The Influence of Financial Literacy, Financial Inclusion, Financial Technology, and Business Capital on MSME Performance Hamdan Fathoni (a), Pristin Prima Sari (b), Ratih Kusumawardhani (c)
Faculty of Economy, Sarjanawiyata Tamansiswa University
Jl. Kusumanegara No. 157 Umbulharjo Yogyakarta
Abstract
This research aims to determine the influence of financial literacy, financial inclusion, financial technology, and business capital on the performance of MSMEs. The number of MSME actors in Bantul Regency has continued to going from 49,801 business units in 2020 to 86,833 business actors by the end of 2022. This research uses a quantitative method with a sample size of 126 MSME actors from various sectors located in Bantul Regency, and data analysis techniques utilize SPSS. The results of this study indicate that financial literacy has a positive and significant effect on MSME performance, financial inclusion does not have a positive and significant effect on MSME performance, financial technology has a positive and significant effect on MSME performance, and business capital has a positive and significant effect on MSME performance. This research is useful for business actors to improve MSME performance through basic financial knowledge, utilizing access to financial institutions, using financial-based technology, and managing capital to develop their businesses. Financial literacy enhances the ability of MSME actors to manage finances and access financing services. Financial inclusion expands access to various financial services, which supports the stability and sustainability of businesses. Fintech offers more efficient and innovative solutions for the financial needs of MSMEs, while sufficient business capital enables expansion, product development, and financial stability.
Keywords: Financial literacy, Financial inclusion, Financial technology, Business capital, and MSME Performance
