Gobi-backed EWA firm Paywatch expands to Indonesia

Indonesian factory workers / Photo credit: Shutterstock

Paywatch has partnered with Indonesia’s Bank KB Bukopin to introduce what the former described as the country’s first bank-backed earned-wage access (EWA) service.

The partnership addresses cash flow challenges often faced by low-income workers in Indonesia. Paywatch’s EWA solution allows employees to access a portion of their earned wages in advance without any interest or fees.

In a statement, CEO and co-founder Richard Kim expressed his confidence in expanding into other markets in Southeast Asia after the firm’s initial success in Malaysia and South Korea.

Paywatch, which is one of the portfolio companies of Gobi Partners, also highlighted the significance of bank-backed EWA services, saying that Bank KB Bukopin has a reliable infrastructure and regulatory framework to offer a secure EWA solution.

The fintech firm said over 200,000 employees have used its EWA solution across markets, thus improving retention rates for businesses. It has saved SMEs and multinational corporations over 6 billion rupiah (US$400,800) in annual rehiring fees, Paywatch said.

EWA has been gaining traction over the past few years in Southeast Asia. In Indonesia, Paywatch will have to compete with several notable names, including GajiGesa and Wagely.

See also: Is earned-wage access Indonesia’s latest hot ticket?

Currency converted from Indonesian rupiah to US dollar: US$1 = 14,969 rupiah.