The First Android Based Sharia Fintech Innovation In Indonesia To Increase Inclusive and Literate on Society’s Finance

2021 ◽  
Vol 1 (2) ◽  
pp. 01-19
Author(s):  
Suhartono Suhartono ◽  
Juniato Sidauruk ◽  
Octa Pratama Putra ◽  
Syamsul Bahri ◽  
Martias Martias ◽  
...  
Keyword(s):  
Financial Services ◽  
Research Method ◽  
Banking Sector ◽  
Financial Inclusion ◽  
Descriptive Research ◽  
Technology Industry ◽  
Technical Procedure ◽  
Interview Session ◽  
Personal Finances ◽  
Financial Technology

Technology has become the part of today’s people life. Then, it is actually close to the application of it. Absolutely, it has example; such as the electricity for having more sophisticated in financial technology (Fin-Tech). The simplicity and speed of this technology have led people to adopt it in everyday’s life. One of the innovations in developing business and the economy, especially in the banking sector, is currently to develop Fintech (Financial Technology) which is able to facilitate all types of buying and selling transactions, investments and fundraising. Next, the purpose of this study is to explain and provide an understanding of the technical, procedures and benefits of the application, it is called Sharia FinTech. Then, it is also to contribute to the literature on the capacity of the latest technological and non-technological innovations. The research method used is descriptive research method with a qualitative approach. It is to describe and explore the phenomena in the form of engineering human innovation in the financial technology industry. It is done by taking into account the characteristics, quality, and interrelationships between activities It has several aspects; they are: conducting the observation, having an interview session, creating the documentation, and the last one is doing the Literature review. The result of this study is to increase the knowledge, skills and confidence of the community in managing personal finances to be better and to provide access to be having convenient and accountable financial services. Afterwards, this study linits on explaining and providing an understanding of the technical, procedure and benefits of Sharia Fintech for all people in need. Thence, the limitation of the research only discusses the role of Islamic Fintech in increasing the public financial inclusion and literacy. As for the the next researchers, they can be even wider by adding the collaboration of fintech and the banking world. The novelty of this research is the use of the android application as a digital platform in financial inclusion and literacy.

scholarly journals CONSUMER PROTECTION AND FINTECH COMPANIES IN INDONESIA: INNOVATIONS AND CHALLENGES OF THE FINANCIAL SERVICES AUTHORITY

2020 ◽  
Vol 9 (1) ◽  
pp. 132
Author(s):  
Ika Atikah
Keyword(s):  
Risk Management ◽  
Consumer Protection ◽  
Data Protection ◽  
Financial Services ◽  
Research Method ◽  
Financial Inclusion ◽  
Main Issue ◽  
Conceptual Approach ◽  
Consumer Data ◽  
Financial Technology

The article has questions from the background of the research as follows: how to protect consumers fintech transactions from financial technology companies? What are the innovations and challenges of the financial services authority in overseeing and issuing regulations related to fintech? The research method used is normative with the statute approach and conceptual approach. The technique of collection primary legal is carried out by collecting OJK regulations regarding fintech companies, and consumer protection. Meanwhile, the technique of collection secondary legal is the concept or theories related to the main issue complete with bibliography. The Results that found are the fintech companies must be registered in the financial services authority by obeying and implementing OJK regulations. Innovation that OJK did enact Supervisory Technology (Suptech) to develop the financial technology (fintech) corporate ecosystem that is included in the realm of Digital Financial Innovation (IKD) on the OJK portal with the name Gerbang Elektronik Sistem Informasi Keuangan Digital. OJK also established the Innovation Center or Fintech Center in 2018. Challenges OJK must face: fintech lending is to create a balance between increasing financial inclusion and risk management, improving people’s understanding of fintech services, infrastructure, cybersecurity and data protection for consumers and fintech must collect more consumer data so that the lending and borrowing process becomes more efficient and effective.

scholarly journals The Nexus between Mobile Money Regulation, Innovative Technology and the Promotion of Financial Inclusion in Zimbabwe

2021 ◽  
Vol 24 ◽  
pp. 1-33
Author(s):  
Howard Chitimira ◽  
Elfas Torerai
Keyword(s):  
Low Income ◽  
Rural Areas ◽  
Financial Services ◽  
Banking Sector ◽  
Regulatory Framework ◽  
Financial Inclusion ◽  
Innovative Technology ◽  
Technological Innovations ◽  
Mobile Money ◽  
The Poor

