Grab Financial Group (GFG) Malaysia and SEDANIA Innovator Bhd’s fintech subsidiary SEDANIA As Salam Capital Sdn Bhd (SASC) are partnering to officially offer Grab Cash Financing-i, a Shariah compliant* financing product, to eligible Grab driver- and delivery-partners.
Grab Cash Financing-i aims to provide Grab’s driver- and delivery-partners with convenient and secure access to financing, so they can more easily address their immediate household and financial needs. This financing option lowers the barriers to micro-financing which is typically inaccessible to those below a certain income level and lack a formal credit history.
According to Nisa Ismail, CEO of SEDANIA As Salam Capital, it is important that micro-financing is made available to all Malaysians and the products and platform are Shariah-compliant to ensure transparency in the financing terms and conditions. The GHP is developed with digital acceleration in mind to better position Shariah financing in today’s and tomorrow’s economy.
According to a survey which was conducted among Grab’s driver- and delivery-partners, 65% of them cited that a Shariah-compliant financing option was important to them. Their main financing needs included emergency and personal expenses, current loan settlement and education for family members. When the programme was introduced in December 2021 to a limited number of eligible partners, it received encouraging responses.
“Since introducing the programme, we saw a take-up rate of 16% among eligible Grab drivers and delivery-partners. Grab Cash Financing-i is just one of GFG’s collaborative efforts with like-minded partners like SEDANIA to democratise financial services for everyday Malaysians. Our ecosystem, technology and data provide unique insights into our partners’ earnings and spendings, and subsequently their risk scorecard and payment capabilities. We can then customise products that cater to their financial needs,” said Sean Goh, Managing Director and Head of Grab Financial Group, Grab Malaysia.
This product launch is in line with GFG’s mission to drive financial inclusion across Southeast Asia by offering simple, transparent and flexible financial products. Prior to this, GFG has already been providing financial products to drivers and delivery-partners in Malaysia under the banner of the GrabBenefits Programme.