at leveraging Real-Time Application Programming Interface (API) by DBS or DBS RAPID digital solution to integrate real-time processing of payments, receivables, and transaction information into business workflows. This enables corporate customers to focus on growing their business without getting bogged down by the complex back-end processes.
DANA Chief Product Officer Rangga Wiseno has an ambition to create a financial technology application that provides transparent and easy-to-use payment services for the general public. As a server-based digital wallet, DANA offers top-up, money transfer, online and offline bill payment, and online game top-up services and facilitates barcode scanning at various outlets and e-commerce businesses. DANA also offers zero-fee transfer service to banks and non-bank financial institutions. Today, DANA has more than 144 million users that enjoy the benefits of its services.
“We believe that everyone has the right to access to financial services. Therefore, DANA focuses on improving digital services to reach the wider public, especially in rural areas. To accelerate system transformation, we work together with our partners, including Bank DBS Indonesia,” said Rangga Wiseno.
As one of the first banks to implement the BI-Fast payment system, Bank DBS Indonesia incorporated the API feature into the DBS RAPID service, namely the BI-Fast API, to facilitate domestic fund transfers at BI-Fast participants instantly 24/7, and the Transaction Status Enquiry (TSE) API that serves to check the payment status in the event of a timeout.
"The BI-Fast payment system makes it easy to move funds between digital wallets and various bank accounts at a more affordable cost. By using DBS RAPID, we find that payment settlement time is shortened so that it is more efficient and transaction costs are more affordable. DBS RAPID also helps minimise problems such as failed payments that result in temporary suspension of services on the application. Going forward, DANA and Bank DBS Indonesia will continue to innovate to help advance the national economy, and encourage the acceleration of financial inclusion and literacy in Indonesia," said Rangga Wiseno.
PT Bank DBS Indonesia's Global Transaction Services unit reported an increase of more than 700% in total transaction volume in 2022, contributed mostly by BI-Fast transactions through DBS RAPID’s corporate digital channel. The adoption of DBS RAPID was further strengthened by a 1,500% increase in transaction volume in 2022. This is an encouraging development as more and more corporate customers require integrated digital services.
Bank DBS Indonesia creates a better experience for corporate customers through the development of features and solutions that are integrated into the bank's core system. Bank DBS Indonesia will also continue to improve DBS IDEAL’s customer journeys and expand its feature capabilities by participating in BI-Fast phase two that will focus on revenue. Additionally, Bank DBS Indonesia will develop API channels to support cash management and trade finance products and services.
Dandy Pandi, Head of Global Transactions Services, PT Bank DBS Indonesia, said, "We are pleased to be able to help DANA accelerate digital-based services and achieve banking service efficiency. This is supported by Bank DBS Indonesia’s capabilities, with more than 46 API services to facilitate the transaction needs of corporate customers. By integrating our banking services into DANA's core system, they can operate without the need to switch platforms, making transactions more visible. This commitment makes us 'More like an innovator, less like a bank' that continues to innovate to provide smart and intuitive digital banking solutions that are ready to help businesses grow rapidly."
Driven by a mission to be the Bank of Choice for Transition, Bank DBS Indonesia is committed to helping corporations as well as fintech companies make the transition to be more environmentally friendly and optimise the digitalisation process. In the fintech segment, recently, DBS Bank Ltd (DBS) and Bank DBS Indonesia collaborated with KreditPro (PT. Tri Digi Fin), a digital funding platform for micro, small, and medium enterprises (MSMEs) in Indonesia, to provide supply chain financing. DBS, acting as institutional lender, channels loans to MSMEs via KreditPro. The collaboration is the realisation of DBS' aspiration to reach the MSME segment.
For more information on DBS RAPID, visit https://go.dbs.com/id-rapidpr.
About DBS
DBS is a leading financial services group in Asia with a presence in 19 markets. Headquartered and listed in Singapore, DBS is in the three key Asian axes of growth: Greater China, Southeast Asia and South Asia. The bank's "AA-" and "Aa1" credit ratings are among the highest in the world.
Recognised for its global leadership, DBS has been named “World’s Best Bank” by Global Finance, “World’s Best Bank” by Euromoney and “Global Bank of the Year” by The Banker. The bank is at the forefront of leveraging digital technology to shape the future of banking, having been named “World’s Best Digital Bank” by Euromoney and the world’s “Most Innovative in Digital Banking” by The Banker. In addition, DBS has been accorded the “Safest Bank in Asia“ award by Global Finance for 14 consecutive years from 2009 to 2022.
DBS provides a full range of services in consumer, SME and corporate banking. As a bank born and bred in Asia, DBS understands the intricacies of doing business in the region’s most dynamic markets. DBS is committed to building lasting relationships with customers, as it banks the Asian way. Through the DBS Foundation, the bank creates impact beyond banking by supporting social enterprises: businesses with a double bottom-line of profit and social and/or environmental impact. DBS Foundation also gives back to society in various ways, including equipping communities with future-ready skills and building food resilience.
With its extensive network of operations in Asia and emphasis on engaging and empowering its staff, DBS presents exciting career opportunities. For more information, please visit www.dbs.com
