THE STRATEGY TO ENHANCE THE SHARIAH FINANCIAL LITERACY AND INCLUSION IN INDONESIA (Case Study at Financial Services Authority Office in The City of Malang)

2017 ◽  
Vol 1 (1) ◽  
pp. 47
Author(s):  
Ma’rufa Khotiawan ◽  
Muhammad Luthfiansyah
Keyword(s):  
Financial Literacy ◽  
Financial Services ◽  
Financial Management ◽  
Financial Inclusion ◽  
National Strategy ◽  
Research Needs ◽  
Know How ◽  
The Government ◽  
The City

<p>The<strong> </strong>results of the survey of literacy and Financial Inclusion Shari'ah in Indonesia 2016 each show numbers 8.11 %  and 11.06 %. Whereas the inhabitants of the religion of Islam in Indonesia more than 85%. With this then needs to be formulated strategies that can increase the level of literacy and financial inclusion shari'ah in Indonesia. The importance of literacy improvement and Financial Inclusion Shari'ah to improve the behavior of the community in financial management and to improve the welfare of them. So that priorities are intended to know how the strategy applied to increasing literacy and Financial Inclusion Shari'ah. This research uses qualitative research method with the approach of the case study. The results of this research are some government policy that is contained in the form of National Strategy for Financial Literacy Indonesia (SNLKI) to improve financial literacy Shari'ah and inclusive Financial National Strategy (SNKI) to improve financial inclusion. But the next research needs to examined and monitored about various programs to increase shari'a literacy and financial inclusion is doing by the government.</p><strong>Keywords: </strong>Sharia Financial Literacy, Sharia Financial Inclusion, the strategy.

Implementation of Inclusive Finance in Empowering Micro, Small and Medium Enterprises (UMKM) at Micro Waqf Banks

2021 ◽  
Vol 5 (1) ◽  
pp. 82
Author(s):  
Rahma Jaziyatul Chikmiyah
Keyword(s):  
Financial Literacy ◽  
Financial Services ◽  
Qualitative Method ◽  
Small And Medium Enterprises ◽  
Financial Inclusion ◽  
National Strategy ◽  
Classic Problem ◽  
The Government ◽  
Medium Enterprises ◽  
The Impact

<p><em>This study aimed to analyze the impact of the implementation of financial inclusion at Al-Fithrah Micro Waqf Bank regarding the empowerment of Empowering Micro, Small and Medium Enterprises (MSME). Even though MSME sectors have become a central foundation for the economy, the capital limitation is still considered a classic problem. It influences the government to release National Strategy Financial Inclusion to provide financial services that all levels of society can access. The indicators inclusive financial consists of access, usage and quality to realize empowerment through financing and assistance. This research used a descriptive qualitative method, and data were collected through interviews, observations, and documentation. The results showed that the financial inclusion component had been implemented but still has many potentials to be maximized. The components of access and usage have been appropriately implemented in terms of physical aspects and prices that are easily accessible to customers. These two components have an impact on increasing customer Islamic financial literacy. In the quality component, product variations are expected to fulfill the different business needs of customers. Meanwhile, financing has not significantly impacted fulfilling the welfare component’s capital needs  because the nominal value is too small. Furthermore, business assistance has a more significant impact on improving the business and spiritual aspects</em><em> of clients</em><em>.</em></p><p align="left"> </p><p>Penelitian ini bertujuan untuk menganalisis dampak penerapan keuangan inklusif pada Bank Wakaf Mikro Al-Fithrah terhadap pemberdayaan UMKM di sekitarnya. Meskipun sektor UMKM telah menjadi fondasi yang cukup sentral bagi perekonomian, keterbatasan permodalan masih menjadi masalah klasik UMKM. Hal ini mendorong pemerintah untuk mengeluarkan Strategi Nasional Keuangan Inklusif yang bertujuan untuk memberikan layanan keuangan yang dapat diakses seluruh lapisan masyarakat. Indikator keuangan inklusif yang terdiri dari akses, penggunaan dan kualitas diterapkan untuk mewujudkan pemberdayaan UMKM melalui pembiayaan dan pendampingan. Penelitian ini menggunakan metode deskriptif kualitatif melalui pengumpulan data wawancara, observasi, dan dokumentasi. Hasil penelitian menunjukkan bahwa komponen keuangan inklusif telah diimplementasikan namun masih berpotensi untuk dimaksimalkan. Komponen akses dan penggunaan sudah terlaksana dengan baik dilihat dari segi fisik dan harga yang mudah dijangkau nasabah. Kedua komponen tersebut berdampak pada peningkatan literasi keuangan syariah nasabah. Pada komponen kualitas, variasi produk diharapkan dapat memenuhi kebutuhan modal nasabah yang berbeda. Sedangkan untuk komponen kesejahteraan, pembiayaan belum memberikan pengaruh signifikan untuk memenuhi kebutuhan permodalan karena nilai nominal yang terlalu kecil. Selain itu, program pendampingan usaha (HALMI) memiliki dampak yang lebih signifikan terhadap peningkatan usaha dan spiritual pelanggan.</p>

