The Influence of Information and Communication Technology (Ict) Infrastructure on the Volume of Card-Based Non-Cash Financial Transactions in Indonesia

Abstract

This research aims to analyze the influence of Information and Communication Technology (ICT) infrastructure on the volume of card-based non-cash financial transactions in Indonesia from 2019 to 2021. This is a quantitative study. Data analysis in this research employs multiple regression with a fixed-effect model. The study utilizes panel data of longitudinal type, consisting of data on Base Transceiver Stations (BTS), Villages/Subdistricts Served by Internet, Automatic Teller Machines (ATMs), ATM/debit cards and credit cards, and non-cash financial transaction volume based on cards across 33 provinces in Indonesia as cross-sectional data, spanning a period of three (3) years from 2019 to 2021 as time-series data. Secondary data for this research were obtained from the Bank of Indonesia, the Central Bureau of Statistics, and the Financial Services Authority. The research findings conclude that Base Transceiver Stations (BTS), Villages/Subdistricts Served by Internet, Automatic Teller Machines (ATMs), ATM/debit cards, and credit cards simultaneously had a significant influence on the volume of card-based non-cash financial transactions as shown by the F-test results. While partially as shown by the result of the t-test. Base Transceiver Stations (BTS) and Villages/Subdistricts Served by Internet do not have a significant influence on the volume of card-based non-cash financial transactions. Automatic Teller Machines (ATMs) and ATM/debit cards and credit cards have a significant influence on the volume of card-based non-cash financial transactions.