TheJakartaPost

Please Update your browser

Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.

Jakarta Post

Visa invests in Go-Jek to push digital payments in Southeast Asia

  • Yoolim Lee

    Bloomberg

  /   Wed, July 17, 2019   /   11:44 am
Visa invests in Go-Jek to push digital payments in Southeast Asia Personal shopper: A Go-Jek driver shows his cellphone to a shopkeeper while buying fried banana for a customer in Tanjung Barat, West Jakarta. (The Jakarta Post/Arief Suhardiman)

Visa Inc. has become the latest investor in ride-hailing giant Go-Jek as the two companies push digital payments across Southeast Asia.

The world’s biggest payments network has invested an undisclosed amount in Go-Jek as part of the Indonesian company’s ongoing series F fundraising round, the two companies said Wednesday.

The move follows Go-Jek’s announcement this month it had secured funding from Thailand’s Siam Commercial Bank Plc, Mitsubishi Motors Corp., Mitsubishi Corp. and Mitsubishi UFJ Lease & Finance Co. The terms of that deal were also not disclosed.

Go-Jek, which debuted its app for hailing motorbike taxis in Jakarta in 2015, is expanding beyond Indonesia to cater to consumers across Southeast Asia, building an all-purpose consumer app similar to Tencent Holdings Ltd.’s WeChat in China. It’s valued at $10 billion according to CB Insights, and hosts more than 20 on-demand services on its platform from food delivery to digital payments.

The two companies have “a shared goal to bring formal financial services to the unbanked and underserved, including micro, small and medium businesses,” Visa Regional President Asia Pacific Chris Clark said in a statement. “We will explore ways to leverage the power of Go-Jek and Visa’s networks to expand financial access in Southeast Asia.”

Visa and Mastercard Inc. have teamed up with mobile startups in Southeast Asia in recent years, where the vast majority of transactions are still cash-based and the pace of adoption of digital payments is slow. Mastercard has partnered with Go-Jek rival Grab, while Visa has announced a partnership with gaming accessories maker Razer Inc.