OneConnect leads Southeast Asia’s sustainable financing with two smart lending platforms

OneConnect Financial Technology Co. Ltd. (OneConnect), today announced it is leading Southeast Asia’s sustainable financing with the launch of two smart lending platforms – SeekCap, the Philippines’ first lending platform that helps the underserved micro, small and medium enterprises (MSMEs) manage cashflow and grow their business, as well as a multi-finance platform that will empower millions of unbanked and underbanked Indonesians with easy access to loans to finance their purchase of vehicles essential for their daily transportation so as to improve mobility and their lives.

SeekCap – The Philippine’s first lending platform to meet the banking needs of MSMEs

Today, OneConnect and UBX Philippines Corporation (UBX), the wholly-owned fintech subsidiary of Union Bank of the Philippines (UnionBank), launched SeekCap, the first MSME lending platform in The Philippines.

Through SeekCap loans marketplace, multiple lenders can on board their loan products allowing borrowers to choose what best suits their business needs, and apply for loans digitally and seamlessly on a single end-to-end platform. Loans can be approved on the same day, and disbursed within three working days. This drastically shortens turnaround time as compared with traditional loan applications in The Philippines.

Multi-finance lending platform in Indonesia

In addition, OneConnect and Sinar Mas Multi-finance, a subsidiary of Sinar Mas Multiartha (Sinar Mas Financial Services Group) and part of the Sinar Mas conglomerate in Indonesia, today signed an agreement to build one of Indonesia’s first multi-finance platforms to give millions of Indonesians easy access to loans to finance their purchase of motorcycles and cars as transport necessities that greatly enhance mobility and improve livelihoods.

Championing inclusive growth for sustainable business and better living standards in Southeast Asia

The two smart lending platforms use advanced technologies to democratize access to credit facilities and champion inclusive growth for everyone to achieve sustainability in business management and better income.

MSMEs form the backbone of any economy. In the Philippines, more than 99% of all businesses are MSMEs and they contribute to almost 63% of total employment. Yet, at present, only 9% of loans and financing from the country’s major banks go to MSMEs. With a digital lending platform like SeekCap, MSMEs can easily obtain loans to better manage cashflow and grow their business.

In Indonesia, many people aspire to have a better income and improve their lives. Owning a vehicle as a basic mode of transport can empower an Indonesian to start his own business, and use it as his or her everyday transportation mode, for instance. This creates a sustainable standard of living, as well as millions of Indonesians being able to obtain loans to enjoy better access to education and formal job markets.

When people’s livelihoods improve and businesses flourish, poverty will reduce and the country’s economic output will increase – thus achieving inclusive and sustainable growth.

According to Ms Tan Bin Ru, CEO of OneConnect Financial Technology: “The Philippines is a strategic market for OneConnect. Though the World Bank figure shows that only 35% of Filipinos have formal bank accounts in 2018^[1], this figure is a good increment from the preceding years. Filipinos have also been making a lot of digital payments and remittances in recent years. These are clear signs that Filipinos welcome new technologies, and I expect digital transformation in The Philippines’ financial sector to scale considerably.”

Stated Mr John Januszczak, president and CEO of UBX, “I am very pleased with the outcome of SeekCap. When UBX entered into a technology development alliance with OneConnect, we envisage a high performing digital platform that would showcase cutting-edge proprietary technology found nowhere else – OneConnect has impressed us and delivered us the first of its kind lending platform for MSMEs in The Philippines within a short span of four months.”

Mr Januszczak continued, “With SeekCap now a live, functioning online platform, I am pleased to report that we are already disbursing credit to the Philippines’ MSME segment. As the fintech arm of the Philippines’ leading innovative bank, we continue to seek trailblazing avenues to better cater to our customers. Ultimately, UBX’s underpinning strategic intent is to transform the lives of Filipinos, and accelerate their growth by connecting them to a whole new world of opportunities.”

SeekCap’s first customer, Ms Faith Calimlim, Co-owner of TECHNOHOLICS, a premier provider of quality technology products and services for businesses, described her seamless experience from browsing to applying and receiving loans on SeekCap, “As an entrepreneur who has a busy schedule, SeekCap allows me to browse and compare loans on one single platform, anytime, anywhere. I finally applied for a loan package that best suits my business needs. I was pleased to receive the loan amount the next day. I plan to use the funds to expand my business.”

Mr Doddy Susanto, President Director of Sinar Mas Multiartha said, “There is a vast lending gap in Indonesia and we are harnessing cutting-edge technology to narrow that gap. We are glad that OneConnect is our technology partner as we embark on our transformation roadmap to digitize our channels and banking products and services.”

He added, “The first multi-finance lending platform of Indonesia that we are building will greatly enhance user experience and the livelihoods of both consumers, and our financing agents. Millions in the untapped demographic cluster will be able to gain easy access to credit lines to help them own a vehicle essential for daily transportation and in turn, improve their mobility and enjoy new income streams. Financing agents on the move can conduct business using their mobile phones.  I envisage we will be able to serve our customers and agents with better banking experience, scale our digital presence and disrupt the traditional lending space.”

Said Ms Tan, “I am pleased to have Sinar Mas Financial Services Group as our valued strategic partner. OneConnect is also working with multiple subsidiaries within the Sinar Mas Financial Services Group including Bank Sinarmas and Asuransi Sinar Mas, to build a true lending ecosystem with multiple players coming together to offer a web of services and data points from Indonesia’s credit bureau, social media, e-commerce, lifestyle and IoT services and so forth. We are delighted to be the trusted tech partner of Sinar Mas Financial Services Group in their transformation roadmap to digitalize their suite of banking and insurance products.”

OneConnect’s Smart Lending Platforms

OneConnect’s smart lending platform comprises three key proprietary solutions:

• Smart Lending solution has anti-fraud and credit risk management engines using artificial intelligence-enabled eKYC solutions for instant account opening and onboarding, and robust risk scorecard modeling to enable instant loan approvals.
• Smart Interview solution allows loan officers to remotely interview an applicant and detect fraud or possible loan default by analyzing 56 facial muscle movements in real time using OneConnect’s micro-expression technology. This will make instant loan approval and disbursement possible.
• Smart Agent solution lets financing agents utilize their mobile phones and acquire and onboard new customers using mobile phones while on the move. The app also enables FAs to communicate with prospective leads, and submit loan applications seamlessly.

The smart lending platform is designed using OneConnect’s advanced technologies for end users to enjoy a smooth, hassle-free banking journey.