Tyme CEO on the digibank’s future

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Hello reader,

At the 2024 Tech in Asia Conference in Jakarta, I was sitting backstage with my panelists (I was the moderator), waiting to go on stage. We were shooting the breeze, and somehow we got onto the topic of credit cards.

As a Singaporean, I was surprised to hear how difficult it was for someone to get a credit card in Indonesia. One has to call their bank, fill up a form online to be considered for an application, and submit a bunch of documents as part of the application.

In Singapore, we can just use SingPass – our digital identity service – to apply for a card, auto-filling in details such as our name, address, and salary. I’ve received approval within minutes of submitting the application – it’s almost scary how easy it is to get a credit card in this country.

In today’s premium story, Coenraad Jonker, founder of newly minted unicorn Tyme Group, shared that “the quality of financial infrastructure in a market is highly correlated to the level of economic inclusion.”

I feel like my anecdote about credit cards illustrates this pretty well – fundamentally, we need to have the structures in place to support true financial inclusion and accessibility. Otherwise, nothing is really changing, is it?

Today we look at:

• Jonker’s thoughts on Tyme Group and the digital banking journey
• A jobs platform launched by an Upgrad founder and an ex-Oyo exec
• Other newsy highlights such as Singapore’s investigation of eight telemedicine firms and TikTok Shop’s 2024 gross merchandise value

Premium summary

The right Tyme

Image credit: Timmy Loen

Tyme Group recently raised US$250 million in funding, which pushed it to unicorn status. The company plans to use these funds to expand its digital banking services into Vietnam and Indonesia, adding to its existing operations in South Africa (where it operates as TymeBank) and the Philippines (GoTyme).

• Recipe for success: TymeBank is profitable, making it one of the few digital banks globally that aren’t in the red. According to Coenraad Jonker, CEO of the bank’s parent firm Tyme Group, digital banks need to keep four things in mind to have healthy financials: acquire customers quickly and affordably, maintain their engagement, ensure customer satisfaction, and manage lending volume and risk effectively.
• A different approach: Tyme has a different strategy for its Vietnam and Indonesia operations compared to how it entered its current markets. Instead of beginning with consumer savings accounts like in the Philippines, it plans to target SME merchants in those new markets by offering cash advance services.
• The AI question: Jonker believes AI will drastically reshape the banking industry. Tyme is already utilizing AI to generate code, as well as implementing it in areas such as social media engagement and customer service. He also sees potential in AI for automating processes like bills payments and credit scoring, but he feels that Tyme needs to “work on the culture and mindsets” of people within its business to leverage the tech more effectively.

Read more: Tyme CEO on cracking the code to unicorn status

Jobs, jobs, jobs!

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