Indonesian Economy Research Articles

Analysis of Microfinancing in the Development of MSME Customers

Sharia banks primarily operate in accordance with Islamic law, which is based on concepts of fairness, balance, benefit, and the avoidance of prohibited aspects such as gharor, maisir, and usury. Bank Syariah Indonesia (BSI) is an exemplary sharia-compliant financial organization that offers financing and other services. It operates using sharia-compliant contracts that have been certified by the National Sharia Council. Microfinance has played a vital role in the financial sector since the early 1980s, with the goal of offering financial services to individuals and small and medium-sized enterprises who are economically disadvantaged. The primary focus is on achieving sustainable development by effectively managing and harmonizing the financial, social, environmental, and governance dimensions. The study employs a qualitative methodology to examine the impact of microfinancing on the development of micro, small, and medium enterprises (MSMEs), as well as the various forms of MSME development. The study examines the provision of funding by banks to businesses and self-employed individuals, with a focus on factors such as trust, agreements, duration, and associated risks. Financing has multiple purposes, such as encouraging commerce and economic activities, mitigating unemployment, allowing the movement of products and money, and fostering economic progress. MSMEs have a substantial impact on the Indonesian economy by making considerable contributions to the country's gross domestic product and employment rates.

LITERASI KEUANGAN SEBAGAI VARIABEL MODERASI DALAM PENGARUH PERSEPSI KEUANGAN TERHADAP PERENCANAAN KEUANGAN

Micro, Small and Medium Enterprises (MSMEs) are the pillars of the Indonesian economy that have experienced rapid growth but still face several obstacles that need to be addressed immediately. Therefore, improving financial literacy for MSMEs in Surakarta is crucial to improving their business performance and sustainability. One way to improve business performance is by increasing financial literacy. Individuals with higher financial literacy tend to have more knowledge about financial management, including business financial planning. This research aims to determine the extent to which the level of financial literacy of MSME actors can strengthen attitudes and risk perceptions in business financial management for making appropriate financial planning decisions. The research approach used is quantitative using Structural Equation Modeling (SEM), while the data analysis method used is Partial Least Square (PLS), with research subjects taken from MSME actors under the guidance of the Solo Technopark Science and Technology Regional Technical Service Unit.

THE INFLUENCE OF PROFITABILITY RATIOS, DER, PBV, AND COVID19 ON STOCK RETURNS

Investment is one of the activities that influences the growth of the Indonesian economy. Investment not only helps in economic development in Indonesia but also helps companies optimize their growth and provide a good response to investors. Investors have the main goal, namely achieving high returns or stock returns. However, high returns can also carry high risks, because shares have no certainty that they will rise or fall quickly and suddenly. Sudden changes in stock prices play an important role in determining stock prices and returns which can rise or fall very sharply so that they can create uncertainty for investors in making decisions to invest in a stock. The aim of this research is to determine the effect of PBV, ROE, NPM, EPS, DER, COVID on stock returns. To find out what factors cause what, this research uses a comparative causal research strategy. Companies in the Financial sector (consisting of 106 shares) which are included in the Composite Stock Price Index (also called IHSG) are the focus of this research. Data is taken from the application (Stockbit), in obtaining financial data. that researchers will use (idx.co.id). PBV has a positive effect on stock returns. Meanwhile, ROE, NPM, EPS, DER, COVID have no effect on stock returns

Monetary Policy Dynamics and Economic Growth: An Empirical Analysis of Indonesia's Economy using Time-Series Data and Error Correction Model (ECM)

This study investigates the relationship between monetary policy variables and GDP growth in Indonesia using time-series data from 1986 to 2021. Employing the Error Correction Model (ECM) framework, the research explores the presence of a long-run relationship among the variables and identifies significant monetary policy instruments that drive economic growth. The findings reveal a robust long-run relationship between monetary policy variables and GDP growth, indicating the sustained impact of monetary policy on Indonesia's economic performance. Specifically, the core finding highlights the significance of the inflation rate, exchange rate, and total reserves as influential monetary policy instruments driving growth in Indonesia. This finding helps policymakers better understanding about the relationship between monetary policy and economic development in the context of Indonesia by offering insightful information. By utilizing an extensive time-series dataset and employing the ECM methodology, this study contributes to the existing literature on the role of monetary policy in shaping economic growth, particularly in Indonesia.

