Indonesia – Validus Group and Fintech Nation, a mission-driven public benefit corporation focused on ecosystem innovation, have launched a US$10 million embedded finance fund (the fund) to expand access to credit for small and medium enterprises (SMEs) in Thailand and Indonesia.
Validus and Fintech Nation have launched an embedded finance fund to help close Southeast Asia’s SME credit gap, which is estimated at over US$320 billion. SMEs make up more than 99% of businesses in Thailand and employ over 70% of the workforce, while Indonesia counts around 64 million SMEs—underscoring the scale of unmet financing needs across the region.
The US$10 million fund targets underserved businesses in sectors such as supply chain, food and beverages, and consumer goods. Financing will be delivered through Validus Group’s digital platforms in Thailand (Siam Validus) and Indonesia (Batumbu).
Leveraging embedded finance models and ecosystem partnerships, the fund taps into real-time transactional data and structured collaborations with anchor players to streamline underwriting and repayment. The approach is designed to improve credit access efficiently and at scale while supporting broader sustainable development goals in emerging markets.
Vanessa Ho, co-founder of Fintech Nation Fund, shared, “Communities thrive when their SMEs thrive. At Fintech Nation, we believe that SMEs are the foundation of sustainable societies — they are the engines of innovation, employment, and local prosperity. Through this Fund, we reaffirm our commitment to using financial technology as a force for sustainable development, empowering entrepreneurs to build stronger, more resilient communities.”
The fund has completed its first close and deployed its initial tranche into projects delivering growth capital to underserved SMEs.
Milena Naitoh, group head of corporate development & capital markets at Validus Group, said, “The opportunity to close the SME credit gap in emerging markets demands new thinking. By combining data-driven underwriting models with innovative funding structures, we can build inclusive financial ecosystems that unlock growth and development for SMEs at every level. This fund represents a critical step forward toward financial inclusion and economic empowerment, and we are excited to partner with Fintech Nation to realise this vision.”
