UOB loan programme targets Lazada vendors
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UOB loan programme targets Lazada vendors

Ms Sayumrat says the collaboration will provide online retailers access to capital and e-commerce management tools.
Ms Sayumrat says the collaboration will provide online retailers access to capital and e-commerce management tools.

UOB (Thai) launched a new loan programme on Wednesday targeting online retailers on Lazada's e-marketplace as part of its strategic move to cash in on Thailand's burgeoning e-commerce market.

UOB BizMerchant was rolled out in collaboration with Lazada and Bentoweb, an e-commerce solution provider, with a plan to offer up to 1 million baht in loans over a 12-month period, with an annual interest rate of the minimum retail rate +7%.

The bank is counting on Lazada's insight on applicants' data to reduce loan approval time from seven days to only one day.

Lazada said the cooperation should increase the number of sellers on its platform and drive sales volume, which has grown around 140% per year.

Sayumrat Maranate, head of business banking of UOB Thai, said the growth of the country's internet economy is largely driven by e-commerce, which is expected to rise in value from US$5 billion in 2019 to $18 billion by 2025.

Online retailers have a chance to ride this wave by expanding their sale channels to e-commerce sites, she said.

With more small and medium-sized enterprises (SMEs) increasingly relying on e-commerce to lift their revenue, UOB plans to help them manage multiple sales channels, deliveries and inventory through more effective online tools, said Ms Sayumrat.

"The collaboration will help online retailers to accelerate their online business growth with faster access to working capital and effective e-commerce management tools," she said.

Individual sellers and juristic entities that have operated an online store on Lazada Thailand for at least six months and have accumulated sales revenue of more than 500,000 baht over the same period are eligible to apply for a UOB BizMerchant loan.

In addition, they will receive free three-month access to Bentoweb's Professional Package to manage e-commerce processes conveniently and in a cost-effective manner.

Weerapong Goo, head of retail at Lazada Thailand, said with UOB's banking solution, Lazada's retailers can focus on growing their business and be assured it will have sufficient cash flow.

Lazada Thailand has collaborated with various commercial banks to provide retailers on their platforms with access to customers and capital.

Nutthaseth Sirinanthananon, founder of Bentoweb, said his company offers e-commerce solutions for operators, from starting a business to making it thrive.

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