Far from Jakarta, a different kind of VC is thriving

West Sumatra has seen a similar slowdown, although stronger palm oil prices have softened the impact. Sumbar Ventura says many traders are experiencing weaker sales and are increasingly repaying their loans in installments. Stronger commodity prices have also influenced how the company allocates capital. CEO Mulyadi says the firm is concentrating more of its financing on the palm oil supply chain while becoming increasingly selective in other sectors.and the country, Sumbar Ventura is considered a hyperlocal venture capital firm, meaning it invests exclusively in businesses within a single province rather than across the archipelago. As investment sentiment toward Indonesia weakens, these little-known firms offer a different model of venture capital: backing local businesses in sectors conventional VCs rarely touch.