scholarly journals Descriptive Analysis of Financial Literacy SMEs in Bandung

2021 ◽  
Vol 12 (1) ◽  
pp. 9-15
Author(s):  
Asni Harianti ◽  
Maya Malinda ◽  
Miki Tjandra ◽  
Devas Kambuno
Keyword(s):  
Financial Literacy ◽  
Financial Services ◽  
Financial Management ◽  
Descriptive Analysis ◽  
Secondary Data ◽  
Management Training ◽  
Primary Data ◽  
Five Dimensions ◽  
The Government ◽  
The City

One of the supporting factors for the success of MSME is determined by the intelligence of managing finances or known as financial literacy. Financial literacy is a basic requirement that must be possessed by MSME entrepreneurs which is closely related to the knowledge of personal and business financial management, as well as knowledge to gain access to capital through financial services or institutions. This descriptive study aims to see a picture of the level of financial literacy in SMEs in Bandung. The type of data used in this study are primary data and secondary data Primary data obtained through surveys using a questionnaire to see the level of financial literacy (Financial Fitness Quis / FFQ) developed by O'Neil. The questionnaire consisting of 20 practical financial statements, covering 5 (five) dimensions of financial management, was distributed to 343 SMEs in the city of Bandung. Secondary data obtained through observation and study of literature relating to research problems. The results of the study show that MSMEs in the city of Bandung must take actions that need to be considered in the future to improve their finances to avoid financial difficulties. As a form of concern for MSMEs in the city of Bandung and as a form of support for the government, researchers are trying to alleviate the illiteracy of financial actors of MSMEs through appropriate financial management training and making of a simple financial application program SAKA (peSAK Abdi).

scholarly journals Financial Literacy and Inclusion Analysis of the Community of Pulau Seribu (A Case Study on Pramuka Island on the Limitations of Banking Financial Services in the Pulau Seribu)

2021 ◽  
Vol 2 (4) ◽  
pp. 255-261
Author(s):  
Erni Prasetiyani ◽  
Ai Nety Sumidartini ◽  
Achmad Barlian
Keyword(s):  
Qualitative Research ◽  
Financial Literacy ◽  
Financial Services ◽  
Swot Analysis ◽  
Financial Inclusion ◽  
Regional Government ◽  
Policy Makers ◽  
Depth Interviews

: The progress of a region can be measured by the level of financial literacy of its population and financial inclusion. DKI Jakarta is in the top financial ranking for literacy and inclusion, but it is inversely proportional to the Pulau Seribu region. This research is a qualitative research with the technique of obtaining data through in-depth interviews with residents in the Pulau Seribu. The results are processed with a Strength Weakness Opportunity Threat (SWOT) analysis to produce a map of the strengths, weaknesses, opportunities and threats that exist in the Pulau Seribu region. With the SWOT condition in the region, it is hoped that the policy makers, namely the Otoritas Jasa Keuangan (OJK), the DKI Jakarta Regional Government and the community themselves are able to synergize in formulating strategies to accelerate the backwardness of the Pulau Seribu with DKI Jakarta.