MSME Internationalization Strategy Towards Global Business Competition Case Study on CV. Dua Putri Sholehah “HUNAY” Probolinggo

In the Indonesian economy, Micro, Small and Medium Enterprises are the business group that has the largest number and has proven to be resistant to various shocks from the economic crisis. MSMEs are encouraged to be able to expand to the global market, not just on a national scale. Strategy is very important to determine the company's success in achieving its long-term goals. By choosing the right strategy for a particular company position, a company will have a competitive advantage. The aim of this research is to find out what is the most appropriate strategy for CV. Dua Putri Sholehah "Hunay" Probolinggo as MSMEs in facing global business competition. This research method uses SWOT analysis and IFAS, EFAS, by previously collecting data through interviews, questionnaires, observations and also literature studies. The results of this research indicate that the strategy that must be carried out by CV. Dua Ptri Sholehah "Hunay" is in quadrant I, namely the quadrant that supports an aggressive growth strategy which shows that this company has the strength to take advantage of existing opportunities, especially in export development. Currently the organization is in a strong condition so it is possible to continue to expand by opening branches to the countries it will target, increasing growth and achieving maximum progress.

ECONOMIC DEVELOPMENTS OF THE NEW ORDER PERIOD AND ITS INFLUENCE ON INDUSTRIALIZATION IN INDONESIA

The development of the New Order era, or what is usually called the New Order Era, is the term for the reign of General Soeharto, which replaced the Old Order, which refers to the era of Soekarno's reign. The New Order lasted from 1966 to 1998 and was marked by rapid economic development but also by practices of corruption, nepotism, and suppression of human rights. The New Order emerged as a result of the political and economic instability experienced by Indonesia during the Old Order. After the military coup that overthrew Sukarno's government, During the New Order era, there were several significant changes in the Indonesian economy. Political Stability. One aspect that was considered positive during the New Order period was the political stability that was created after a period of political and economic crisis at the end of Sukarno's reign, marked by transformation. significant economy, with a primary focus on industrial development as a pillar of economic growth. The policy of opening up to foreign investment became a characteristic of this era, influencing the structure of industrial ownership and having an impact on the industrialization process. This article discusses economic changes during the New Order era and their impact on the industrial sector in Indonesia. The New Order government pursued industrial infrastructure development, encouraged modernization, and prioritized export-oriented industrial sectors. Despite positive achievements, criticism of the unequal distribution of wealth and environmental impacts is highlighted. Dependence on foreign investment and foreign technology also creates its own challenges. In this context, this research outlines the economic dynamics and role of industrialization during the New Order period, highlighting its positive and negative consequences for industrial development in Indonesia.

Comparison Of Capital Structure, Profitability, And Third-Party Funds (DPK) Between Bank Bri And Bank Syariah Indonesia: A Comparative Analysis

