Hanwha-backed Nobu Bank spearheads Indonesia's QR payment innovation

Hanwha Life-backed Nobu Bank has topped Indonesia's QR payment market with an estimated 21.5 percent share by transaction volume, outpacing larger rivals despite its relatively modest size in the country's banking sector.

Bank Indonesia separately identified Nobu as the largest provider of merchant-presented QR payment services by transaction volume in a March report. The figures reflect its presence in digital payments, although Nobu remains relatively small compared to Indonesia's major commercial banks.

Nobu's growing payments business gives Hanwha Life a foothold in Indonesia's digital banking market as the Korean insurer expands its financial operations across Southeast Asia.

Indonesia's national QR payment standard, known as QRIS, allows consumers to make payments through participating banking and digital wallet applications.

The transactions has been expanding fast, with the total QRIS transactions rising 115 percent on-year to around 1,420 trillion rupiah ($78.8 billion) in 2025, according to Bank Indonesia. Growth continued into this year, with the amount totaling 1,548 trillion rupiah in the first eight months, already surpassing last year's full-year figure.

As of June, QRIS had 65.77 million users and 44.86 million merchants, with 96 banks and 60 nonbank financial institutions participating in the system, underscoring the competition facing payment service providers.

Nobu has sought to increase transaction volumes by expanding its payment services. Its QRIS Tap service uses near-field communication technology, allowing customers to pay by tapping compatible smartphones against payment terminals. The service is available on Jakarta's light rail transit system, extending its use beyond retail transactions.

The bank is also expanding cross-border QR payment partnerships with local payment infrastructure providers to strengthen its international payment network. Indonesia launched cross-border QR payment services with South Korea in April.

Alongside digital payments, Nobu operates ATM Mama, an agent banking network that enables customers to withdraw cash, transfer funds and check balances through terminals operated by local businesses.

The network has approximately 480,000 agents, providing an alternative to conventional branches and ATMs in areas where access to banking infrastructure may be limited.

Nobu's financial results indicate growth in transaction-related revenue. Net profit rose 46.3 percent to 481.3 billion rupiah in 2025, while fee-based income increased 68.5 percent to 492.7 billion rupiah. The lender attributed part of the increase to digital transaction banking and agent services.

Nobu forms part of Hanwha Life's efforts to diversify its overseas operations beyond insurance, with a focus on financial services in Southeast Asia.

Hanwha Life acquired a 40 percent stake in Nobu from Indonesia's Lippo Group in June 2025, securing management control. The deal marked its first entry into overseas banking, adding to its existing Indonesian operations in insurance, securities and asset management.

Still, Nobu faces stiff competition from larger Indonesian banks and nonbank payment providers expanding into digital financial services.

Nobu's total assets rose 23.7 percent from a year earlier to 41.22 trillion rupiah at the end of 2025. That compares with 2,829.95 trillion rupiah at Bank Mandiri and 2,135.37 trillion rupiah at Bank Rakyat Indonesia, the country's two largest lenders.

The bank is also expanding its ties with Indonesia's digital asset industry. It partners with more than 10 cryptocurrency exchanges, including Tokocrypto, Floq and Bybit Indonesia, to provide virtual account services that facilitate transactions on their platforms, linking traditional banking infrastructure with digital asset trading.

For Hanwha Life, the challenge will be to translate Nobu's payment activity into sustainable earnings while managing the costs and risks associated with expanding its banking operations.

"We are laying the groundwork to help customers manage a wider range of assets safely and conveniently," a Nobu Bank official said. "We will continue strengthening our capabilities and systems to provide more secure and accessible services as regulations evolve."