scholarly journals Determinant of The Financial Literacy: Case Study on Career Woman in Indonesia

ETIKONOMI ◽  
2018 ◽  
Vol 17 (2) ◽  
pp. 285-296
Author(s):  
Novia Dewanty ◽  
Yuyun Isbanah
Keyword(s):  
Marital Status ◽  
Financial Literacy ◽  
Financial Management ◽  
Education Level ◽  
Early Age ◽  
Financial Socialization ◽  
The Government ◽  
Career Woman ◽  
Positive Effect

Financial literacy is one of the relevant facts in improving the economy. The purpose of this study was to examine the influence of demographic factors (i.e., marital status, education level, income, and age) and financial socialization agent on financial literacy. Using online and offline questionnaire survey from 100 respondents in Surabaya, East Java, and the study revealed that education level, personal income, and financial socialization agent, give the positive effect, while the marital status and age does not affect financial literacy. This result implies that the government can focus on educating the development and improvement of financial literacy for the society. It is believed to be a step forward in practicing financial planning from an early age to solve problems with financial management using financial knowledge, financial attitude, and financial behavior.DOI: 10.15408/etk.v17i2.6681

scholarly journals Analysis on Fiscal Capacity and Regional Financial Acceleration: A Case Study on Ternate City, Indonesia

2018 ◽  
Vol 7 (4.34) ◽  
pp. 410
Author(s):  
Abdul Hadi Sirat ◽  
Irfan Zam-Zam ◽  
Zikri Muhammad
Keyword(s):  
Financial Management ◽  
Local Governments ◽  
Descriptive Analysis ◽  
Secondary Data ◽  
Regional Autonomy ◽  
The Government ◽  
Regional Product ◽  
The City ◽  
Regional Work

Indonesian Act No. 32 and 33 by 2014 about the formation of the regional autonomy is a challenge for local governments to utilize the potentials of the region. One of the local revenues for enhancing fiscal area is Regional Own Source Revenue (PAD), which are sourced from taxes and retributions. This research aims to analyze the financial management from the Government of Ternate. The secondary data collected from DPD, BPS, and offices related to the financial areas in 2010 – 2014 as well as data on the results of interviews with officials of the Regional Work Unit that has been appointed. By descriptive analysis, the result showed that economic growth has increased and indicated the increment of regional GDP. Based on the percentage of each sector against the Gross Domestic Regional Product in 2010 – 2014, trade, hotels and restaurants as well as other sectors were significantly contributing. The analysis found that the city of Ternate has not been financially able to carry out regional autonomy. However, the Government of Ternate is expected to improve regional financial capability by implementing intensification, the efforts to internally optimize local taxes and levies, and intensification, the efforts to expand and utilize new potentialities over regional tax and levies, to improve fiscal capability of the city of Ternate. To conclude, the effort in increase the District Own Source Revenue can be done by implementing intensification and intensification of regional tax and retribution.  

scholarly journals THE DEVELOPMENT OF A FINANCIAL LITERACY SYSTEM IN RUSSIA

2018 ◽  
Vol 6 ◽  
pp. 314-318
Author(s):  
Svetlana A. Litvinova
Keyword(s):  
Financial Literacy ◽  
Financial Services ◽  
Literacy Development ◽  
Financial Inclusion ◽  
Research Findings ◽  
Literacy Level ◽  
The Government

The article touches upon the issues of financial literacy development in Russia. The author considers financial literacy as a set of procedures that build up the system of financial literacy institution development including financial inclusion, an increase in financial literacy and a strengthening of the protection of consumers’ rights in regard to financial services. The author presents research findings that indicate a poor financial literacy level in Russia. The key conclusion reflects the goal of the paper: the development of the financial literacy system depends on the demand for innovative financial services and the measures taken by the government to develop the financial literacy system.

