JAKARTA — Global investors are intensifying bets that the digitalization of Indonesia’s mom-and-pop stores is the country’s next big growth sector.
BukuWarung, an Indonesian startup that provides services such as digital bookkeeping and enabling digital payments for warung — the local equivalent of mom and pop stores — said on Thursday it has raised $60 million in Series A funding from global investors.
The infusion comes after direct rival BukuKas said in mid-May that it raised $50 million in a Series B funding round.
Warung sell consumer products like instant coffee, snacks and cigarettes, and are vital to daily life, especially in smaller cities yet to be penetrated by modern retail outlets.
The two deals indicate global investors see the modernization through digital technology of Indonesia’s 3.5 million warung as the next frontier in the archipelagic nation’s booming tech scene, which is expected to be worth $124 billion in 2025.
Part of the allure for investors is that warung…