The advent of mobile money innovations has given people in rural areas, informal settlements and other poor communities an opportunity to participate in Zimbabwe's mainstream financial economy. However, the technology-driven money services have presented some challenges to the traditional banking sector in general and the regulation of financial services in particular. Firstly, most mobile money services are products of telecommunication corporations, which are not banks. Telecommunication companies use their network reach to provide mobile money services via mobile devices at a cheaper cost than banks across the country in Zimbabwe. As such, banks face unprecedented competition from telecommunications companies that are venturing into financial services. It also appears that prudential regulation of banks cannot keep up with the fast pace at which technological innovations are developing and this has created a disjuncture between the regulation and the use of technological innovations to promote financial inclusion in Zimbabwe. The Banking Act [Chapter 24:20] 9 of 1999, the Reserve Bank of Zimbabwe Act [Chapter 22:15] 5 of 1999 and the National Payment Systems Act [Chapter 24:23] 21 of 2001 have a limited scope in terms of the regulation of mobile money services in Zimbabwe. The Ministry of Finance and Economic Development launched the National Financial Inclusion Strategy (NFIS) 2016-2020 to provide impetus to the financial inclusion of the poor, unbanked and low-income earners in Zimbabwe. However, the NFIS appears to push more for bank-led financial inclusion than it does for innovation-driven initiatives such as mobile money services. This article highlights the positive influence of mobile money services in improving financial inclusion for the poor, unbanked and low-income earners in Zimbabwe. The article also seeks to point out gaps and flaws in the financial services regulatory framework that may limit the potential of mobile money services to reach more people so that they actively participate in the Zimbabwean economy. It is submitted that the Zimbabwean mobile money services regulations and the financial regulatory framework should be carefully amended in line with the recent innovations in mobile money to adequately regulate the use of mobile money services and innovative technology to address the financial exclusion of the poor, unbanked and low-income earners in Zimbabwe.

scholarly journals Financial Technology (Fin-Tech): Revolutionizing the Indian Agrarian Sector

2020 ◽  
Vol 8 (12s3) ◽  
pp. 1-8
Keyword(s):  
Financial Literacy ◽  
Financial Services ◽  
Risk Sharing ◽  
Financial Inclusion ◽  
Indian Government ◽  
Agricultural Finance ◽  
Agricultural Growth ◽  
Two Factors ◽  
Financial Technology

Agriculture is the largest employer of India which constitutes 50% of its workforce and also a contributor to 17-18% in its GDP. Still, it is one of the most disorganized and disjointed sector.Somewhere this sector has not been given due attention and itcan be proven with the fact that the GDP contribution of this sector has fallen from 43% to 18% (1970- 2018).Though the Indian Government is digitally driving to provide financial inclusion to more than 145 million households that are not having access to banking services but still the farmers aremajorlyusing traditional credit for their basic and main two factors; Production & Consumption (Distribution). The financial segment has an important role to make agriculture aprime contributorto the economic growth of the country and also in reducing poverty. A fast-evolving technological landscape is bringing up new potential to focus&provide credit, risk-sharing, and to explore technology to enhance agricultural productivity. Our paper firstly examines agricultural finance in the Indian context and then discusses how financial technology (Fin-Tech) can drive new products in credit and risk markets in India. We evaluate the role of mobile banking, financial literacy, digital financial services, digital financial technology, and block-chain technology. The paper is concluded with a discussion of policy takeaways for Fin-Tech in agriculture to promote agricultural growth, enhance financial inclusion, and improve regional economic integration through agriculture.

Understanding FinTech and Decentralized Finance (DeFi) for Financial Inclusion

2022 ◽  
pp. 1-13
Author(s):  
Andrei Dragos Popescu
Keyword(s):  
Social Problem ◽  
Financial Services ◽  
Paradigm Shift ◽  
Financial Inclusion ◽  
Underserved Population ◽  
Finance Industry ◽  
Long Period ◽  
Financial Exclusion ◽  
Cycle Of Poverty ◽  
Financial Technology