Financial Inclusion in India-A Review

2020 ◽  
pp. 278-284
Keyword(s):  
Rural Areas ◽  
Financial Literacy ◽  
Financial Services ◽  
Poverty Reduction ◽  
Financial Inclusion ◽  
World Bank Group ◽  
Critical Issues ◽  
The Status ◽  
The Government ◽  
Bank Group

Financial inclusion has been widely recognized as an engine of economic and social development. World Bank group laid stress on the role of financial inclusion in poverty reduction and boosting shared prosperity. Increasing the importance of financial inclusion for inclusive growth has gained the attention of researchers and academicians across the world. This review deals with the findings of research studies conducted on the extent and status of financial inclusion in India. A review of empirical findings revealed that despite many initiatives taken jointly by the Government and Reserve Bank of India, financial services outreach was not been very satisfactory. People particularly in rural areas, still did not have access to banking services. Evidence of gaps in financial inclusiveness in the country could also be perceived from the review. Lack of awareness and financial literacy, high cost of financial services, continued dependence of rural people on moneylenders, regional disparities in terms of outreach, etc. emerged as some of the critical issues. Hence, the study suggested that some concrete steps need to be taken by the government to improve the status of financial inclusion

scholarly journals MEASURING FINANCIAL INCLUSION AND ITS DETERMINANTS AMONG THE SMALLHOLDER FARMERS IN ZIMBABWE: AN EMPIRICAL STUDY

2020 ◽  
Vol 8 (3) ◽  
pp. 266-281
Author(s):  
David Mhlanga ◽  
◽  
Steven Henry Dunga ◽  
Keyword(s):  
Financial Market ◽  
Financial Institutions ◽  
Financial Literacy ◽  
Financial Services ◽  
Smallholder Farmers ◽  
Education Level ◽  
Financial Inclusion ◽  
Farm Income ◽  
The Government ◽  
To Come

The study sought to assess the levels of financial inclusion among the smallholder farmers and to investigate its determinants among the same. The study employed a household measure to measure the level of financial inclusion and multiple regression to assess the determinants of financial inclusion. The results indicated that the level of financial inclusion among the smallholder farmers was low because the percentage of households who were actively participating in the formal financial system was below 27 per cent below 50 per cent. The investigation on the driving factors of financial inclusion indicated that off-farm income, education level, distance, financial literacy and age of the household were the significant variables in explaining the determinants of financial inclusion among the smallholder farmers in Manicaland Province of Zimbabwe. Therefore, the study discovered that it is important for the government of Zimbabwe and financial institutions to form partnerships to come up with policies that ensure that smallholder farmers are included in the formal financial market and these policies should motivate households to use the formal financial services. Also, the crafted should strive to remove all the barriers to financial inclusion among the smallholder farmers. For instance, looking at farmers, many farmers are finding it difficult to access loans due to lack of collateral security, so banks need to come up with services and products that are tailor-made for the smallholder farmers especially on credit, services that allow smallholder farmers to borrow.

scholarly journals Equivalence of Islamic Financial Literation Index with Islamic Financial Inclusion Index in The Islamic Banking Sector: A Case Study of DIY Society

2019 ◽  
Vol 10 (2) ◽  
pp. 255
Author(s):  
Miftakhul Khasanah
Keyword(s):  
Financial Literacy ◽  
Financial Services ◽  
Quantitative Methods ◽  
Banking Sector ◽  
Financial Inclusion ◽  
Public Access ◽  
Islamic Banking ◽  
Services Sector ◽  
The Relationship

