Peer-to-peer lender Amartha serves women-led microbusinesses in Indonesia that are not yet served by formal financial services.

According to Amartha, 85% of its borrowers live in rural and peri-urban areas in Sumatra, Java, and Sulawesi, and have an average age of 42.

Economic impact is achieved through working capital loans distributed via an online microfinance marketplace, while monitoring and financial literacy mentoring are provided by a field team.

In 2021, Amartha distributed more than IDR2 trillion ($130 million) across more than 650,000 borrowers in 35,000 villages in Indonesia.

Amartha claims the following impact achieved in 2021:

• 38% average income improvement compared with 2020;
• 130,898 first-time entrepreneurs funded by working capital loans;
• 10% of total active borrowers grew their businesses from Amartha's designation of ultra-micro and micro level size into small businesses, equating to reaching business revenues of over IDR25 million per month;

Amartha also expanded it services beyond lending, adding a payments platform, savings, and investment options via an app.

One IMPACT awards judge said: "Amartha has been a solid performer for years. They have a targeted approach." Another praised Amartha for its "clear articulation of strategy and impact achieved".

Aria Widyanto, Amartha's chief risk and sustainability officer commented: "As an impact-driven company, Amartha will expand its portfolio to promote green financing and facilitate digital transformation in rural Indonesia that makes financial technology more inclusive for everyone."

Financial backers of the microfinance lender include the private equity firm Women's World Banking Asset Management and Asian venture capital firms MDI Ventures, Mandiri Capital and UOB Venture Management.