Funds Transfer Research Articles

Information-led Policing: Non-Profit Organization's Terrorist Financing.

In order to prevent and fight terrorism, a new research area has developed called terrorist financing. An important aspect is the financing of terrorism by Non-Profit Organization (NPO), through transfer funds, terrorist alliances, abuse of NPOs, terrorist recruitment, and false NPOs and agents. Therefore, the NPO counter-terrorist financing strategy was established, considering four major aspects: warning information indicators, internal management mechanisms, international cooperation and information sharing, and counter-terrorist Financing legislation. This paper provides a new way to supervise the terrorist financing of NPOs. First, actual cases should be collected, and viable warning indicators for regulatory agencies and NPOs should be established. Second, internal management mechanisms should be strengthened to actively prevent terrorist activities within NPOs. Third, given the global activity of NPOs and terrorist organizations, information-led international cooperation must be emphasized. Fourth, from the angle of independent counter-terrorist Financing legislation, the gap should be filled in NPO counter-terrorist Financing legislation.

The Advance of Digital Signature with Quantum Computing

A digital transaction's sender or receiver's identity is verified using digital signature technology, a type of encryption. It allows users to prove their identity and the integrity of their message without relying on a third-party verification. Digital signatures are becoming increasingly important in the blockchain technology world. They enable users to verify the authenticity of digital assets, such as cryptocurrencies, and ensure that transactions remain secure. They also enable users to securely store their digital assets and prevent the unauthorized transfer of funds. Smart contracts, which are self-executing agreements that take effect when specific criteria are satisfied, also employ digital signatures. In addition, digital signatures are used to create digital signatures for digital documents, such as contracts, which allows users to securely sign documents without the need for a third-party verifier. This article presents the three primary digital signature algorithms presently utilized in blockchain technology: RSA, DSA, and ECDSA. It also discusses how quantum computers, which are currently being researched by some of the world's leading research companies, will affect traditional digital signature technology and what plans companies and countries have for this technology.

Transfer Payments and Economic Sector Performance: Input-Output Analysis in Bandung Regency

This study analyzes the effect of transfer funds on Bandung Regency's economic sectors in 2022, using input-output table analysis to formulate suitable allocation policies for economic development goals. The research was conducted using the Location Quotient (LQ) method. This research produced an inverse Leontif matrix. Leontif's inverse matrix can be used to analyze the interrelationships between economic sectors in Bandung Regency. Revised: The government transfer expenditure in Kabupaten Bandung in 2022 had a direct impact of IDR 459,979,360,622.89 on the Government Administration, Defense, and Mandatory Social Security sector. The indirect impact or multiplier effect on the other 16 economic sectors was IDR 241,790,256,760.42. Analysis through the Leontief inverse matrix shows that the increase of final demand in all sectors by IDR 1 billion would result in an output increase of IDR 1.53 billion in the Government Administration, Defense, and Mandatory Social Security sector. Conversely, if the final demand in that sector increases by IDR 1 billion, the output of all sectors will increase by IDR 1.02 billion. Therefore, the government transfer expenditure in Kabupaten Bandung positively impacted the growth of all economic sectors.

Regional Investment, Capital Expenditure, General Transfer Funds, Economic Growth Rate, And Regional Original Income All Have An Impact On The Degree Of Regional Fiscal Independence

The purpose of this study is to identify whether there is an influence on economic growth, LGR, DTU, regional investment and capital expenditures on the degree of regional financial independence in the Regency/City of Central Java Province in the 2017-2021 period. This research study is descriptive quantitative. The data collection technique is document review and literature review with saturated sampling technique. The data for this research study is secondary data which includes the constant price GRDP Report and the Financial Statistics of the Regency/City Government of Central Java province for 5 years (2017-2021) sourced from Central Java BPS. The analysis tool is SPSS 22.0. The results of this study reveal that economic growth and regional investment do not affect regional fiscal independence. Meanwhile, LGR and capital expenditure have positive and significant coefficients for regional fiscal independence. And DTU has a negative and significant coefficient for regional fiscal independence.

Vertical Fiscal Imbalance and Public Service Expenditure: Effects on Economic Growth Before and During Covid-19 Pandemic

Since 2020, Indonesia has been facing the Covid-19 pandemic for 2 years. Many impacts caused by the Covid-19 pandemic, especially on the economy, have led to a recession. Regional revenues are disrupted during a recession so local governments depend on central government transfer funds. From these issues, researchers suspect that there was a change in the decentralization conditions in East Java province during the Covid-19 pandemic as it was the province with the second largest GDP and has also experienced the greatest impact in Indonesia. This research method uses multiple linear regression with cross-sectional data from 38 district/city data units in East Java province. The results of this study are that the Decentralization Fund, Civil Service Capital Expenditure and the Human Development Index did not change before and during the Covid-19 pandemic. While the vertical fiscal imbalance has a positive influence on economic growth before the Covid-19 pandemic, the vertical fiscal imbalance has no influence on economic growth. This shows that there is another shift in priority in the use of central government finances, as state money is refocused and reallocated to deal with Covid-19. This makes development programs in other health sectors postponed.