<p><strong>Abstract:</strong> The purpose of this research is to find out and analyse the relationship between the Islamic financial literacy index and the Islamic financial inclusion index of the DIY community in the Islamic banking sector. The research uses descriptive quantitative methods. Data collection was carried out by distributing 663 questionnaires in the DIY province. The calculation of the index of Islamic financial literacy and inclusion was carried out by referring to the OJK calculation and Sharma method. From the results of the calculation of the Islamic financial literacy index in DIY Province, the results were 32.47% while the Islamic financial literacy index, specifically for the Islamic banking sector was 26.15%. This result is much higher than the calculation of the Islamic financial literacy index conducted by OJK in 2016. Financial literacy is closely related to financial inclusion so that there needs to be conformity and continuity between both of them. Achievement of financial literacy and inclusion strategies will be more efficient if carried out together so that the achievement of public access to the financial services sector can be done more optimally and can utilise financial products and services that are suitable to achieve sustainable economic prosperity.</p><p><strong>Abstrak:</strong> Tujuan dari penelitian ini adalah untuk mengetahui dan menganalisis keterkaitan antara indeks literasi keuangan syariah dan indeks inklusi keuangan syariah masyarakat DIY pada sektor perbankan Syariah. Penelitian menggunakan metode kuantitatif deskriptif. Pengumpulan data dilakukan dengan menyebarkan kuisioner di propinsi DIY. Perhitungan indeks literasi dan inklusi keuangan syariah dilakukan dengan merujuk pada perhitungan OJK dan metode Sharma. Dari hasil perhitungan indeks literasi keuangan Syariah di Propinsi DIY didapatkan hasil sebesar 32,47% sedangkan indeks literasi keuangan Syariah khusus untuk sektor perbankan syariah adalah 26,15%. Hasil ini jauh lebih tinggi daripada perhitungan indeks literasi keuangan syariah yang dilakukan OJK di DIY pada tahun 2016. Pencapaian strategi literasi dan inklusi keuangan akan lebih efisien jika dilakukan secara bersama-sama sehingga pencapaian akses masyarakat ke sektor jasa keuangan dapat dilakukan dengan lebih optimal dan dapat memanfaatkan produk dan layanan jasa keuangan yang sesuai untuk mencapai kesejahteraan keuangan yang berkelanjutan.</p>

scholarly journals Financial Inclusion in Zimbabwe: Determinants, Challenges, and Opportunities

2021 ◽  
Vol 12 (3) ◽  
pp. 261
Author(s):  
Florence Barugahara
Keyword(s):  
Low Income ◽  
Financial Literacy ◽  
Financial Services ◽  
Financial System ◽  
The Elderly ◽  
Financial Inclusion ◽  
Challenges And Opportunities ◽  
Identification Documents ◽  
The Government ◽  
And Gender

Financial inclusion is a highly topical issue for policymakers since inclusive finance is viewed as a channel of social and economic development. Therefore, this paper seeks to ascertain and examine the determinants, challenges, and opportunities for financial inclusion in Zimbabwe. The research is done by examining existing literature and estimating Logit and Probit models. This paper finds that, the major determinants of financial inclusion in Zimbabwe are; gender, age, education, income levels, employment status, the cost of financial services, account opening requirements, and level of trust in the financial system. Challenges to financial inclusion in Zimbabwe include; financial illiteracy, lack of formal identification documents, lack of trust in the financial system, fragile economy, rural poor and gender inequality, and high transaction costs of financial services. However, mobile money services such as Eco-cash, Tel-cash, and One-money have proved an opportunity for inclusive finance in Zimbabwe. Furthermore, the establishment of the women’s Bank of Zimbabwe is one of the strategies to enhance inclusive finance for women in Zimbabwe. The simplified KYC requirements for low-income groups and the financial inclusion strategy commissioned by the Reserve Bank of Zimbabwe are hoped to promote financial inclusion. This paper recommended that to make finance inclusive, the government should develop policies that target marginalized groups such as the elderly, rural population, low-income earners, females, and the unemployed. The government should also develop a strong consumer protection regulatory framework, promote financial literacy, reduce the transaction cost of financial services and encourage the use of accounts with simplified KYC requirements to ease documentation needs.

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