The Impact Of Mobile Money On Financial Performance Of Msmes In Indonesia

Dimas Audi Priyadi

Abstract


The traditional financial system is ignored by the banking system, cellular money services (MMS) as an alternative means of payment in carrying out small and medium business activities (MSMEs). Regardless of its potential in promoting inclusive growth, the use and adoption of mobile money (MM) by MSMEs is still too low in Indonesia, and one reason is that there is limited data that supports its impact on financial performance. As a result, there is a need to investigate the impact of cellular money payments and receiving services on MSMEs financial performance in Indonesia. Payments and receipts of mobile money account for 73% of MSMEs total turnover variant  in Indonesia after they started using technology. By confirming the positive relationship between use of mobile money services and business financial performance, it is hoped that all relevant stakeholders will see this as a possible solution to the financial challenges facing MSMEs in Indonesia.

Keywords: MSMEs, Mobile money, financial performance


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References


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