Indonesia’s most popular e-payment platform, GoPay, is set to join forces with global player PayPal after the former’s parent company Gojek announced a digital payment boost amid fresh investment.
The decacorn announced today that Facebook and PayPal joined the likes of Google and Tencent in a current fundraising round, the amount of which was not disclosed.
Perhaps the one aspect of the announcement that caught most people’s attention in Indonesia is that PayPal’s investment includes a deal in which its payment capabilities will be integrated with GoPay, essentially allowing users of Gojek’s digital wallet access to PayPal’s network of more than 25 million merchants around the world.
The details of the integration have yet to be revealed, but we imagine that it would enable PayPal users in Indonesia to top up their balance using GoPay.
At any rate, the collaboration between PayPal and Gojek is said to be part of a wider push to digitize transactions in Indonesia and across Southeast Asia.
“Southeast Asia is at an inflection point in digital adoption that creates new opportunities to deliver financial services to previously unbanked merchants and consumers. We could not be more excited about entering into this strategic relationship with Gojek to expand access and provide new experiences for our collective customers in this dynamic market and around the world,” Farhad Maleki, Head of Corporate Development and Ventures for APAC at PayPal, said.
Indonesia has seen a rapidly expanding e-wallet market in recent years. A recent report estimated that Indonesia’s e-wallet sector will grow from US$1.5 billion in 2018 to US$25 billion in 2023. GoPay leads the way in mobility payments while Ovo is the leader in offline purchases.
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