Rival e-wallets Go-Pay, LinkAja announce partnership
Indonesian ride-hailing giant Go-Jek announced on Monday that it would integrate rival e-wallet LinkAja into its platform by the end of this year.
The integration means that Go-Jek’s e-wallet subsidiary, Go-Pay, would run alongside rival service LinkAja on the same ride-hailing platform.
Go-Pay managing director Budi Gandasoebrata said in a joint statement that the collaboration would help accelerate cashlessness in Indonesia, “especially among those who are untouched by formal financial services”.
“LinkAja’s commitment to the ‘From Indonesia, for Indonesia’ motto makes them a strategic partner with a similar purpose,” he added.
LinkAja chief executive officer Danu Wicaksana reiterated Budi’s nationalistic sentiment by repeating the motto in the statement.
Danu added his company aimed to help the government achieve a targeted 75-per-cent financial inclusion rate this year, up from 63 per cent last year.
While Budi told reporters earlier this year that Go-Pay was eager to cooperate with LinkAja, the e-wallet has been less vocal over a partnership with its rival.
LinkAja, whose shareholders are all state-owned enterprises (SOEs), has always been positioned as SOEs’ response to the domination of private sector e-wallets Go-Pay and OVO.
According to several surveys, Go-Pay is the most popular e-wallet in the country while OVO comes in second.
LinkAja’s strategy in overtaking the two rivals is to leverage its network of SOEs, many of whom, such as Pertamina and Telkomsel, are market leaders.