For a very long period of time, financial inclusion researchers have been addressing the barriers that prevent unprivileged people from accessing and using financial services. Financial exclusion is an underlying social problem that dates from the creation of the first financial system. Without the access to the banking and financial infrastructures, the unbanked are perpetuating a vicious cycle of poverty. Blockchain is leading this transformation of allowing unbanked and underbanked people to have access and interact with the finance industry. The promise of a digital economy is starting to take shape, as financial technology (FinTech) companies are evolving the concept of democratization of access. Decentralized finance (DeFi) is expanding the possibilities of financial technology by creating an ecosystem based on transparency, accessibility, and efficiency. We are witnessing a paradigm shift for most of the financial services which are remodeling the accessibility and usability of these services, addressing the excluded and underserved population.

scholarly journals Exploring the Development of Financial Inclusion in the Context of Financial Technology

2021 ◽  
Vol 4 (4) ◽  
pp. 104-111
Author(s):  
Ziyi Cheng
Keyword(s):  
Economic Growth ◽  
United Nations ◽  
Financial Services ◽  
Banking Industry ◽  
Financial Inclusion ◽  
Family Enterprises ◽  
The United Nations ◽  
Financial Technology

The concept of inclusive finance was proposed and promoted by the United Nations in 2005 with the main purpose of providing services for those who lack good financial services while promoting the economic growth of family enterprises and eliminating social poverty as well as inequality. With the innovation of financial technology and its application in the field of financial inclusion, the new inclusive finance has shown strong vitality and great prospects in recent years. It provides certain ideas and directions for the development of inclusive finance in the banking industry.

scholarly journals The level of financial inclusion in Ukraine: Measuring access, quality, and usage of financial products and services

2021 ◽  
Vol 16 (2) ◽  
pp. 59-67
Author(s):  
Yuliia Shapoval ◽  
Andrii Shkliar ◽  
Oleksii Shpanel-Yukhta ◽  
Kateryna Gruber
Keyword(s):  
Financial Literacy ◽  
Financial Services ◽  
Banking Sector ◽  
Global Financial Crisis ◽  
Banking System ◽  
Financial Inclusion ◽  
Clear Understanding ◽  
Financial Products ◽  
Medium Level ◽  
The Global Financial Crisis

While financial inclusion is seen as a goal of socio-economic development, there is still no clear understanding of how to measure it. Following this concern, the paper deals with the computation of the financial inclusion index of the Ukrainian economy using an annual dataset spanning from 2008 to 2020 and following the Sarma methodology. The object of the study is a set of indicators of usage, access and quality of financial products and services. The obtained results demonstrate the medium level of financial inclusion. The improvement of financial inclusion is observed in 2012, 2013, 2020 (namely 0.55 – 0.56 in the range of 0 and 1). From 2015 (0.38) till 2018 (0.39), the revealed downward trend affirms that the withdrawal of banks from the market has deteriorated the level of quality and usage of financial products and services. Financial inclusion declined during the cleaning up of the banking system in 2014–2016, just as it did after the global financial crisis in 2009–2010. Despite the development of the payment infrastructure, there is a need to diversify access, increase quality, and quicken the usage of financial products and services due to existing distrust in national financial institutions. Improving financial literacy and consumer protection, and closing regulatory gaps in the non-banking sector are seen as ways to enhance financial inclusion. Thus, financial regulators should establish an upward trend in financial inclusion that will ensure full access to formal financial services and will not adversely affect the stability of financial system.

scholarly journals BANKING SECTOR ORIENTED FINANCIAL INCLUSION IN INDIA: A LONG TERM PERSPECTIVE

2020 ◽  
pp. 42-59
Author(s):  
Sana Pathan ◽  
Archana Fulwari
Keyword(s):  
Financial Services ◽  
Banking Sector ◽  
Financial Inclusion ◽  
Inclusive Growth ◽  
Long Run ◽  
Reserve Bank ◽  
The Government ◽  
Improve Access ◽  
Reserve Bank Of India

Financial Inclusion is an emerging concept. The objective of the government behind 100 percent Financial Inclusion is to have inclusive growth in India. Several initiatives have been taken by the Government of India and the Reserve Bank of India to improve access to financial services. To measure the effectiveness of these initiatives there is need to measure the extent of Financial Inclusion. Financial Inclusion can be measured by gauging the progress in access to and usage of a range of products and services of financial institutions over time. The present study sought to propose an index to measure the extent of banking sector oriented Financial Inclusion in India over a period of time rather than a cross-section study which has been the focus of many a studies. The study used more specific indicators of banks-centric financial inclusion dimensions to gauge the long run trend in Financial Inclusion in India. The results indicate that there is much improvement in Financial Inclusion in India since the implementation of financial sector reforms.