The banking sector plays a crucial role in the Indonesian economy, becoming the backbone that supports the country's economic growth and stability. In this dynamic landscape, two financial institutions stand out, namely Bank Rakyat Indonesia (BRI) as a representative of conventional banks, and Bank Syariah Indonesia (BSI) which is committed to Islamic financial principles. The purpose of this study is to determine the comparison of capital structure, profitability, and third party funds (DPK) between BRI banks and Indonesian Islamic banks. This research method uses the Mixed Methods Comparative method, this approach involves the collection and analysis of quantitative and qualitative data separately and at the same stage. The results of this study show that  the comparative analysis between Bank BRI and Bank Syariah Indonesia (BSI) highlights the different dynamics in the capital structure, profitability, and deposits of both. BRI, with its conventional approach, demonstrates flexibility and excellence in diversifying financial resources. On the other hand, BSI, as an Islamic bank, provides evidence that Islamic principles can provide profitability and a sustainable financial foundation. These results provide a better understanding of each bank's role in meeting the needs of society, both in terms of financial services and business ethics principles. Stakeholders, including regulators, investors, and the general public, can use the results of this analysis to make informed decisions and support the sustainable growth of the banking sector in Indonesia.TRANSLATE with x EnglishArabicHebrewPolishBulgarianHindiPortugueseCatalanHmong DawRomanianChinese SimplifiedHungarianRussianChinese TraditionalIndonesianSlovakCzechItalianSlovenianDanishJapaneseSpanishDutchKlingonSwedishEnglishKoreanThaiEstonianLatvianTurkishFinnishLithuanianUkrainianFrenchMalayUrduGermanMalteseVietnameseGreekNorwegianWelshHaitian CreolePersian //  TRANSLATE with COPY THE URL BELOW Back EMBED THE SNIPPET BELOW IN YOUR SITE Enable collaborative features and customize widget: Bing Webmaster PortalBack//

The Influence of ZIS, Islamic Human Development Index, and Investment on Indonesia's Economic Growth: An ECM Model Analysis

Economic growth refers to the generation of additional income for a society within a specific time frame through economic activities. This is often measured by GDP. However, despite an increase in GDP, Indonesia's economic growth as a developing country is still considered unoptimal. Therefore, the purpose of this research is to analyze the impact of ZIS, I-HDI, FDI, and Domestic Investment on Indonesia's economic growth from 2013 to 2022, spanning ten years. This study adopts a quantitative approach and uses an ECM model. The findings indicate that ZIS, I-HDI, and Domestic Investment have a significant positive long-term effect on economic growth, but their impact is not significant in the short term. Conversely, FDI has an insignificant negative effect on both long-term and short-term economic growth. When analyzing all the factors simultaneously, the results demonstrate that ZIS, I-HDI, FDI, and Domestic Investment collectively have a significant effect on economic growth in both the long and short term. Building on these findings, policymakers should delve deeper into the specific mechanisms through which ZIS, the Islamic Human Development Index, FDI, and Domestic Investment influence economic growth in both the short and long term. By understanding the intricate connections between these factors and economic growth, policymakers can develop more targeted and effective strategies to promote sustainable and balanced economic development.

Women's School "Ratho Ebhu" to Empower Women in Stunting Prevention-Based Family Centered Nursing in Pamorah Village, Tragah Prefecture

Stunting is a national problem, the solution of which requires cross-sectoral cooperation. Stunting is a chronic condition that cannot be cured but can be controlled. The growth and development period for toddlers is a period that happens quickly and will never be repeated. Stunting cases in children can be used as a predictor of the low quality of a country's human resources. Stunting causes poor cognitive abilities, low productivity, and an increased risk of disease, resulting in long-term losses for the Indonesian economy. Pamorah Village is the 2022 stunting locus village; there are 26 stunted children. The results of interviews with partners leading the Pamorah Village PKK driving team found that health problems related to high cases of stunting in children are still a problem caused by several factors, including the low number of Posyandu visits, low immunization coverage, distant access to health services, high cases of early marriage, low awareness of clean and healthy living behavior, low levels of exclusive breastfeeding, child care is handed over to grandmothers because parents work outside the island so that nutritional parenting patterns follow grandmother's family culture, some pregnant women do not have check-ups with health workers and health facilities, short pregnancy intervals due to low number of mothers of productive age who use contraception. The aim of community service is to increase community knowledge and change community behavior in health through women's schools in an effort to prevent stunting. The expected output is a pocket book on women's school health education and training, as well as publications in the mass media, women's school learning plans, and the publication of community service journals.

