scholarly journals The Role of Digital Consumer Protection in Mediating the Effect of Mobile Money usage towards Financial Inclusion: an Evidence from Buleleng, Indonesia

2021 ◽  
pp. 195-207
Author(s):  
Luh Regita Eka Pratiwi ◽  
Astrie Krisnawati
Keyword(s):  
Consumer Protection ◽  
Sampling Technique ◽  
Poverty Rate ◽  
Financial Inclusion ◽  
High Poverty ◽  
Mobile Money ◽  
Current Utilization ◽  
High Poverty Rate ◽  
Process Method

The current utilization of digital services especially in finance sector among the productive age communities is increasing. Mobile money utilization and the implementation of a digitalization system in the financial sector are expected to increase financial inclusion. By increasing financial inclusion, the poverty rate is also expected to be reduced. Buleleng Regency is one of regency in Bali Province, Indonesia which has a high poverty rate. It is necessary to increase financial inclusion through mobile money usage. However, it is also necessary to increase consumer protection to support this digitalization. This research aims to determine the effect of mobile money usage on financial inclusion with digital consumer protection as a mediator in productive age communities in Buleleng Regency, Bali, Indonesia. The population of this research consists of 439,400 people from productive age group in Buleleng Regency, Bali, Indonesia. This research used a non-probability sampling technique with the total of 477 samples. This research applies the Sobel test, Baron and Kenny’s mediation analysis, and the PROCESS method by Hayes. The results of this study show that digital consumer protection partially mediates the effect of the mobile money usage on financial inclusion in Buleleng Regency, Bali, Indonesia. Based on the results of this study, it is suggested to regulators and related agencies in Indonesia to show more attention about the safety factors of mobile money users by strengthening consumer protection in terms of both regulation and the system reliability. Furthermore, it is also necessary to develop education programs on how to manage finance properly by using mobile money in order to improve people’s welfare.

scholarly journals Performance Analysis of Zakat Practices in Pati Regency (Case Study: The National Board of Zakat [BAZNAS] Pati Regency, Indonesia)

2018 ◽  
Vol 3 (2) ◽  
pp. 75-84
Author(s):  
Fitriani .
Keyword(s):  
Sampling Method ◽  
Sampling Technique ◽  
Poverty Rate ◽  
High Poverty ◽  
Index Method ◽  
National Board ◽  
Index Value ◽  
High Poverty Rate ◽  
Research Show

A crucial problem faced by Indonesia is its high poverty rate. One of the redistribution instruments that can be used to reduce poverty is zakat. The zakat potential of Pati Regency, Indonesia in 2016 was approximately Rp 20 billion, but the funds collected only amounted to around 9 percent of this figure (Rp 1.8 billion). This statistic shows that the management of zakat is not optimized, both in terms of its collection and distribution. This study aims to evaluate the performance of zakat practices, and the influenceof zakat on the welfare of mustahik (recipients of zakat) in Pati Regency, Indonesia. The research was conducted by means of a survey of 100 households of mustahik and interviews. The sampling method that used in this research was purposive sampling technique. Analysis of the result was undertakenusing by National Zakat Index (NZI) and Muti-Stage Weight Index Method. The result of this research show that the performance of zakat practices in Pati Regency is in the “less good” category with an index value of 0.392. Keywords: Poverty, National Zakat Index, Performance of Zakat Practices

scholarly journals PERAN BAITUL MAL SEBAGAI PENGHIM PERAN BAITUL MAL SEBAGAI PENGHIMPUN DANA ZAKAT DALAM MENANGGULANGI KEMISKINAN DI KOTA LANGSA

2021 ◽  
pp. 55-66
Author(s):  
Mulyadi Mulyadi
Keyword(s):  
Poverty Rate ◽  
High Poverty ◽  
Research Results ◽  
The Poor ◽  
The People ◽  
High Poverty Rate

Aceh is one of the provinces with a high poverty rate and is also a region with a high poverty rate in Sumatra, including Langsa City. Therefore, one of the efforts to alleviate poverty in Langsa City is by utilizing zakat funds managed by the Baitul Mal Institute, which will later be distributed to the poor in Langsa City. This study aims to identify the role of the Baitul Mal Institution in alleviating poverty and improving the welfare of the people of Langsa City. From the research results, it is concluded that the distribution of zakat funds to the poor is still ineffective and still not on target so that people still do not feel prosperity.    

