Access To Finance Research Articles

Integrating Local Wisdom into a Halal Tourism Model: The Case of Indonesia

Indonesia has the largest Muslim population globally with a significant potential for halal tourism, especially when integrated with local wisdom. Therefore, this study aimed to evaluate the development of halal ecosystem, the necessity of halal tourism village, and the creation of a sustainable model based on local wisdom. It also emphasized on increasing public awareness regarding the criteria for halal ecotourism, including infrastructure and facilities. This qualitative case study was conducted in Indragiri Village, Bandung Regency, West Java. The results showed that the establishment of Indragiri Halal Ecotourism Village had a significant impact. This included the development of local culture, improved public awareness, increase in community income, and the fulfillment of the six requirements for Muslim-friendly facilities recommended by the Committee for Economic and Commercial Cooperation (COMCEC). The requirements included halal food, worship places, water-filled restrooms, private recreational services, and absence of non-halal activities. However, there were challenges related to the development of halal ecotourism sector, such as limited collaboration with Islamic financial institutions and restricted accessibility to Indragiri Ecotourism Village.

The Job Loss Insurance Program as a Government Policy Response to Address the Impact of National Economic Fluctuations and Layoffs

Fluctuations in the national economy caused by several things, such as a decline in economic growth, the global economic crisis, and the COVID-19 pandemic, often lead to layoffs (PHK). Layoffs have various negative impacts on life, such as depression, mental health, financial problems, social relationships, decreased physical health, and impacts on careers. The JKP program is one of the policies to overcome these negative impacts. The JKP program is designed to provide financial support, job training, and access to labor market information for laid-off workers, with the aim of reducing the social and economic impact of layoffs and helping workers return to the labor market with better skills. The aim of this research is to explain the JKP program as a response to government policy in overcoming the negative impacts of layoffs. This research uses a qualitative and quantitative descriptive approach. The implementation of the JKP program has shown positive results, such as increasing people's purchasing power and contributing to economic recovery. However, there are several challenges in its implementation, including infrastructure, technical problems and uneven socialization. Periodic program evaluation is needed to address this problem and ensure the long-term effectiveness of the JKP program. This article also emphasizes the importance of collaboration between government and industry in improving the relevance and quality of vocational training. It is hoped that the JKP program can continue to adapt and improve protection for workers in Indonesia, thereby providing better economic and social stability

ISLAMIC FINANCIAL INCLUSION AND ECONOMIC GROWTH IN OIC COUNTRIES: PANEL QUANTILE REGRESSION ANALYSIS

This study examines how Islamic financial inclusion contributes to economic growth across different quantiles within the OIC countries. Sarma’s method is used to construct a novel index of Islamic financial inclusion (IIFI) and a quantile regression with fixed effects approach is applied to data spanning the period 2015 to 2020 from 25 OIC countries. The findings reveal that Islamic financial inclusion contributes positively to economic growth in the OIC countries across different segments of the GDP per capita with the impact being consistent across all segments. By expanding the network of Islamic banks and enhancing the technological infrastructure for financial access, policymakers can harness the transformative potential of Islamic finance to promote sustainable economic growth and development in the OIC countries.

The role of finance in production and international trade

We introduce finance in a neo-classical general equilibrium model of production and international trade to integrate the core microeconomic theory with the theory of finance. The stock of credit, as past savings, finances employment and the acquisition of machines or capital goods. The availability of finance or international financial flows does not affect production or trade patterns, except for nominal factor prices, in undistorted competitive structures. However, distortions such as unemployment, imperfect credit markets, and factor mobility do affect real outcomes and trade. Our results are consistent with contemporary empirical evidence and have policy implications for financial development and institutional quality. Numerical illustrations provide further insights.

Women-owned businesses and access to finance in Pakistan: a study of perceptions, experiences and behaviors