Efektifitas Sistem Informasi Akuntansi dengan Penerapan Omnichannel dalam Penjualan Marketplace

Along with the development of Indonesia's economy in the trading sector, information systems are highly needed for a company to achieve its goals. This research aims to determine the application and effectiveness of using accounting information systems using omnichannel systems through the Jubelio Application. The method used in this research is descriptive qualitative method with a case study of the Online Store Vape Supplies in Sunter, Tanjung Priuk. The research uses primary data with data collection techniques through observation, interviews, and documentation. The data analysis techniques used are data collection, data reduction, data presentation, and conclusion drawing. The results show that the implementation of the Jubelio application can support inventory management of the store so that the availability of stock is always updated, resulting in customer satisfaction in online transactions. Control over inventory recording runs effectively. The Jubelio application also allows integration with various shipping services on the marketplace, so customers can predict the delivery time according to their needs. In terms of information coverage, the connectivity of the Jubelio application to various marketplaces provides convenience for online store owners to expand their market share throughout Indonesia.

Pengembangan Paltform Layanan Konsultasi Kecantikan Online Untuk Meningkatkan Industri Ekonomi Digital Kreatif di Indonesia

The platform business model is a simple yet powerful concept that radically alters business, the financial system, and society in general. The platform revolution threatens almost all industries that rely heavily on information. This concept evolved into a view of the interdependence of innovation and technological advancement, which influences both macro and microeconomics. whomever decides how far digital technology can travel. The MBKM initiative exists to strengthen the creative digital economy in Indonesia, and one of the outcomes of this study was the creation of an online beauty consultation service platform.

Digital Economics in Indonesia: Development and Research Trend

The development of the digital economy in Indonesia is driven by various factors, including the increasing use of technology in various sectors of the economy, the growth of e-commerce and digital payments, and government policies aimed at encouraging the digital economy. This study aims to determine the extent of the development of research on the theme of Digital economy in Indonesia. The results of the study show that the number of research publications related to this topic is 490 journal articles indexed by Dimensions. In the development of research related to Digital economy in Indonesia based on bibliometric keyword mapping, it is divided into 4 clusters with the most used words are technology, industry, economy, government, role, country, community, system, innovation, covid, and service. Based on the keywords that are often used, it can then be grouped into 4 research map clusters with topics that discuss: (1) Application of the Digital Economy in Rural Areas; (2) Competitiveness of MSMEs and Digital Transformation; (3) Economic growth and Digital Economy Development; and (4) Digital Economy and Pandemic Covid-19.

Sixty Years of UGM Forestry Faculty’s Work in Preserving Indonesia’s Forests and Environment

Given a mandate to preserve the Indonesia tropical forest through its education, research, and community service activities, the Faculty of Forestry Universitas Gadjah Mada (FoF UGM) has reached broad stakeholders to support sustainable forest management and climate mitigation (SDG 13 and 17). FoF UGM supports basic and applied research contributing to forestry industrialization (SDG 9), such as improved planting materials for Tectona grandis and Eucalyptus sp. In collaboration with the community (SDG 1 and 2), FoF UGM also diversifies kajuput essential oil produced in Wanagama and UGM teaching forests. Technology innovations such as glue and cross-laminated timber, biodiesel, information systems, and drone technologies for land rehabilitation and carbon accounting represent the institution's commitment to improving Indonesia's forest, forestry, community, and national economy (SDG 13 and 15).

SUPPLY CHAIN MANAGEMENT PRACTICES, AND INNOVATION ON MSME BUSINESS PERFORMANCE (Study on Craft MSMEs in the District Purworejo)

Current era MSMEs are one of them business to be opportunity in increase rotation wheel economy in Indonesia. Various problem often influence performance MSME business among other advantages competitive, practical supply chain management and innovation. MSME actors not yet realize will importance superiority competitive For win the market. Things that haven't maximized that is practice supply chain management that has not applied in performance MSME business, apart from that's also a drawback do innovation that causes low performance MSME business. Objective from study This is For test influence superiority competitive to performance MSME business, test influence practice supply chain management towards performance MSME business, test influence innovation to performance MSME business. Population in study This is MSME owners in the Regency Purworejo . Taking sample use technique purposive sampling as many as 100 craft MSME owners in the Regency Purworejo. Instrument data collection uses questionnaire with use scale likert which was answered complet, appropriate criteria and meet condition validity and reliability . Analysis This use multiple linear regression with use SPSS 20.0 for Windows tools. Research result show that Superiority Competitive influential to Performance MSME Business, Practice Supply Chain Management has an influence To Performance MSME Business, and Innovation influential to Performance MSME Business.

