KUALA LUMPUR: Financial technology and business solutions provider, Orion IXL Bhd is embarking on the first overseas roll-out of its financial technology (Fintech) solutions for Indonesia’s market, in a partnership with PT Kirana Investima Nusantara.
Group CEO Mohamad Shaharul Mohamad Shariff said a memorandum of understanding (MoU) between both parties had been signed to set up the framework for the collaborations.
“The collaboration is to provide our technology for loans management system as well as credit scoring and also analytical together with artificial intelligence to process micro-financing for 75,000 provinces in Indonesia.
“They will be using micro-financing to develop all these provinces and the loans are to be disbursed through cooperatives,“ he told reporters after the group’s extraordinary general meeting today.
He said a discussion on the contract and business structure will be held next month.
“We have already started talks on the technicals because we will be doing technical customisation due to the different language and regulatory.
“So we will be doing technology development in the next couple of months and discuss phases of jobs and timeline based on their requirement,“ he added.
Mohamad Shaharul said the Indonesian market will be tapped in stages.
“I foresee that in a couple of years, the Indonesian market will further expand and overtake Malaysia in terms of market capitalisation.“
He said the group is also looking at securing recurring-based revenue through long term contracts, either in the local or foreign market such as its 15-year agreement with MyAngkasa Holdings Sdn Bhd.
The agreement was inked by its affiliate company Sukaniaga Sdn Bhd to develop MyAzZahra system.
The company also hopes to secure a 10-year deal with SME Bank, following their recent MoU to provide fintech solutions by creating a framework for traditional and alternative credit scores for the bank’s customers.
About RM10 million of the proceeds would be used to acquire 10% equity in Sukaniaga, RM16 million to develop MyAzzahra system while the remaining RM950,000 would be utilised to fund the exercise.
Source: The Sun Daily