Financial Innovation and Financial Inclusion

2021 ◽  
pp. 92-118
Author(s):  
Bob Collymore
Keyword(s):  
Consumer Protection ◽  
Financial Innovation ◽  
Chief Executive ◽  
Financial Inclusion ◽  
Money Growth ◽  
Mobile Money ◽  
Untimely Death ◽  
Current State ◽  
Proactive Measures

This chapter was written before the untimely death of Bob Collymore, Chief Executive Officer of Safaricom (the Kenyan telecommunications company). In many ways, the chapter offers testimony to his great ideas and legacy in innovation of mobile money that revolutionized the financial sector. The chapter narrates the journey of M-PESA from inception to its current state, the partnerships formed along the journey and supporting regulations thereof. The chapter also features the role of mobile money as a tool for financial inclusion and deepening. It is shown that the enabling policy and regulatory environment were critical for mobile money development in Kenya. It is also suggested that regulation should be market-led and proactive measures should be undertaken to enhance not only mobile money growth but also consumer protection.

scholarly journals The Role of Technology in Financial Inclusion-A Case Study Mobile Money Penetration in Ghana

2021 ◽  
Vol 8 (4) ◽  
pp. 19-34
Author(s):  
Samuel Nii Attoh Abbey
Keyword(s):  
Value Added ◽  
Financial Inclusion ◽  
Mobile Money ◽  
Face To Face ◽  
Platform As A Service ◽  
The Cost ◽  
Audit Trails ◽  
Game Changer

With the flagship success of M-Pesa, mobile devices have become an important tool to facilitate the financial inclusion of the previously unbanked population in developing countries. Following the success of M-Pesa in Kenya in 2007, mobile money technologies became widespread across Africa. Beginning in 2009, Ghana experienced exceptional adoption of Mobile Money technology. Many studies have examined the influence of mobile money on financial inclusion from a variety of perspectives, and many have concluded that mobile money is a game-changer in this regard. The Mobile Money concept has evolved based on introducing the other value-added services such as microloans, savings, and insurance portfolios. The researcher used a questionnaire and a face-to-face interview to obtain qualitative data for this study. Together with other research, the statistics revealed that Mobile Money transactions in Ghana had more than tripled since it became the most popular payment method. Over the last year, the platform as a service has created over 140,000 jobs and has shown to be the safest channel. It has several advantages, including lowering the cost of printing and keeping cash on hand, as well as decreasing fraud because the technology underlying it gives appropriate audit trails to prevent fraud and boost economic growth.

Trust: mediator between mobile money adoption and usage and financial inclusion

2019 ◽  
Vol 16 (8) ◽  
pp. 1215-1237
Author(s):  
George Okello Candiya Bongomin ◽  
Joseph Ntayi
Keyword(s):  
Developing Countries ◽  
Mobile Network ◽  
Mobile Telephone ◽  
Partial Least Square ◽  
Financial Inclusion ◽  
Mediating Effect ◽  
Content Type ◽  
Mobile Money ◽  
The Relationship

Purpose Recently, a large body of research has been devoted on the role of trust in shaping different types of transactions, especially in rural financial development. Trust is a set of expectations shared by all those who engage in an exchange. Indeed, the “rule of the game” suggests that no trusting party in a transaction should act opportunistically. Consequently, this study aims to establish the mediating effect of trust in the relationship between mobile money adoption and usage and financial inclusion of MSMEs in developing countries with a specific focus on rural Uganda. Design/methodology/approach A quantitative survey-based study was used and responses obtained from 379 MSMEs located in northern Uganda were analysed using partial least square-PLS version 3.0. A semi-structured questionnaire was developed from scales and items used in previous studies referenced in internationally recognised journals to elicit responses from the MSMEs. Structural equation modelling was used to test the models to arrive at a final empirical model derived from the data. Findings The authors found evidence that trust enhances mobile money adoption and usage to increase the scope of financial inclusion of MSMEs in developing countries. Moreover, when individual effect was determined, trust also had significant and positive effect on financial inclusion. Thus, the study results imply that trust enhances mobile money adoption and usage to improve the level of financial inclusion of MSMEs in developing countries. Research limitations/implications The study used cross-sectional data to document the relationship between mobile money adoption and usage and financial inclusion and to establish the mediating effect of trust in the relationship. Future research could use relevant longitudinal data to verify other benefits of trust. Practical implications The results present trust as a significant factor for FINTECH financial services marketing and growth. Specifically, data privacy and effectiveness of the mobile telephone network is more likely to help consumers to bridge the gap between participation and non-participation on the mobile money platform. Customers’ data sent over the mobile network of providers should be protected from unnecessary access and usage by Mobile Network Operators (MNOs) staff and unauthorised persons and agents. Data protection protocols should be set by the MNOs to avoid unnecessary access and use of customers’ data. Originality/value Globally, Fintech scholars have examined the role of mobile money in promoting financial inclusion. However, there is insufficient evidence on the mediating effect of trust in the relationship between mobile money adoption and usage and financial inclusion, especially among rural MSMEs. This study invents a novel direction on the importance of trust in creating transaction efficiency by eliminating opportunism and fraud with in the Fintech ecosystem.