Analisis Tingkat Pendapatan UMKM (Usaha Mikro,Kecil,Menengah) Terhadap Dampak COVID-19 di Kota Medan

Since the end of 2019 the Covid-19 pandemic has attacked all corners of the world. The Covid-19 pandemic has had a tremendous impact on the economic sector throughout the world because many restrictions on community activities have caused the world economy to become volatile again, including the Indonesian economy, especially the city of Medan. The presence of the Covid-19 pandemic certainly presents a new challenge for Indonesia with an unprecedented spectrum and magnitude. Indonesia is also in the midst of a health and economic storm as experienced by more than 200 other countries. This extraordinary situation requires governments in various countries to devote energy and thought to producing balanced policies on the health, social and economic side. Starting from the price of petroleum which is in free fall, as well as the prices of other commodities such as gas and palm oil which will continue to be pulled down. This research aims to determine the impact of the Covid 19 pandemic on MSMEs (micro, small and medium enterprises) in the city of Medan. The research method used was a qualitative descriptive method. Where in the data collection process carried out were interviews with several MSME actors who sell in the Medan City area, such as traders who meet consumer needs, namely Primary, Secondary and Tresier. The government's decision to carry out a Social Distancing program has further worsened the situation for MSMEs, showing that the impact of Covid-19 is very influential, where in general more than 50% of MSMEs have experienced a decrease in income, reduction in employees, difficulties in borrowing bank installments. This is because people's purchasing power has decreased, resulting in the market being empty of buyers, as well as the lack of people's activities outside the home because they choose to stay at home. Several business actors are able to survive by trading through the use of technological applications that are easy and widely available for MSMEs so that they are able to expand their market network online. Even though this method cannot completely restore the income of MSMEs, especially in the city of Medan, there are still many obstacles that occur.

Influence of Dynamic Capability, Market Research, and Social Capital on Marketing Sustainability and Competitiveness of Tourism Creative Economy in Indonesia

This study explores how market research, social capital, and dynamic capabilities interact to shape the competitiveness and sustainability of firms in Indonesia's tourism creative economy. Survey data from 215 businesses were analyzed quantitatively using Structural Equation Modeling with Partial Least Squares (SEM-PLS). The findings show a strong correlation between dynamic capability and competitiveness and sustainability in marketing. Likewise, social capital and market research showed favorable correlations with competitiveness and sustainability in marketing. While the structural model attained good fit indices, the measurement model proved to be valid and reliable. These results advance our knowledge of the variables affecting competitiveness and sustainable marketing strategies in the fast-paced environment of the tourism creative economy.

Impact Of Industrial Area Development on National and Regional Economies In Indonesia: Case Study And Policy Implications Post-Pandemic

This study examines the complex consequences of industrial area development on both the national and regional economies of Indonesia, with a specific focus on the interaction between these two domains. This research employs a comprehensive case study methodology to examine the policies crucial for ensuring sustainable economic growth in the aftermath of the pandemic. Industrial expansion's direct and indirect effects on job creation, economic diversification, technological advancement, and resource distribution are all examined in this analysis. Considering the varying degrees of development and infrastructure across Indonesia's regions, the study also identifies the distinct impacts of economic disparities across these areas. The results emphasize the need for tailored policy interventions that consider regional discrepancies and foster fair economic growth post-pandemic. Contributing to the economic recovery of the nation, the study finds sectors of the Indonesian economy with potential for expansion in the post-pandemic period. Employing the shift-share analysis and qualitative descriptive method, help determine if any changes have occurred in the configuration of the economic system during the post-pandemic period. The findings indicate that each of the five provinces, namely Bali, Riau Islands, Banten, East Borneo, and Yogyakarta, possesses distinct competitive advantages that are unique to their respective regions. However, none of the industries in these five areas possesses a significant degree of expertise in any particular industry. The research also emphasizes the lack of dedicated business activities focused on a specific industry.