Purpose The purpose of this paper is to explore the perceptions, experiences and behaviors of women entrepreneurs and industry professionals in raising finance for women-led businesses and associated problems faced by the women entrepreneurs. Design/methodology/approach This qualitative research adopts a narrative inquiry strategy. In-depth interviews are used to collect data from women entrepreneurs and women industry professionals in Pakistan. NVivo qualitative data analysis software is used to organize, analyze and find insights in the qualitative data. Findings This research finds that women entrepreneurs struggle to secure financing for their businesses, and most of them have not been successful in obtaining loans from banks. Women entrepreneurs have relied on various sources of funding, including microfinance banks, grants, personal finance and family members. Some of the barriers to finance attainment for women entrepreneurs include sociocultural inhibitions, lack of awareness and limited information dissemination by financial institutions. Women professionals suggest that entrepreneurs should maintain a bank account, have proper documentation and show dedication to their business to improve their chances of obtaining financing. Research limitations/implications This research provides theoretical contributions and methodological advancements in the study of financial inclusion for women-owned businesses in Pakistan. This research raises awareness about the difficulties women entrepreneurs face when trying to obtain credit from banks and other financial institutions and provides policy recommendations to inform the government about financial inclusion policies and financing policies for women entrepreneurs. Overall, this research contributes to the literature on financial access and access to finance for women-owned businesses in developing countries. Originality/value Based on the vulnerable group theory and theory of discouraged borrower, this paper has two important theoretical and practical implications. First, the findings of this study reveal that the financial services are indifferent to women, and there is a denial of women being vulnerable in the financial system, hence requiring a major policy shift to not portray women as vulnerable, as they will rationally feel risky and prefer to opt out of the financial system. Second, the findings suggest that the issue of access to finance for women is not in the financial services but in the women's capabilities and awareness. Therefore, a policy shift is suggested from “financial services for women” to “capability and awareness of women” to avail and access the current services.

Social and Economic Consequences of Farmer Suicides in Karnataka: Impacts on Rural Communities and Beyond

In this research paper, an attempt has been made to overview the present scenario of farmer suicides in Karnataka, India, is given in the abstract, along with a focus on the disastrous social and economic effects of this phenomenon. In fact, there were 3,515 farmers committed suicide between 2013 and 2018, with small and marginal farmers who owned less than 5 acres of land being the bulk of these deaths. The main causes of these suicides were debt, crop failure, and limited access to institutional funding. Farmers who commit suicide have far-reaching effects on society in addition to the agricultural community. Declining agricultural output, rural-to-urban population mobility, and the breakdown of social structures are all problems facing rural communities. Reduced agricultural output, a loss of revenue for farming households, and an increase in the demand on government resources for relief operations are of the economic effects. The social consequences include a rise in domestic violence, mental health issues, and alcoholism in rural areas. The summary highlights how farmer suicides have an impact on metropolitan people who rely on agricultural goods for their sustenance, in addition to remote rural communities. The Karnataka government has launched programs including loan waivers, crop insurance policies, and irrigation projects to prevent farmer suicides. To address the root reasons of farmer suicides, further work must be done. This work should focus on supporting sustainable farming practices, increasing institutional funding availability, and offering mental health services to farming communities.

A Case Study on the Innovative Development of Digital Supply Chain Finance Based on MYbank in China

Small and medium-sized enterprises (SMEs) play a critical role in promoting the development of China’s real economy and improving national productivity, but their financing still faces challenges. In recent years, supply chain finance (SCF) has become one of the most important solutions to SMEs’ financing difficulties. Promoting the digital and innovative development of SCF can better meet the financing needs of SMEs. This study is based on a case study of Zhejiang MYbank Co., Ltd. (MYbank) in Hangzhou, China, which is a representative institution of digital supply chain finance development in China and committed to realizing the digital innovation development of SCF. Based on MYbank’s financial index data from 2018 to 2022, the implementation effect of MYbank’s digital supply chain finance is quantitatively analyzed from the perspectives of SMEs and MYbank. The main findings are as follows.(1) In the practice of digital supply chain finance, MYbank implements the new concepts of SCF decentralization and full coverage of supply chain links while enhancing the sustainability of SCF. (2) For SMEs, MYbank’s digital supply chain finance development has led to an increase in the financing scale and financing availability of SMEs. (3) The analysis of MYbank’s comprehensive benefits shows that the digital innovation development of SCF effectively increased the overall economic value of the enterprise during the period of 2018–2022. Based on these findings, this study provides implications for commercial banks and other financial institutions to develop digital supply chain finance.

Social Economic Factors Driving Cassava Adoption in Teso South, Busia County, Kenya

