Abstract
Previous research has shown that fintech contributes to GDP and reduces numbers and poverty. However, this does not cover the fact that P2P lending still has the potential to develop and have a positive impact on Indonesia's economic growth. This study examines the effect of P2P lending fintech on Indonesia's economic growth, using secondary data on Indonesia's economic growth from Bank Indonesia and P2P lending fintech data from the Financial Services Authority (OJK). Simple regression statistical analysis, t-test, and coefficient of determination show that peer to peer (P2P) lending has a positive and significant impact on Indonesia's economic growth. A total of 74.60 percent of the P2P lending variables explain the variables of Indonesia's economic growth. These results indicate that the growth of P2P lending is driving Indonesia's economic growth. This positive influence can be explained based on the relationship between P2P credit and other variables that affect the economy such as labor absorption variables through MSMEs, poverty rates, Gini ratio, GDP, growth of other economic sectors, household consumption levels, and inflation rates. This relationship is explained descriptively based on the results of previous studies.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.