VISA and ALTO’S Partnership to Accelerate the Transformation of Indonesia’s Digital Payments Landscape

By Ellisa | Jun 17 2021 23:17


The official partnership between Visa, the key global provider in digital payments industry, and ALTO Network, one of the most leading switching companies in Indonesia, signifies a key milestone celebration that is expected to help accelerate the transformation of Indonesia’s digital payments landscape, with the latest payment innovations and value-added service implementations made available for businesses and consumers in the nation.


The pivotal collaboration aims to significantly enhance the domestic debit card processing in Indonesia, with the utilization of world-class standard practice in its security system, operational efficiencies and risk management.

But what does Visa-ALTO partnership actually mean to the Indonesian consumers, and to the Indonesia’s digital payments ecosystem in general? What are the real benefits it will provide to the local community?

Payment Digitalization for a Better Nation

Payment digitalization has altered consumer’s behaviors and transaction patterns, in a way that simultaneously raises the demands for fast and robustly secure payments solutions. More and more consumers are inclined to take advantage of an increasingly integrated digital payment system that offers efficiency; and their numbers are projected to greatly amplify in the near future with the accelerating technological improvement.

Bank of Indonesia (BI) believes that payment digitalization can transform Indonesia into a better country, as it positively contributes to the nation’s digital economic growth. Aligning with this outlook, Visa and ALTO work together to establish a world-class debit processing system, in which all domestic transactions are securely conducted within the National Payment Gateway (GPN) system.

Visa-ALTO Partnership and Its Impact to Indonesia

ALTO is Indonesia’s leading provider of end-to-end bank switching and digital payment solutions, with one of the widest ATM and debit card networks in Asia. And Visa, a global player in worldwide payments technology with more than 60 years of experience, has a wealth of innovative technology that connects consumers to secure payments solutions. Visa brings its advanced technology to strengthen ALTO’s role as the chosen partner of GPN through a transfer of knowledge and best-practice sharing in the area of cybersecurity, IT operations, compliance, risk management and business operations. Ultimately through this joint partnership, ALTO is able to enhance its capabilities to fulfill the demands of domestic debit card processing in Indonesia with an upgraded world-class security system, operational efficiencies and risk management.

Every Visa debit card transaction in Indonesia will be processed by ALTO. While debit card processing is an intricately complex matter, ALTO will ensure that all processing mechanisms strictly adhere to the world-class standard practice – hence creating a safe, secure and seamless national payment system that can be safely utilized by every consumer in Indonesia.

“When it comes to digital payments transaction, we always implement the latest technology with a level of excellence that brings security, comfort, and simplicity,” said Patricco Baron, the CTO of ALTO Network. “We believe that our partnership with Visa in domestic debit card processing, which is resulted from years of tireless hard work under the vision of empowering the nation, will help create a nurturing, sustainable digital payments ecosystem that can readily support the successful implementation of GPN, as part of the Indonesia Payment System Blueprint 2025.”

Indeed, the Indonesia Payment System Blueprint 2025 regulation is intricately designed to help create an inclusive ecosystem for the growing digital payments landscape in Indonesia with the collaborative participation of economic institutions of all level, to ultimately reform the economy sector in Indonesia.  In other words, this partnership represents Visa and ALTO’s true commitment in realizing Bank Indonesia’s Payment System Blueprint 2025.

Aligning with BSPI 2025 Vision

Starting from July 2021, ALTO’s role will expand from a switching company to a switching and payment infrastructure provider. Aside of world-class technology implementation in domestic debit card processing, the partnership between Visa and ALTO can hopefully lower the incurred payment transaction fee, enhance government’s policy or regulatory effectiveness in the financial sector, as well as raise public trust towards the nation’s digital payments and financial systems in general – as also pointed out by the Coordinating Economic Minister of Indonesia Airlangga Hartarto, during the Visa-ALTO partnership launch’s video conference on 10 June 2021.

Moving forward, this remarkable partnership will further help accelerate the transformation of Indonesia’s digital payments landscape, hopefully cementing it as a strong basis for economic growth and stability. To support this end-to-end payment digitalization process, Visa and ALTO’s partnership will extend to the provision of many value-added payment infrastructure services that encompass 3DS 2.0, Fraud Detection System using Machine learning, Cyber Intelligence and Risk Management, and Contactless Payment for a more secure and seamless experience.

Together, Visa and ALTO are looking forward to expanding digital payments access, bolstering a better financial inclusion, and improving the trust of businesspeople and consumers alike – under the vision of empowering the nation by embracing a digital community through a safe, secure and seamless national payment system.

The official partnership between ALTO and Visa

*(Listed from top to bottom, in left to right order): Coordinating Minister for Economic Affairs of the Republic of Indonesia Airlangga Hartarto, Director of the Payment System Policy Department of Bank Indonesia Fitria Irmi Triswati, Deputy Director of the BSPI 2025 Office Management Program of Bank Indonesia Agung Bayu Purwoko, United States Ambassador to Indonesia Sung Y. Kim, Visa’s Regional President for Asia Pacific Chris Clark, Visa’s Group Country Manager Regional for Southeast Asia Tareq Muhmood, Visa Indonesia’s President Director Riko Abdurrahman, CEO of ALTO Network Armand Widjaja, and CTO of ALTO Network Patricco Baron attend live event conference of Visa-ALTO partnership official launch on June 10, 2021.


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