Honest, Indonesia’s fastest-growing credit card issuer, has closed an oversubscribed growth funding round led by Orico, bringing its total equity funding to US$100 million.

The round included continued support from XYZ Venture Capital, SV Pacific Ventures, and Village Global, alongside new participation from US-based investors such as Gilgamesh Ventures.

In addition, Honest secured US$40 million in debt financing from Mizuho Bank.

Fewer than 3% of Indonesians currently own a credit card, and Honest aims to expand access to credit for millions of consumers.

The company plans to use the additional capital to grow its flagship Honest Card into corporate and co-branded offerings, drawing comparisons with companies such as Nubank, Ramp, and Imprint in the Americas, but tailored for the Asian market.

Honest states it can launch co-branded cards within weeks and approves over 90% of applicants, while traditional Indonesian banks typically take longer to introduce new products and approve a smaller proportion of applications.

Makoto Umemiya, President & Representative Director of Orico, said:

“Indonesia’s credit card market holds enormous potential, and Honest is well-positioned to lead this growth with its innovative approach. We are excited to back the company as a long-term strategic partner, supporting its journey to become a market champion and transform financial services for millions of Indonesians.”

Orico is one of Japan’s largest credit card issuers and serves as the consumer finance arm of Mizuho Financial Group, a global bank with trillions of dollars in assets.

XYZ Venture Capital, a Silicon Valley-based fund with over US$1 billion under management, was founded by Ross Fubini, who has been recognised on the Forbes Midas List.

With this latest investment, XYZ becomes Honest’s second-largest shareholder after Orico, and Fubini will join the company’s board.

Featured image credit: Honest