KakaoBank accelerates global expansion with Indonesian digital bank

KakaoBank, Korea’s largest internet-only bank, aims to accelerate its global expansion by deepening its partnership with Superbank, an Indonesian digital bank in which it made its first overseas equity investment, the company said Sunday.

KakaoBank acquired a 10 percent stake in Superbank in 2023 as part of a partnership with Grab, laying the groundwork for the Korean lender’s push into overseas markets. Since the investment, KakaoBank has worked closely with Superbank across a wide range of areas, including the bank’s launch, product and service planning, and advisory support on user interface and user experience design, steadily building its international capabilities.

Most recently, KakaoBank helped launch Superbank’s new financial product, Kartu Untung, which was developed through more than a year of joint work based on KakaoBank’s concept. The bank was involved throughout the process, from product planning to mobile service design.

Kartu Untung, meaning “lucky card,” offers daily lottery-style cashback rewards to customers who deposit 50,000 rupiah. The gamified savings product quickly gained popularity, attracting over 100,000 users within just two weeks of its launch.

For KakaoBank, direct involvement in the product planning and development processes of an overseas financial institution has been particularly meaningful, as it has deepened the bank’s understanding of Southeast Asian markets and customers while providing an opportunity to identify and test new business models that could be applied in future collaborations with global financial partners.

Superbank, meanwhile, is growing rapidly, having built a customer base of about 5 million by leveraging the ecosystems of its major shareholders. Nearly 60 percent of its users are acquired through Grab and the digital wallet service OVO, underscoring the strong synergies created with its shareholders.

Superbank’s rapid growth is also expected to boost returns on KakaoBank’s investment. After achieving a quarterly profit just nine months after its launch, Superbank is moving ahead with plans for an initial public offering, backed by solid performance and growth potential, and is scheduled to list on the Indonesia Stock Exchange later this month.

Building on its successful partnership with Superbank, KakaoBank plans to further expand its global business. In Thailand, where the Korean firm secured regulatory approval in June and is preparing to launch a virtual bank, it will take the lead in both product and service development as well as mobile app creation.

The company also plans to deepen cooperation with Grab, its partner for Southeast Asian operations, to explore additional opportunities for synergy.

“Cooperation with Superbank has provided an opportunity to strengthen our brand presence in Southeast Asia while showcasing the technological capabilities of Korea’s financial industry,” a KakaoBank official said. “We plan to pursue new ventures through consortium partnerships with leading global players and expand our international business by building on the experience and networks we have accumulated.”