ImpactAlpha, January 4 — Tokyo-based MUFG Bank, the megabank created by the 2005 merger of Mitsubishi Tokyo Financial Group and UFJ Holdings, is looking to expand its footprint throughout Asia this year.
The missing piece: the large population of underserved consumers and small enterprises in Southeast Asia. At least six of every 10 Southeast Asians are un- or underbanked, and many small enterprises remain disconnected from the formal credit system.
MUFG is investing in Jakarta-based Akulaku to gain access to its customer base of 10 million consumers and merchants in Indonesia, the Philippines and Malaysia. “Our investment in Akulaku will further solidify our commitment in this region to meet growing financial needs of underserved customers,” said MUFG’s Kenichi Yamato.
Akulaku is an e-commerce and fintech company that helps more than 90,000 merchants to sell their products. The mobile app’s 32 million registered users have completed nearly 300 million transactions since 2014. Akulaku also offers buy-now, pay-later credit, cash loans, digital banking, wealth management and insurance brokerage services. The company is looking to provide financial services for 50 million people in Southeast Asia by 2025.