Amartha, a pioneering Indonesian microfinance technology company, has announced a significant $17.5 million equity investment from the Accion Digital Transformation Fund. This investment aims to bolster Amartha’s efforts in expanding its platform to provide a comprehensive array of financial products and services tailored for underserved women-led small businesses in rural Indonesia, leveraging advanced data and AI technologies.

Amartha has developed a robust digital financial infrastructure that connects microbusinesses in Tier 2 and 3 cities outside Java Island. By incorporating an embedded lending and funding model for both institutional and retail investors, Amartha offers personalized financial solutions that resonate with their customers. Amartha also offers payment services and a proprietary credit scoring system, providing a highly integrated microfinance technology option for digitizing Indonesia’s grassroots communities. To date, Amartha has disbursed over 25 trillion Indonesian rupiah (US$1.6 billion) in working capital to more than 2.5 million women-led businesses across Java, Sumatra, Nusa Tenggara, Sulawesi, and Kalimantan.

Amartha’s cross-border funding platform not only facilitates access to capital for grassroots businesses but also serves as a profitable and impactful investment avenue for institutional investors. In addition to financial backing, the Accion Digital Transformation Fund will provide strategic support aimed at enhancing customer engagement, operational efficiency, and product innovation through digital advancements.

This investment empowers Amartha further to diversify its product offerings within the MSME sector, strengthen its sophisticated audience analytics capabilities, and drive widespread adoption of its digital services, ultimately connecting more individuals and small businesses to sustainable financial solutions.