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The largest bank in Japan contributes $200M to the Jakarta-based fintech Akulaku

The biggest bank in Japan, Mitsubishi UFJ Financial Group (MUFG), has invested $200 million in the Jakarta-based financial technology company Akulaku. In 2023, the startup and MUFG want to enter additional markets and launch new products as part of a strategic investment. In January of this year, Akulaku received $100,000,000 in capital from Siam Commercial Bank as part of another strategic investment. Ant Group is also a supporter (earlier this year, Akulaku formed a BNPL relationship with Alipay+).

In addition to serving customers in Indonesia, Akulaku also serves those in the Philippines and Malaysia by way of its virtual credit card and instalment purchasing platform, investment platform, and neobank. It launched in2016, and its goal is to reach 50 million users by the year 2025.

Akulaku has pledged to collaborate with MUFG enterprises in the Southeast on technology, product development, finance, and distribution as part of MUFG’s strategic commitment. This year, MUFG spent 596 million euros on Home Credit BV’s operations in the Philippines and Indonesia, demonstrating its commitment to expanding its position in the area. As local banks in the region, such as DBS Group Holdings in Singapore and Bank Central Asia in Indonesia, surpass MUFG in market capitalization, MUFG has shifted its attention to Southeast Asia.

Managing Executive Officer and Chief Executive Officer of MUFG Bank’s Global Commercial Banking Business Unit Kenichi Yamato issued the following statement:

“Southeast Asia is key and a second market to MUFG. Our investment in Akulaku will further solidify our commitment in this region to meet growing financial needs of underserved customers.”