Digital payments in Indonesia - statistics & facts
Indonesia is rapidly moving away from using cash to make payments to various digital payment platforms, such as credit cards, debit cards, e-wallets, e-money, and internet banking. Along with the rise of e-commerce and ride-hailing applications in Indonesia, the archipelago became one of the world’s fastest-growing marketplaces for digital payments. The transaction value of digital payments in Indonesia was forecast to reach over 700 billion U.S. dollars by 2030.
In Indonesia, there are already more than 48 licensed e-wallet systems operated by domestic companies in the public and private sectors. Indonesia’s most widely used e-wallets such as Gopay and OVO also have the benefit of being supported by super apps. Gopay is a payment service that is integrated into Gojek, the biggest multi-service platform in the nation, while OVO has grown over the years due to its partnerships with Grab, a regional ride-hailing service, and Tokopedia, one of Indonesia’s largest online e-commerce markets. For many consumers, instant cashback rewards and bonus points are among the benefits of using an e-wallet app as a cashless payment method.
In line with the National Noncash Movement (GNNT), payment digitalization and cross-border payments have become a priority agenda. Since 2021, Indonesia and Thailand have connected their digital payments systems. Thai users have been able to scan the Indonesian QR code, also known as QRIS, to make payments to merchants in Indonesia, and vice versa. More recently, QRIS has expanded its reach to include Singapore and Malaysia. Additionally, the Indonesian government is planning to launch an instant digital payment service and a data exchange platform, as the country looks forward to building a complete digital public infrastructure (DPI) ecosystem. By accelerating its digital payment landscape, Indonesia aims to have stronger financial governance and become a cashless society in the coming years.
E-wallet usage in Indonesia
Electronic money and e-wallet payments are the most popular form of digital payments in Indonesia. Given the country's high internet and smartphone penetration rates, it is not surprising that both are so frequently used in Indonesia. Furthermore, since neither a bank account nor a credit card is needed to register for these platforms, unbanked Indonesians can easily follow the trend. As a result, the number of e-money and e-wallet users are higher than other digital payment users that requires a bank account.In Indonesia, there are already more than 48 licensed e-wallet systems operated by domestic companies in the public and private sectors. Indonesia’s most widely used e-wallets such as Gopay and OVO also have the benefit of being supported by super apps. Gopay is a payment service that is integrated into Gojek, the biggest multi-service platform in the nation, while OVO has grown over the years due to its partnerships with Grab, a regional ride-hailing service, and Tokopedia, one of Indonesia’s largest online e-commerce markets. For many consumers, instant cashback rewards and bonus points are among the benefits of using an e-wallet app as a cashless payment method.
Indonesia aims to be a cashless country in the near future
Despite a significant progress in the shift towards cashless, cash is still widely used in Indonesia and over 35 percent of the Indonesian population still don’t have a bank account. According to a recent study, nearly 40 percent of Indonesian consumers still used cash for offline payments transactions. Nevertheless, the increasing digital payment transactions represent the population of Indonesia's growing digital financial literacy. It also highlights how widely fintech and e-commerce services are used in the nation. It was projected that the uptake of digital payment users in Indonesia will continue to grow, with the digital commerce and mobile payment segments reaching approximately 166 million and 207 million users, respectively, by 2030.In line with the National Noncash Movement (GNNT), payment digitalization and cross-border payments have become a priority agenda. Since 2021, Indonesia and Thailand have connected their digital payments systems. Thai users have been able to scan the Indonesian QR code, also known as QRIS, to make payments to merchants in Indonesia, and vice versa. More recently, QRIS has expanded its reach to include Singapore and Malaysia. Additionally, the Indonesian government is planning to launch an instant digital payment service and a data exchange platform, as the country looks forward to building a complete digital public infrastructure (DPI) ecosystem. By accelerating its digital payment landscape, Indonesia aims to have stronger financial governance and become a cashless society in the coming years.
