What kind of investment market is Indonesia for Indonesians

2022-05-12 0 By

From the unrecognized to the undefined, the past year has seen an unprecedented level of development in the venture capital field in Southeast Asia that has kept the outside world expecting more from it.Next, we may see more possibilities in the digital economy of the region., of course, no matter how long the growth can continue, even if also can continue to write after this year, in this process, those who have been or are about to plunge into the participants are through its own action let the script of southeast Asia become more plentiful, although these annotations are not needed by all people, but they have,The vision it carries is not just a one-way product.Back to business.In view of the biggest question in front of us, that is, how will the science and innovation ecology in Southeast Asia change in the future, the author also hopes to introduce some local viewpoints to help us better understand this problem.Some say this is the best of times for southeast Asia’s entrepreneurial ecosystem.That may be even more true for Indonesia, Southeast Asia’s biggest economy, with the region’s largest population and an exploding middle class.Adrian Li, founder and managing partner of Indonesian venture capital firm AC Ventures, said Indonesia’s sheer market size and potential make it the most compelling exclusive investment market in the ASEAN region.He pointed out to us in the interview, “As the largest but relatively backward MEMBER of ASEAN, the Indonesian market has always represented the amazing investment potential of Southeast Asia.”This is already evident in the growing presence of successful unicorns like GoTo, Traveloka, Bukalapak, Akulaku and the growing embrace of Indonesia by Southeast Asian giants like SEA, Grab, Lazada and others.”AC Ventures was formed in 2019 through the merger of Two Indonesian Venture firms, Agaeti Venture Capital and Convergence Ventures.Xendit and Carsome, two companies in AC Ventures’ early portfolio, are now unicorns.On the other hand,Other AC Ventures, including Shipper, Stockbit, Ula, Aruna, Buku Warung, and Colearn, are closing in on the unicorn 10The billion-dollar valuation mark (often referred to as Centaurs).Late last year, AC Ventures closed more than $205 million in oversubscribed capital commitments for its third Fund, bringing the firm’s assets under management to more than $380 million.At the time, AC Ventures revealed that the fund would continue its strategic focus on early-stage technology startups and founders in the indonesia-focused market.Outside OF AC Ventures, Indonesia focused VCS like Intudo Ventures and Alpha JWC Ventures have also been increasing their presence in the fourth quarter of last year.According to statistics, the three have raised a total of $753 million for their third phase of the fund.The fundraising moves also come at a time when Indonesia’s tech scene, which has entered a booming phase, is receiving a lot of attention from local and international institutions.As we have seen in the past year, seven unicorns will emerge in Indonesia in 2021, and the digital economy in Indonesia is expected to reach $70 billion during this period, making it the largest contributor to the total digital economy in Southeast Asia with a share of nearly 40%.Indonesia’s digital economy could reach $146bn by 2025, achieving a compound annual growth rate of nearly 20 per cent, according to a report by Google, Temasek and Bain.On a more concrete level, Li pointed out that digital consumption patterns are being embraced by more consumers as a result of the pandemic.The future will see the integration of digital technology into every business sector in Indonesia.As a result, e-commerce, fintech, Msmes, and traditional industries based on digital media such as healthcare, education, and entertainment will continue to unlock huge opportunities for improvement.He went on to point out, for example, that Indonesia’s e-commerce and logistics sectors have seen significant growth in the 2020-2021 period.As a result, mature consumers and infrastructure will open up opportunities for new models such as social e-commerce and vertical e-commerce in department stores.”In fintech — lending in particular — a regulatory-driven trend is emerging between the traditional banking and technology worlds, prompting both to build products such as Neo banks.For Indonesia’s Msmes, the embrace of the digital economy had been slow until the outbreak.”But as the black Swan continues to sweep through, these companies are moving to a digital approach because digital solutions can improve costs and productivity.”Beyond these areas, he says, there are mature models that show a strong fit in terms of products and markets, but they haven’t taken off in Indonesia.As a result, “we will also see some surprises from B2B e-commerce, health & wellness, real estate, insurtech and mobility.”Note:AC Ventures’ Adrian Li says Indonesia’s most compelling market to invest in ASEAN AC Ventures’ Adrian Li says Indonesia’s most compelling market to invest in ASEANThe author was originally written by YIMIE YONG.Moving point to sea after collating and compiling release.