Adrian Gunadi, chairman of the Indonesian Fintech Lenders Association (AFPI), said on Wednesday that peer-to-peer (P2P) lending provider Investree had received an allocation from state-owned Bank Mandiri to disburse national economic recovery funds to several small business customers.

“That is one way we could see fintech playing a very big role, especially when everything is going digital because of the pandemic,” Adrian said at Jakpost Fintech Fest, a virtual discussion held by The Jakarta Post. “The government is moving toward a less-contact economy.”

“I think that is where fintech will become more relevant. It has to be part of a bigger ecosystem for us to be able to accelerate the relief effort for Indonesia."

The government has set aside Rp 695 trillion (US$46.9 billion) for COVID-19 relief efforts, although only 36 percent of the budget has been spent.

Investree is also taking part in the government’s e-procurement program, which seeks products from small and medium enterprises (SME) for state procurement. The government expects to spend Rp 700 trillion in the procurement.

“When you talk about government relief programs, we have to make sure that the program or the funds reach the right person or the right business. So that is where you need to have clarity on the profiling or credit profiling of the business,” Adrian added.

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