Southeast Asia’s Internet Giants Bet on ‘Buy Now, Pay Later’

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Southeast Asia’s Internet Giants Bet on ‘Buy Now, Pay Later’
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Some of Southeast Asia’s largest internet companies are trying to boost their revenues with the old-fashioned business: lending

are all offering their customers short-term loans to help them pay for a variety of products and services, including taxis, food delivery and beauty products. The most recent rollout of services in the region came in July, when GoTo launched a pay-later service called GoPayLater Cicil—which means “taking installments” in Indonesian.

“In the absence of this financial information, buy now, pay later providers have to make decisions based on scarce or even unreliable data,” said Yvonne Szeto, a vice president handling commercial and sales strategies at payment-processing company Worldpay from FIS. Grab’s nonperforming loan ratio was steady for the second quarter, in the low-single-digit range, Chief Executive Anthony Tan said on a conference call. He didn’t specify the exact number.

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