Sanichi forms JV to tap into Indonesia’s remittance biz


Sanichi Technology Bhd’s financial technology subsidiary, Bina Bicara Sdn Bhd, plans to enter into an equity joint-venture (JV) agreement with Indonesia’s public listed government-linked companies to provide money remittance services from Malaysia to the republic.

The JV will also provide multi-billing payment services which allow direct payment to various utilities, telecommunications, banking institutions and transportation providers in Indonesia.

Sanichi group MD Datuk Seri Dr Pang Chow Huat said the collaboration will be able to fill the gaps of the remittance industry, meet the demands of the underserved market, as well as contribute towards the growth of digital remittance.

“This is in line with financial regulators’ ongoing efforts to ensure the hard-earned money of Indonesian citizens are remitted efficiently, safely and orderly back to Indonesia, compared to some having to resort to traditional physical transportation of cash and other forms of unrecorded transactions such as the Hawala system,” he said in a statement yesterday.

Pang also said this similar JV model of remittance and multi-billing payment services has been successfully implemented in neighbouring countries including Japan, Korea, Taiwan and Hong Kong.

As at 5pm yesterday, Sanichi’s shares remained flat at 11 sen, valuing the company at RM38.86 million.