scholarly journals Peran Modal Sosial Sebagai Mediator Literasi Keuangan dan Inklusi Keuangan Pada Kaum Muda di Indonesia (Studi Kasus pada Komunitas Investor Saham Pemula)

2017 ◽  
Vol 10 (3) ◽  
pp. 243
Author(s):  
Rachmat Simbara Saputra ◽  
Andrieta Shintia Dewi
Keyword(s):  
Social Capital ◽  
Sample Size ◽  
Direct Effect ◽  
Financial Literacy ◽  
Sampling Technique ◽  
Financial Inclusion ◽  
Probability Sampling ◽  
Younger Generation ◽  
The Relationship

Currently the level of financial literacy and financial inclusion in Indonesian people, especially the younger generation, is still considered very low. Therefore, the role of social capital for improving financial literacy and financial inclusion in society need special attention. Social capital is expected to become a mediator for improving financial literacy and financial inclusion. This study aims to decide the role of social capital as a mediator of the relationship between financial literacy and financial inclusion. In addition, this study also examined the direct effect of financial literacy on financial inclusion. The population of this study were all members of the Investor Saham Pemula Community a number of 320 members. Making sample of this research using non-probability sampling technique with a sample size of 180 samples. This study adopts and uses Sobel and Kenny and Baron test to test the effect of mediation of social capital in the relationship between financial literacy and financial inclusion. The finding in this study is a proven social capital mediates the relationship between financial literacy and financial inclusion and there are no direct effect between financial literacy and financial inclusion. 

scholarly journals THE IMPLEMENTATION OF INFORMATION AND COMMUNICATION TECHNOLOGY (ICT) IN ANTI-CORRUPTION TO SUSTAIN ECONOMIC GROWTH

2020 ◽  
Vol 5 (2) ◽  
pp. 191
Author(s):  
Muhammad Arfan Pratama
Keyword(s):  
Economic Growth ◽  
Information And Communication Technology ◽  
Communication Technology ◽  
Developed Countries ◽  
Poverty Rate ◽  
High Poverty ◽  
Blockchain Technology ◽  
Information And Communication ◽  
The Government

Corruption is an extraordinary crime which gives domino effect on government systems. The impacts include low economic growth and high poverty rate. Corruption enriches certain class only so that the budget which is allocated for the development of the country cannot be fully absorbed. Public service facilities for health, education, and administration cannot operate optimally due to the stalled building construction. To increase the economic growth of a country, a structured improvement is needed by involving the role of citizen in monitoring the government system. The development of Information and Communication Technology (ICT) enhances the transparency of ongoing government systems and public services. Studies conducted by Qiang (2009) and Andersen (2009) showed that the implementation of ICT proved to be able to increase economic growth in developing and developed countries with an increase in GDP. Khan and Majeed (2019) also proved that the implementation of ICT and E-Government also increased GDP for Southeast Asian countries in the period 1980-2015. The ICT developments include e-government, big data analysis, blockchain technology, and whistleblowing systems. The implementation of ICT in government systems, such as licensing systems and procurement systems, provides increased transparency and quality so that economic growth also increases. It takes a lot of money to implement ICT in the government system, but it also becomes an opportunity for state officials to abuse their authority. An example of the use of ICT in Indonesia is the procurement of E-ID Cards. Therefore, the integrated whistleblowing system can be sought to guard the benefits of implementing ICT in increasing economic growth.

scholarly journals Food Security Level of Fisherman Household in Bandar Lampung, Indonesia

