State-owned lenders to take on ecommerce transactions

Wednesday 12 September 2018 14:49 CET | News

As the ecommerce transactions have shown substantial growth lately, state-owned lenders have now been trying to outdo one another in providing such ecommerce affairs. 

Thomas Wahyudi, the senior vice president of transaction banking and retail sales at Bank Mandiri, mentions that the value of ecommerce transactions facilitated by the bank has reached 12 tln up to July 2018, which represents USD 620 mln. He also argues that the transactions have been made at merchant marketplaces, retail stores and online travel agencies cooperating with Bank Mandiri.

According to, the bank is partnering with more than 2,000 ecommerce merchants as a payment service provider. Among the ecommerce payment systems embraced by the lenders, there are: credit cards, debit online, e-cash and transfer through virtual account Bank Mandiri.

In addition, Bank Tabungan Negara (BTN) goes through similar efforts in order to boost the ecommerce transactions. Budi Santoso, the head of the BTN business card division states that since 2014, the bank has pushed the growth of ecommerce affairs. However, the main focus in implementing this system is paying attention to security aspects. Santoso says that the bank uses one-time passwords (OTP) send to registered headphones in order to minimise misuses.

Moreover, BTN ecommerce transactions have reached 35% year-on-year in the first half of 2018 as per data provided by Visa.

Free Headlines in your E-mail

Every day we send out a free e-mail with the most important headlines of the last 24 hours.

Subscribe now

Keywords: ecommerce, bank partnership, merchants, transaction banking, retail, Marketplaces
Countries: World

Industry Events