Abstract

Village Owned Enterprise (BUMDes) were established with the aim of increasing the economic activities of village communities by developing businesses through managing village potentials in order to meet the general needs of the community and increase the village's original income. For this reason, BUMDes is expected to be managed optimally so that it is able to develop and have good business performance. This research aims to measure the influence of financial literacy and financial inclusion on investment decisions and BUMDesa performance in Indragiri Hulu Regency. This research uses a quantitative approach. Primary data comes from operational implementers or BUMDes managers, with 143 respondents answering the questionnaire. Data analysis uses path analysis. The results show that financial literacy has a significant effect on investment decisions, financial literacy has a significant effect on business performance, financial inclusion has no significant effect on investment decisions, financial inclusion has a significant effect on business performance, investment decisions have a significant effect on business performance, financial literacy through investment decisions has an effect on business performance, and financial inclusion through investment decisions influences business performance.

Full Text
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