scholarly journals The Effect of Financial Literacy and Financial Technology on Student Financial Inclusion of Institute of Social Sciences and Management Stiami Jakarta Bekasi Campus

2020 ◽  
Vol 2 (1) ◽  
pp. 16-27
Author(s):  
Ismi Amalia Romadhon ◽  
Heksawan Rahmadi
Keyword(s):  
Social Sciences ◽  
Financial Literacy ◽  
Financial Services ◽  
Hypothesis Test ◽  
Linear Regression Analysis ◽  
Simple Random Sampling ◽  
Multiple Linear Regression Analysis ◽  
Financial Inclusion ◽  
Test Reliability ◽  
Financial Technology

Financial inclusion is a situation where everyone has access to quality financial services at an affordable cost and a fun way. This research aims to find out the influence of literacy on financial inclusion, to know the influence of financial technolgy on financial inclusion on students of Institute of Social Sciences and Management STIAMI Jakarta Bekasi Campus. The population of this study was a student employee of STIAMI Institute of Social Sciences and Management Jakarta Bekasi Campus and was assigned a sample of 47 respondents, with the method of Simple Random Sampling. The study used questionnaire data collection techniques. Technical analysis of the data used is validity test, reliability, classic assumption, multiple linear, Correlation Coefficient, determination coefficient and hypothesis test. The results of the study based on the t test analysis showed that the financial literacy variable (X1) with a calculated t value of 0.607 > t table 2.01537 or signification 0.547 > 0.05 and variable financial technology (X2) with a calculated value of 3.895 > t table 2.01537 or signification of 0.000 < 0.05, it is said that only financial technology variables (X2) have a significant effect on financial inclusion variables (Y). While the F test results show that independent variables (price and product quality) have a simultaneous influence on dependent variables (purchasing decisions) with a value of F count 10,476 > F table 3.20 or signification of 0.000 < 0.05.. so Ho was rejected and Ha accepted. Based on multiple linear regression analysis the model or equation is Y = 64,392 + 0.095 (X1) + 1,140 (X2).

Promoting Indigenous Financial Inclusion

2018 ◽  
Vol 9 (2) ◽  
pp. 1-11
Author(s):  
Michael D'Rosario
Keyword(s):  
Social Services ◽  
Financial Services ◽  
Potential Role ◽  
Banking Sector ◽  
Indigenous Communities ◽  
Financial Inclusion ◽  
Banking Services ◽  
Geographic Dispersion ◽  
Financial Exclusion

This article describes how the majority of Australia's indigenous communities live within isolated regions and are typically characterized by levels of disadvantage not evidenced within mainstream Australian society. While there are a number of reasons for the evidenced disadvantages, access to financial services and social services are acknowledged as key contributors. The article outlines the role of banking sector competition and changing banking structures on the exclusion of indigenous people from banking services. It is claimed herein that access, marketing, price, and self-exclusion all serve to promote financial exclusion. It is posited that forms of access exclusion such as bank branch access and geographic dispersion have served as the key structural impediments to indigenous financial inclusion. Specifically, this article considers the potential role of adaptive cellular technologies and community telecentres in addressing financial exclusion within indigenous communities. Detailing successful ‘social banking' models adopted in several developing countries, it is asserted that m-banking could serve as a powerful tool for inclusion.

Paving the Way for the Development of FinTech Initiatives in ASEAN

2020 ◽  
pp. 80-107 ◽  
Author(s):  
Mahani Hamdan ◽  
Muhammad Anshari
Keyword(s):  
Economic Growth ◽  
Financial Services ◽  
Millennial Generation ◽  
Financial Inclusion ◽  
Innovative Technology ◽  
Financial Policies ◽  
Practical Applications ◽  
Internet Penetration ◽  
Shed Light ◽  
Financial Technology

Financial technology (FinTech) is not one to be ignored under any circumstances. It is not only growing as a concept but a phenomenon that has been manifested in non-financial sectors using innovative technology to bring financial services straight to the customers. The creation and practical applications of FinTech supported by government regulations and financial policies, high mobile adoption, rising rates of internet penetration, and increasingly literate and millennial generation, strongly indicates that the various scopes of FinTech in ASEAN are very promising in supporting economic growth and financial inclusion. This chapter will provide an overview of FinTech and examine the development of FinTech initiatives to shed light on some challenges and solutions facing the ASEAN's financial landscape today and in the future.

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