Cassava's significance as a food crop is underscored by its ability to thrive in poor soils, withstand drought, and tolerate marginal conditions where other crops might fail. Despite its recognized importance and the introduction of improved cultivars, cassava output in Busia County remains poor, even though it is Africa's most frequently planted staple crop. This study analysed the factors influencing adoption of improved cassava cultivars among 167 smallholder farmers in Busia County, Kenya. The objective was to determine the social and economic factors influencing the adoption of improved cassava cultivars among smallholder farmers in Teso South, Busia County. Data was collected from the sampled farmers using a multistage sampling procedure in six wards. A Binary Logit model was used to investigate the effect of the selected social and economic, factors on the adoption of improved cassava cultivars. The results revealed that the average farm size in Teso South is 2 acres (48.2%), while that set aside for cassava cultivation by households is 0.25 acres (66.4%). Gender, age, marital status and education level did not influence the farm size nor the size set aside for cassava cultivation (p>0.5). Majority 127(76.0%) of the respondents indicated that they had not adopted improved cassava cultivars on their farms (χ2 = 27.04, d.f.=1, p<0.0001). From the study, it was denoted that economic factors such as financial resources, land size and market accessibility positively and significantly influenced the adoption of improved cassava cultivars among smallholder farmers in Teso South, Busia County (β=-0.148, t=-6.886, p<0.001). Social factors such as age, gender, education and household did not influence the adoption of improved cassava cultivars among smallholder farmers in Teso South, Busia County (β=0.011, t=-0.92, p=0.926). The fitting of the model was significant (F 0.05 (3, 163) =29.303, p< 0.001). Agricultural extension programs should focus on providing targeted training and support on innovative techniques and technologies, such as the adoption of improved cassava cultivars, to enhance farmers' capacities and resilience, regardless of their educational backgrounds

Exploring factors influencing the microfinance program sustainability

Ensuring the sustainability of development interventions such as microfinance programs is essential for making sure that the financial access is available for the poor in long term. However, many project-based microfinance have faced sustainability issues. Therefore, exploring the factors affecting the sustainability of the programs is essential. Using institutionalist view of microfinance sustainability and considering project implementation aspects, this study aims to explore the factors that influence the sustainability of project-based microfinance institutions (MFIs). Quantitative approach by using a statistical tool is used to analyse the survey of the 85 microfinance bankers from 65 Microfinance institutions (MFIs). The result showed that project-based microfinance sustainability is influenced by local project characteristics, community support and project management. It implies that project implementation and its sustainability is concomitant. Project implementation that considers local community and is supported by project management could hold an important role in the sustainability of the project. Furthermore, developing sustainability strategies in planning and implementation stages is crucial. Hence, international development project actors should take them into account.

Financial accessibility of dance classes

Financial accessibility of dance classes

Public funding for private for-profit centres and access to cataract surgery by patient socioeconomic status: an Ontario population-based study.

Public funding of cataract surgery provided in private, for-profit surgical centres increased to help mitigate surgical backlogs during the COVID-19 pandemic in Ontario, Canada. We sought to compare the socioeconomic status of patients who underwent cataract surgery in not-for-profit public hospitals with those who underwent this surgery in private for-profit surgical centres and to evaluate whether differences in access by socioeconomic status decreased after the infusion of public funding for private, for-profit centres. We conducted a population-based study of all cataract operations in Ontario, Canada, between January 2017 and March 2022. We analyzed differences in socioeconomic status among patients who accessed surgery at not-for-profit public hospitals versus those who accessed it at private for-profit surgical centres before and during the period of expanded public funding for private for-profit centres. Overall, 935 729 cataract surgeries occurred during the study period. Within private for-profit surgical centres, the rate of cataract surgeries rose 22.0% during the funding change period for patients in the highest socioeconomic status quintile, whereas, for patients in the lowest socioeconomic status quintile, the rate fell 8.5%. In contrast, within public hospitals, the rate of surgery decreased similarly among patients of all quintiles of socioeconomic status. During the funding change period, 92 809 fewer cataract operations were performed than expected. This trend was associated with socioeconomic status, particularly within private for-profit surgical centres, where patients with the highest socioeconomic status were the only group to have an increase in cataract operations. After increased public funding for private, for-profit surgical centres, patient socioeconomic status was associated with access to cataract surgery in these centres, but not in public hospitals. Addressing the factors underlying this incongruity is vital to ensure access to surgery and maintain public confidence in the cataract surgery system.

Does improved credit access promote pollution reduction? The role of bank proximity

The impact of the spatial proximity between banks and enterprises on industrial pollution reduction remains underexplored, particularly in areas with limited credit access. Previous studies have focused on the influence of environmental regulations and green credit initiatives; however, the significance of the financial sector's spatial distribution remains uninvestigated. Our research develops a model illustrating that improved credit access facilitates greater investment in emission reduction, leading to more effective pollution control as financing becomes more accessible. Using data from China's bank branch expansion, we empirically show that closer proximity between banks and enterprises significantly enhances pollution mitigation efforts. Our findings reveal that a more accessible banking network eases credit constraints and promotes eco-friendly practices without impeding economic growth, particularly by aiding less efficient and more polluting enterprises. This study sheds light on the crucial role of financial accessibility in advancing environmental performance and provides valuable insights for policymakers and financial strategists.