2021 ◽  
Vol 934 (1) ◽  
pp. 012047
Author(s):  
C Yolandika ◽  
N Anggraini ◽  
D Berliana
Keyword(s):  
Food Security ◽  
Energy Consumption ◽  
Poverty Rate ◽  
Security Level ◽  
High Poverty ◽  
The Poor ◽  
Food Consumption Survey ◽  
Random Method ◽  
High Poverty Rate ◽  
Consumption Survey

Abstract The condition of fishermen’s households that are less food secure can be triggered by poverty. As a developing country, Indonesia still has a fairly high poverty rate of 34.96 million people, of which 63.47% are people living in coastal areas. According to the Food Consumption Survey of Lampung in 2017, 2018, and 2019 conducted by the Food Security Agency of Lampung Province, it is known that the amount and level of energy consumption of fishery households in Bandar Lampung City has decreased from 1,815.1 kcal/cap/day or by 93, 1% in 2017 to 1,666.4 kcal/cap/year or 84.0% in 2018, and decreased again to 1,568.0 kcal/cap/day or 75.1% in 2019. This study aims to analyze the level of food security of fishermen’s households in and the level of energy and protein adequacy of fishermen’s households in Teluk Betung Selatan District. This research was conducted in Teluk Betung Selatan District, Bandar Lampung. The research was conducted on March to July 2021. The sample of fishermen in this study was 50 fishermen from 1,207 fishermen in Teluk Betung Selatan District. Sampling was done by simple random method. The results of this study are (1) the food security of fishermen’s households in Teluk Betung Selatan District is mostly in the food security category (78%), while the remaining 22% are in the food insecurity category; (2) the level of energy adequacy of fishermen’s households in Teluk Betung Selatan District is mostly in the poor category (52%), but the level of protein adequacy is mostly.

Mobile money adoption and usage and financial inclusion: mediating effect of digital consumer protection

2020 ◽  
Vol 22 (3) ◽  
pp. 157-176
Author(s):  
George Okello Candiya Bongomin ◽  
Joseph Mpeera Ntayi
Keyword(s):  
Consumer Protection ◽  
Financial Services ◽  
Structural Equation ◽  
Partial Least Square ◽  
Financial Inclusion ◽  
Least Square ◽  
Mediating Effect ◽  
Content Type ◽  
Mobile Money ◽  
The Relationship

Purpose Drawing from the argument that mobile money services have a significant potential to provide a wide range of affordable, convenient and secure financial services, there have been rampant frauds on consumers of financial products over the digital financial platform. Thus, this study aims to establish the mediating effect of digital consumer protection in the relationship between mobile money adoption and usage and financial inclusion with data collected from micro small and medium enterprises (MSMEs) in northern Uganda. Design/methodology/approach To achieve the main objective of this study, a research model was developed to test for the mediating effect of digital consumer protection in the relationship between mobile money adoption and usage and financial inclusion. The data were collected from MSMEs and structural equation modelling in partial least square (PLS) combined with bootstrap was applied to analyze and test the hypotheses of this study. The direct and indirect effect of mobile money adoption and usage on financial inclusion was tested through digital consumer protection as a mediator variable. Findings The findings from the PLS-structural equation modelling (SEM) showed that mobile money adoption and usage has both direct and indirect effect on financial inclusion. Moreover, financial inclusion is influenced by both mobile money adoption and usage and digital consumer protection. Research limitations/implications The study used partial least square (PLS-SEM) combined with bootstrap confidence intervals through a formative approach to establish the mediating effect of the mediator variable. Hence, it ignored the use of covariance-based SEM and the MedGraph programme. Furthermore, data were collected from samples located in Gulu district, northern Uganda and specifically from MSMEs. This limits generalization of the study findings to other population who also use mobile money services. Practical implications Promoters of digital financial services, managers of telecommunication companies, and financial inclusion advocates should consider strengthening the existing digital consumer protection laws on the mobile money platform. A collaborative approach between the mobile network operators, financial institutions and regulators should tighten the existing laws against mobile money fraudsters and an efficient mechanism for recourse, compensation and remedy should be set up to benefit the victims of frauds and cybercrime on the Fintech ecosystem. Originality/value The current study gives a useful insight into the critical mediating role of digital consumer protection as a cushion for promoting financial inclusion through mobile phones over the Fintech that face great threat and risk from cyber insecurity.

Sign in / Sign up

Export Citation Format

Share Document