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The	
  Loan	
  Wolf	
  -­‐	
  University	
  of	
  Melbourne	
  
Aditya	
  Darma	
  Saputra	
  
Elvira	
  Hakim	
  
Katherene	
  Reji	
  
Maggie	
  Singorahardjo	
  
	
  
Executive Summary
Our proposal aims to assist Amartha in achieving its objectives to
disburse over 50,000 loans by 2021. Our mission is to grow Amartha’s
business whilst improving the social welfare of rural Indonesia. The heart of
our proposal is centered on the unique Indonesia culture an improvement in
the wellbeing of low-income rural areas.
Our industry analysis demonstrates a growing number of micro
borrowers in Indonesia, with an estimated compounded annual growth rate
(CAGR) of 4.46% per annum. With the regulation set by Bank Indonesia to
increase the capacity of microloans in financial institutions to 20% by 2018,
there may potentially be a further increase in customer base.
We begin by targeting the low financial literacy rate by implementing
services to increase literacy scores and equip people with skills needed to
succeed in the business arena. We then implement the GAE program to
increase awareness and encourage retention of labour force in the country, as
opposed to employment overseas. In the second year, we initiate the OPO
scheme, which is intended to motivate more women to engage in
entrepreneurial ventures. This would be made possible by allowing formation
of partnerships to sensitise them to the business environment. With growing
number of borrowers, we aim to increase the capacity of Amartha by opening
up 14 new branches in areas of growing demand by the end of 2021.
Our research indicates that the successful implementation of our
proposal will realistically lead to an increase in numbers of borrowers to
approximately 62,000 and therefore also increases the number of loans
disbursed. This number has exceeded the objective that underlies this
particular proposal.

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Global Microfinance Case Competition - Executive Summary

  • 1. The  Loan  Wolf  -­‐  University  of  Melbourne   Aditya  Darma  Saputra   Elvira  Hakim   Katherene  Reji   Maggie  Singorahardjo     Executive Summary Our proposal aims to assist Amartha in achieving its objectives to disburse over 50,000 loans by 2021. Our mission is to grow Amartha’s business whilst improving the social welfare of rural Indonesia. The heart of our proposal is centered on the unique Indonesia culture an improvement in the wellbeing of low-income rural areas. Our industry analysis demonstrates a growing number of micro borrowers in Indonesia, with an estimated compounded annual growth rate (CAGR) of 4.46% per annum. With the regulation set by Bank Indonesia to increase the capacity of microloans in financial institutions to 20% by 2018, there may potentially be a further increase in customer base. We begin by targeting the low financial literacy rate by implementing services to increase literacy scores and equip people with skills needed to succeed in the business arena. We then implement the GAE program to increase awareness and encourage retention of labour force in the country, as opposed to employment overseas. In the second year, we initiate the OPO scheme, which is intended to motivate more women to engage in entrepreneurial ventures. This would be made possible by allowing formation of partnerships to sensitise them to the business environment. With growing number of borrowers, we aim to increase the capacity of Amartha by opening up 14 new branches in areas of growing demand by the end of 2021. Our research indicates that the successful implementation of our proposal will realistically lead to an increase in numbers of borrowers to approximately 62,000 and therefore also increases the number of loans disbursed. This number has exceeded the objective that underlies this particular proposal.