Scaling Responsible Digital Payments in the Indonesian Cocoa Sector

Scaling Responsible Digital Payments in the Indonesian Cocoa Sector cover.

The cocoa sector faces challenges such as declining yields due to ageing trees and climate impacts. Due to a significant credit gap, smallholder farmers—most of whom are underbanked—are caught in a negative feedback loop of reduced income and falling profits. The Government of Indonesia, with the Indonesian cocoa sector and the Better Than Cash Alliance, has conducted a first-of-its-kind exercise to assess opportunities for digital financial inclusion for smallholder cocoa farmers.

The study reveals that certified supply chains, which account for 40% of all production in Indonesia today, emerge as a potent tool in digitization efforts. It also reveals that certified supply chains, responsible for 40% of Indonesia’s cocoa production, offer significant opportunities for digital payment systems, which in turn can improve financial transparency and efficiency. The potential for digital tools extends to crafting tailored financial products, particularly for women who are pivotal in both farming and household financial decisions. The full report details specific strategies and recommendations essential for realizing these goals.


  • Context: The problem and why it matters
  • Opportunity: The certified sustainable cocoa value chain 
  • Know your smallholder farmers and traders
  • Supply side: Growing uptake of responsible digital payments
  • Sizing and seizing the digital payments opportunity
  • Conclusion and recommendations

Published May 2024.
Source: Better Than Cash Alliance.

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