PERAN LEMBAGA KEUANGAN SYARIAH DAN DAYA TARIK MASYARAKAT TERKHUSUS PADA SEKTOR UMKM

The Islamic Financial Sector (IFS) is a rapidly growing sector in the Islamic economy. IFS operates on Islamic law, so it must always adhere to Islam. IFS plays a crucial role in implementing Islamic principles aimed at helping society achieve prosperity, honesty, and fairness through a profit-sharing system. One of the key players in the Islamic financial sector is Islamic banking, which has a low credit risk, resulting in a sufficient margin for MSMEs. MSMEs, also known as Usaha Mikro Kecil dan Menengah (UMKM), are a type of productive business owned by individuals or corporations and regulated by Law No. 28 of 2008. UMKM has a significant role in Indonesia's economy. This potential is what motivates Islamic banks to facilitate the provision of loans to MSMEs. As time passes, Islamic banks have become capable of supporting MSMEs, which in turn attract MSMEs to conduct transactions at Islamic banks.

Fragile State Index Assessment of Economic, Defence and Administrative Conflicts Endangering States in Indonesia: An Econometric Study

Indonesia's vast territory is a challenge to maintaining its territorial sovereignty. Conflict is difficult to predict so it is necessary to anticipate risks. According to the results of research conducted by the Fragile States Index in 2019, Indonesia is ranked in the third country in the worrying category. A need for a strategy in the event of risk of conflict or probability of war occurring so that the Indonesian economy can be properly recovered considering a conflict is an uncertainty that is difficult to predict in the future. The purpose of this study is to determine in terms of the risk of conflict in ASEAN (Indonesia, Malaysia, Brunei Darussalam, Singapore, Papua New Guinea, Philippines, Timor Leste, Myanmar, Cambodia, Laos, Thailand, Vietnam), ANZUS (Australia and New Zealand), United States of America and China which has an impact on Indonesia's economic stability. A need to make a conflict risk assessment in mitigating the occurrence of conflict in Indonesia. The analysis tool used is quantitative descriptive using Cross Tab analysis and Heat Map Risk. This study used secondary data for comparison of military and economic strength. The interesting findings in this study of Indonesia's population turned out to have a high influence on the country's vulnerability considering that Indonesia has ethnic, cultural, and religious diversity. Therefore, Indonesia needs to mitigate risks in the event of conflict so that in realizing the projection of Indonesia becoming the 5th largest Gross Domestic Product (GDP) country in the world in 2045 can be realized properly. The conclusion of this study Population, GDP, Official Exchange Rate, and Real Interest Rate against the Fragile States Index in Indonesia are included in High condition which means that serious conditions must be given immediate attention to minimize conflict.

The Role of Sustainability Orientation and Sustainable Environmental Performance in Improving Sustainable Economic Performance of the Batik Industry

The batik industry is starting to develop rapidly, and its contribution is improving the Indonesian economy. On the other hand, the batik industry produces waste that pollutes the environment. Batik SMEs do not realize the importance of sustainability orientation, and that some consumers prefer environmentally friendly batik products. The purpose of this study was to examine the relationship between sustainability orientation and sustainable economic performance, both directly and through sustainable environmental performance. The study was conducted in Surabaya, as well as the Regencies of Tuban, Lamongan, Sidoarjo, and Jombang. With the purposive sampling technique, 32 Batik SMEs were selected with 89 respondents. SEM-PLS was the method of data analysis used in this investigation. According to data analysis findings, sustainable economic performance benefits from sustainable environmental performance. Sustainable environmental performance is positively impacted by sustainability orientation. Sustainable economic performance is not directly impacted by sustainability orientation. Sustainability orientation indirectly influences sustainability economic performance through sustainable environmental performance. Increasing sustainability orientation can increase sustainable environmental and economic performance for realising the green batik industry.
 Keywords: sustainable development, sustainability orientation, sustainable economic performance, green batik industry