Financial resource curse and firms' accessibility to financing in resource-based countries

This study delves into the paradox of the financial resource curse, exploring how the abundance of natural resources in a country paradoxically constrains firms' accessibility to financing. Despite the potential economic boon natural resources represent, evidence suggests that they can lead to less diversified economies, making it challenging for firms outside the resource sector to access financing. Our research aims to dissect this phenomenon by analyzing microeconomic statistics on the financial accessibility of enterprises, juxtaposed with macroeconomic statistics across 170 countries, encompassing over 10,000 firms surveyed from 1990 to 2022. The panel regression analysis allows us to control for both time-invariant country characteristics and global economic trends, providing insights into the causal relationship between resource dependence and financial access for firms. The results are striking, revealing that, indeed, countries with significant natural resource wealth tend to exhibit reduced financial accessibility for firms outside the resource extraction sector. The panel regression models indicate a robust negative correlation between the extent of a country's resource wealth and the ease with which non-resource firms can access financial capital. This suggests that the financial resource curse is not only a real phenomenon but also one that has significant implications for economic diversification and sustainable development. Moreover, findings underscore the need for targeted policy interventions. Countries with abundant natural resources should implement strategies that foster economic diversification, enhance the financial infrastructure to support a broader range of industries, and encourage the development of financial instruments tailored to the needs of non-resource sectors.

The impact of health insurance on hypertension care: a household fixed effects study in India

IntroductionHypertension is highly prevalent in India, but the proportion of patients achieving blood pressure control remains low. Efforts have been made to expand health insurance coverage nationwide with the aim of improving overall healthcare access. It is critical to understand the role of health insurance coverage in improving hypertension care.MethodsWe used secondary data from the nationally representative sample of adults aged 15–49 years from the 2015–2016 National Family Health Survey (NFHS) in India. We defined the hypertension care cascade as four successive steps of (1) screened, (2) diagnosed, (3) treated, and (4) controlled, and operationalized these variables using blood pressure measurements and self-reports. We employed household fixed effect models that conceptually matched people with and without insurance within the household, to estimate the impact of insurance coverage on the likelihood of reaching each care cascade step, while controlling for a wide range of additional individual-level variables.ResultsIn all 130,151 included individuals with hypertension, 20.4% reported having health insurance. For the insured hypertensive population, 79.8% (95% Confidence Interval: 79.3%-80.3%) were screened, 49.6% (49.0%-50.2%) diagnosed, 14.3% (13.9%-14.7%) treated, and 7.9% (7.6%-8.2%) controlled, marginally higher than the percentages for the uninsured 79.8% (79.5%-80.0%), 48.2% (47.9%-48.6%), 13.3% (13.1%-13.5%), and 7.5% (7.4%-7.7%) for each cascade step, respectively. From the household fixed effects model, health insurance did not show significant impact on the hypertension care cascade, with the estimated relative risks of health insurance 0.97 (0.93–1.02), 0.97 (0.91–1.03), 0.95 (0.77–1.30), and 0.97 (0.65–1.10) for each cascade step, respectively. We further performed stratified analyses by sociodemographic and behavioral risk factors and a sensitivity analysis with district fixed effects, all of which yielded results that confirmed the robustness of our main findings.ConclusionsHealth insurance did not show significant impact on improving hypertension care cascade among young and middle-aged adults with hypertension in India. Innovative strategies for overcoming practical barriers to healthcare services in addition to improving financial access are needed to address the large unmet need for hypertension care.

The new era of turbulence: Peacemaking trends in post-carbon times

Based on an empirical comparison of peace processes in carbon-dependent economies over time, this article investigates the impact of decarbonization and the related declining availability of political finance on peacemaking. While the period of high oil prices in the mid-2000s saw a small number of peace deals that attempted comprehensive settlements, the decline of oil prices in the years from 2014 resulted in a new era of turbulence. The turbulence is characterized by a high number of peacemaking attempts that strongly lean toward conflict management rather than resolution. The reasons for this new turbulence are twofold: the available means for substantial “buy-in,” into a political marketplace by ruling elites in carbon-dependent conflictive political marketplaces have vanished while, at the same time, the strategic interest of international powers in geopolitical stability and their willingness and capability to invest in such stability has declined.

Prolonged use of old dentures: A qualitative study with Brazilian older adults.

