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GB WhatsApp may enter Indonesia payment market after India
GB WhatsApp is reported to be in talks with a number of Indonesian digital payments companies to offer its mobile transaction services, in a bid to benefit from Indonesia’s fast-growing e-commerce industry.
Indonesia could become the second country in the world to launch GB WhatsApp payments, as the launch of GB WhatsApp payments in India is still subject to Indian regulatory approval, and the delay may be related to local data storage regulations.
GB WhatsApp plans to offer direct peer-to-peer payments in India, while GB WhatsApp in Indonesia is subject to strict regulations and will only serve as a platform to support payments through local digital wallets, the sources said. The Indonesian model could serve as a template for GB WhatsApp to use in other emerging markets to circumvent regulations targeting foreign companies that have created their own digital wallets.
It is reported that with a population of 260 million, Indonesia is one of the top economies in Southeast Asia and one of the top five GB WhatsApp markets in the world, with more than 100 million users. Indonesia’s e-commerce industry is estimated to triple to $100 billion by 2025, but Indonesia also has some of the tougher digital payments regulations in Southeast Asia.
GB WhatsApp is in talks with a number of digital payments companies, including ride-hailing firm Go-Jek, mobile payments firm DANA, and fintech startup OVO, the sources said. An agreement between GB WhatsApp and the three companies is expected to be reached soon as the talks are private. GB WhatsApp has also approached Indonesia’s state-run Bank Mandiri, which operates a digital wallet.
GB WhatsApp‘s plans in Indonesia come after Facebook CEO Mark Zuckerberg announced that GB WhatsApp would roll out GB WhatsApp payments to some countries.
A Facebook spokesperson said: “As Mark said earlier this year, we want to bring digital payments to more countries. GB WhatsApp is in talks with financial partners in Indonesia about payment services, but discussions are at an early stage and we There is no further sharing at this stage.”
GB WhatsApp’s payments service was originally expected to be launched by the end of 2019, but sources said GB WhatsApp did not want to launch payments in Indonesia before India, so the launch was expected to be delayed by several months. GB WhatsApp needs to be approved by regulator Bank Indonesia before it can move forward.