Facebook’s messaging service, WhatsApp, is apparently in negotiations to launch a digital payments service in Indonesia. The information was published by Reuters and is based on a series of confidential documents.
According to the report, WhatsApp is discussing with a number of service companies and an Indonesian bank to implement a digital payment system. The mentioned partners are the Go-Jek transport service. Mobile payment provider DANA, fintech start-up OVO and Banca Mandiri owned by the state. Currently, Mindri Bank operates a digital wallet service.
Indonesia’s WhatsApp plan is to support payments through digital wallets in the region, according to Reuters sources.
A Facebook spokesperson confirmed that WhatsApp is negotiating with Indonesia’s financial partners, but declined to provide details:
“WhatsApp has discussions with financial partners in Indonesia about payments. However, the discussions are in the early stages and we have nothing to communicate at this stage. “
The new service will require approval from the authorities, which means it will not be launched this year. At the same time, WhatsApp is trying to launch a similar service in India.
Preparations for Libra
The Reuters report speculates that the project could become a template that Facebook could later use to avoid any local restrictions. By using existing wallet services locally, WhatsApp can avoid bans on foreign digital wallets.
Facebook intends to integrate the crypto wallet service, Calibra, into WhatsApp and all its platforms. The future cryptocurrency Libra will not be used in India or other countries with bans on cryptocurrencies.
Meanwhile, the Anti-Trust Authority of the European Union has launched an investigation into a possible anti-monopoly violation by the Libra project.