To explore older adults' perceptions, motivations and reasons for using and not replacing old and worn complete dentures over prolonged periods. In-depth, semi-structured interviews were conducted with Brazilian edentulous older adults who were wearing complete dentures which were at least 20 years old. A purposive sampling method was used to recruit participants from an existing waiting list of those referred to a hospital clinic for new dentures. The interviews were video-recorded, transcribed verbatim and analysed using thematic analysis. Sixty-two individuals were assessed and nine were included in the study, aged from 61 to 77 years (mean = 65.4), with seven (77.8%) of them women. The reported time using their current dentures ranged from 22 to 45 years (mean = 28). Content analysis revealed three main themes: the perception of the current dentures' condition after prolonged use; reasons for the prolonged use and non-replacement; and unsuccessful attempts to replace the dentures. Overall, participants acknowledged the poor condition of their dentures and did recognise the need for replacement. Several factors had prompted them to delay or temporarily forego replacement, with financial constraints being the main barrier. Some reported failed attempts to replace the dentures in the past years or months; however, challenging adaptation to the new prostheses led to them reverting back to their old dentures as a fallback solution. Factors influencing prolonged denture use in older adults include a complex interplay of financial aspects, treatment awareness, access and personal factors. Dental professionals can play a pivotal role in promoting timely denture adjustment or replacement by addressing these factors through patient education and personalised care.

Impact of Financial Development on Economic Growth of Nepal

This study examines the impact of financial development on economic growth of Nepal. The dependent variables are real gross domestic product and per capita income. The independent variables are money supply, stock market capitalization, private sector credit, financial access and net foreign direct investment inflows. The study is based on time series data for the period by Ministry of Finance and Central Bureau of Statistics of Nepal. The correlation coefficients and regression models are estimated to test the significance and importance of financial development on economic growth in Nepal. The study showed that stock market capitalization has a positive impact on real gross domestic product and per capita income. It indicates that higher the stock market capitalization, higher would be the real gross domestic product and per capita income. Similarly, there is a positive impact of private sector credit to GDP on real gross domestic product and per capita income. It indicates that increase in private sector credit leads to increase in real gross domestic product and per capita income. In addition, broad money supply has a positive impact on real gross domestic product and per capita income indicating that higher the broad money supply, higher would be the real gross domestic product and per capita income. Similarly, financial access has a positive impact on real gross domestic product and per capita income. It indicates that increase in financial access leads to increase in real gross domestic product and per capita income. Likewise, net foreign direct investment inflow has a positive impact on real gross domestic product and per capita income. It indicates that increase in net foreign direct investment inflow leads to increase in real gross domestic product and per capita income of Nepal.

A multidimensional financial attractiveness index: Scoring and classification of financial systems

This research paper aims to benchmark the characteristics of financial systems for 102 countries worldwide from the period of 2005 to 2017. The financial systems’ database encompasses four main dimensions, each consisting of several variables for every indicator: (a) financial depth, (b) financial efficiency, (c) financial access, and (d) financial stability. The objective is to closely analyse the different factors that contribute to the attractiveness of financial and economic systems globally. Furthermore, this paper employs a literature review and an empirical modelling and classification of financial systems worldwide to assess their attractiveness. The modelling process utilizes two statistical analysis methods: discriminant analysis (PCA) and neural analysis. By doing so, this research paper aims to identify the most appropriate measures to strengthen these systems and economies. The main conclusion of the research is to establish a ranking of the world’s best countries and also the validation of the hypothesis that macroeconomic conditions are the effective determinants of the classification dimensions of financial systems.

Analysis of policy measures and feedback effects on industry transformation towards carbon neutrality

AbstractMotivated by the urgent need to curb carbon emissions substantially over the next years and decades, we develop a qualitative system dynamics model to investigate the role of feedback effects on the transformation of the industry sector towards carbon neutrality. Through systems thinking, this research analyses the complex interactions between policy measures, investment decisions in different environmental measures to reduce CO2 emissions (e.g., use of electric and thermal energies from renewables and increase of energy efficiency), CO2 compliance, the pressure to take further climate action, the industry's economic success and the availability of investment funds. The study contributes to qualitatively identify and explore levers that policymakers can use to encourage industry to invest further in climate protection measures. Moreover, it provides an important basis for the development of quantitative modelling approaches.

The Synergy Between Fintech and Islamic Banking: Expanding Access to Financial Inclusion

This study aims to examine how the synergy between Fintech and Islamic banking can expand inclusive financial access in Indonesia. Through a literature review, this research identifies the role of Fintech in digital finance based on Islamic principles and the integration of the economic ecosystem. The findings indicate that the synergy between these two sectors holds significant potential for enhancing financial inclusion. However, the study also identifies several challenges, including regulations that have not fully accommodated innovation and the need for improved digital financial literacy. The study concludes that the synergy between Fintech and Islamic banking is a strategic step towards achieving inclusive financial goals in Indonesia, but it requires support from various stakeholders to overcome the existing challenges.