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Launch of GoPay application expected to increase financial literacy in Indonesia
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ndonesia's digital economy is the highest in Southeast Asia, its economic value in 2021 is recorded at around USD 70 billion, and is estimated to be able to reach USD 146 billion in 2025 . To get there, financial inclusion for all has to be an integral part of the system, as well as financial literacy.
Before the pandemic, the Indonesian Financial Services Authority (OJK) reported that the 2019 National Survey on Financial Literacy and Inclusion (SNLIK) showed that the country’s financial literacy index was 38.03 percent and its financial inclusion index was at 76.19 percent.
To address this, the government has presented a new strategy to enhance Indonesia’s financial literacy and inclusion by 2025. This will require collaborative efforts from all parties, including private companies.
One of Indonesia’s technology giants, GoTo, is ready to step up to the plate and do their part. Their financial technology business unit, GoTo Financial, has officially launched the GoPay application nationwide to provide easy access to financial services for all levels of society, including those who have not used Gojek and Tokopedia services so far.
“The launch of the GoPay app is one of the most important milestones for GoTo Financial as it will enable us to reach a much wider range of people, including those who are currently not Gojek or Tokopedia users. With over 97 million adults in Indonesia still unbanked, the GoPay app represents a significant opportunity for us to bring financial services to more people in the country, and enable Indonesians to manage their finances with greater ease,” said Hans Patuwo, President of Financial Services at GoTo.
To ensure that the app is user-friendly for all, especially the unbanked segment, the GoPay app was designed to be able to be downloaded on various types of smartphones, and does not take up a lot of memory space. In addition, the GoPay app has a clear and simple display, so that it will be easy to use and understood by anyone.
“Through the GoPay application, we want to eliminate the barriers to accessing financial services,” added Hans, noting that the app’s light size of less than 25 MB in Android, as well as its clean design were adjustments that were made after in-depth research and user input.
Even though GoPay now has a stand-alone application, GoPay services can still be accessed via the Gojek and Tokopedia applications. With the launch of the GoPay app, however, even those who are not users of Gojek and Tokopedia will be able to use GoPay’s services. The app also caters to the needs of the unbanked segment by ensuring that they have access to services that meet everyone’s basic financial needs.
The GoPay app comes equipped with various features, such as free instant transfers, both between GoPay accounts and/or bank accounts. One of the users of the GoPay app, Titis, who resides in Kendal, Central Java, shared how the app has enabled her to access financial services anywhere.
“In my hometown, whenever we wish to make a transfer, we need to go to offline kiosks that provide transfer services and it can take up to an hour to travel there and back. Each kiosk transfer is also subject to an additional fee, which can be quite costly. With the GoPay app, it is now much easier for me to transfer funds instantly and at no cost. The user interface of the GoPay app is also simple and easy to understand." said Titis.
Other features in the app include the ability to buy credit and data packages at special prices, with minimal administration fees for paying BPJS, PLN and other bills, an automatic expense report feature, and multi-layered security protection.
The automatic expense report feature is aimed at providing users with a transparent picture of their spending. GoTo highlighted that this feature can increase people's financial literacy in the long run, and help them to better plan their finances.
By launching a standalone app, GoPay will reach a wider target segment. Among the 270 million people in Indonesia, around 190 million Indonesians are in the productive age category. This shows the huge potential in Indonesia and the large population that GoPay can reach, especially the underserved segment. The application is aimed at decreasing the number of unbanked adults in Indonesia, which was recorded at 97 million in 2021.
