FINANCIAL INCLUSION THROUGH FINTECH PLATFORMS: OPPORTUNITIES AND CHALLENGES IN INDONESIA
Keywords:
Financial inclusion, Fintech platforms, Digital finance, Emerging markets, IndonesiaAbstract
Background: Indonesia faces persistent financial exclusion despite economic growth, with over 100 million adults lacking formal financial access.
Aims: This research investigates fintech contributions to financial inclusion in Indonesia.
Method: Mixed-methods with survey (n=500) and interviews across urban/rural Indonesia.
Results: Digital payments show 78% adoption; digital lending reaches 42% of previously unbanked. Key barriers include digital literacy (65%), internet access (52%), and trust (48%). Government support correlates with 2.3x higher adoption.
Contribution: Provides evidence for fintech-driven inclusion in emerging markets, informing policy and platform development.
Downloads
References
Demirgüç-Kunt, A., Klapper, L., Singer, D., Ansar, S., & Hess, J. (2018). The Global Findex Database 2017: Measuring Financial Inclusion and the Fintech Revolution. World Bank Group.
Dupas, P., & Robinson, J. (2013). Savings Constraints and Microenterprise Development: Evidence from a Field Experiment in Kenya. American Economic Journal: Applied Economics, 5(1), 163-192.
Fletschner, D., & Kenney, L. (2014). Rural Women's Access to Financial Services: Credit, Savings, and Insurance. In A. R. Quisumbing et al. (Eds.), Gender in Agriculture (pp. 187-208). Springer.
Jack, W., & Suri, T. (2014). Risk Sharing and Transactions Costs: Evidence from Kenya's Mobile Money Revolution. American Economic Review, 104(1), 183-223.
Otoritas Jasa Keuangan (OJK). (2023). Indonesian Financial Technology Industry Statistics 2023. Jakarta: Financial Services Authority.
Sahay, R., Čihák, M., N'Diaye, P., Barajas, A., Bi, R., Ayala, D., Gao, Y., Kyobe, A., Nguyen, L., Saborowski, C., Svirydzenka, K., & Yousefi, S. R. (2015). Rethinking Financial Deepening: Stability and Growth in Emerging Markets. IMF Staff Discussion Note SDN/15/08.
Suri, T., & Jack, W. (2016). The Long-Run Poverty and Gender Impacts of Mobile Money. Science, 354(6317), 1288-1292.
World Bank. (2021). The Global Findex Database 2021: Financial Inclusion, Digital Payments, and Resilience in the Age of COVID-19. Washington, DC: World Bank.
Bank Indonesia. (2023). Indonesian Payment System Blueprint 2025. Jakarta: Bank Indonesia.
Chen, H., Teng, L., & Yu, Y. (2022). Fintech and Financial Inclusion: Evidence from Digital Lending in China. Journal of Development Economics, 157, 102875.
Klapper, L., El-Zoghbi, M., & Hess, J. (2016). Achieving the Sustainable Development Goals: The Role of Financial Inclusion. CGAP Working Paper.
Mader, P. (2018). Contesting Financial Inclusion. Development and Change, 49(2), 461-483.
Morgan, P. J., & Pontines, V. (2018). Financial Stability and Financial Inclusion: The Case of SME Lending. Singapore Economic Review, 63(1), 111-124.
Ozili, P. K. (2021). Financial Inclusion Research Around the World: A Review. Forum for Social Economics, 50(4), 457-479.
Roa, M. J. (2022). Financial Education and Behavioral Finance: New Insights into the Role of Information in Financial Decisions. Journal of Economic Surveys, 36(2), 450-475.
Downloads
Published
Issue
Section
License
Copyright (c) 2024 Maya Ariyanti, Ucu Supriatna, Faisal Matriadi (Author)
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