Government Fund Allocation and Tracking System over Blockchain

The state government working involves a large number of trans- actions activities towards various operations throughout the state. This includes new actions, initiatives, projects, granting contracts, farmer schemes, and so on. One of the most challenging factors that top governments face is low- level corruption which at times is hard to follow and denies the state progress. As a result of the current system, tracking is very problematic and this provides needy people with a service that is sometimes difficult to track, which deprives them. In this case, we use blockchain which enables cryptography and transaction security at every stage while maintaining transparency so that every transaction is backed up with proof of its authenticity. Hence, we present a framework that uses blockchain innovation and a fullproof fund transfer system. Blockchain contains growing list of records called blocks. Crypto- graphically hashed data, a timestamp, and recent transactions are included in each block.

About Currency Restrictions in 2022, Introduced in Respect of Individuals

The focus of this article is the currency restrictions imposed by the Russian Federation on resident individuals in response to the deployment by foreign states and their unions of a policy of sanctions pressure on the national banking system. First, the authors identify regulatory windows and types of country sanctions: freezing of reserves and assets of the Bank of Russia, a ban for the Bank of Russia on access to the capital market and a ban on the sale, supply, transfer or export of cash euros and US dollars to Russia. Further, the domestic legal order is analyzed in terms of the introduction and operation of currency restrictions that apply to resident individuals. It is revealed that the main restrictions consisted in the forced conversion of part of foreign currency deposits, prohibitions on crediting currency to foreign accounts and providing loans to non-residents, setting thresholds for crossborder transfer of non-cash and cash funds; prohibition of electronic money transfers with the help of foreign payment service providers and transactions with persons of foreign states committing unfriendly acts or included in the sanctions list by the Government of the Russian Federation. The legality of the establishment of these currency restrictions and the practice of their application are investigated. Based on the results of the analysis, ways to improve domestic legislation are proposed.

The importance of contingently public goods

The importance of contingently public goods

Violated factors in building citizen-centric e-government websites: insights from the performance of the federal, state and local governments websites in Malaysia

PurposeCommon evaluation tools on e-government websites are available globally and locally to standardise and improve the quality of information and services. However, a commonly ignored aspect is the way to obtain detailed measurements of factors influencing citizen centricity; in other words, how official websites cater to the needs and contributions of citizens at different levels of government. Thus, this paper aims to apply a citizen-centric framework in evaluating the e-government websites of three different levels of authority in Malaysia: federal, state and local.Design/methodology/approachThe adapted citizen-centric checklist for e-government websites (aCCEW) with 40 characteristics across four components – openness (21), transparency (5), participation (10) and responsiveness (4) – was adopted to evaluate case studies of 36 government agency websites in Malaysia. Any conformity between the characteristics was marked using a binary measure, and the citizen-centric value was calculated for each component/characteristic.FindingsThrough website observations, ratings and descriptive comparisons, this study found that the aCCEW is a useful tool, especially for identifying certain critically violated factors. These were deficiencies in e-decision-making, revealing successful initiatives created through open data, revealing fund transfers and expenditure records and the level of social media responsiveness.Research limitations/implicationsThe research contributes theoretically by improvising characteristics in the CCEW to become aCCEW and testing it in multiple levels of government in Malaysia to see its applicability to be adopted in other similar research of e-governments. This could become a new benchmark through the additional research insights it offers into similar perspectives of public values realisation in e-government website design that focuses on more than merely functionality. Attempt to relate the violated factors and strengths of aCCEW website design components to the level of centralisation (power) of federal, state and local governments was also genuine in the e-government research.Practical implicationsRegardless of the many different government systems, federal, state and local governments can benchmark the examples assessed in this study, rethink their power relationships, and further improve their e-platforms to suit the contexts of their users/residents’ needs and contributions.Originality/valueTo the best of the authors’ knowledge, this study contributed to the first Malaysia-based research that identifies and compares factors that contribute to citizen-centric e-government website building at the federal, state and local government levels. The discussion adds value by comparing different systems and levels of e-government websites to their power possession.

Analysis of Regional Financial Conditions in Local Governments of Enrekang Regency, South Sulawesi Province, Indonesia

Purpose: The aim of this study was to examine the local financial condition of Enrekang Regency for the 2015-2019 fiscal year as an overview of the ability and success of local governments in managing their own local finances. Theoretical framework: The Regional financial condition is the ability of a local government to fulfill its obligations to anticipate unexpected events, as well as to execute their financial rights effectively and efficiently (Ritonga, 2014). The measurements carried out in this study are based on the dimensions of condition measurement proposed by Ritonga 2014, namely short-term solvency, budget solvency, long-term solvency, financial flexibility, financial independence, and service level solvency. Design/methodology/approach: The method used in this research is the descriptive method with a quantitative approach. The data used is secondary data sourced from the Local Government Financial Report Examination Results of Enrekang Regency for the 2015-2019 fiscal year, obtained from the Information and Documentation Management Officer. Findings: The results of this satudy are the financial management in Enrekang Regency is quite good so as to produce a fairly good financial condition as well. Enrekang Regency has a good financial condition in terms of short-term dimensions, budget solvency, financial flexibility and service level solvency. Meanwhile, the regional financial condition of Enrekang Regency is still not good in terms of regional financial independence due to the low local revenue. The regional government still relies heavily on funding sources from outside or relies on transfer funds from the central government. Research, Practical & Social implications: The results of this study are useful as a source of information in making decisions for the local government of Enrekang district and related parties, especially in making policies related to governance, especially in effective, efficient and economical financial management. Originality/value: The value of this research is very useful for the local government as a guide in assessing the condition of government financial health.

Online payment fraud: from anomaly detection to risk management

Online banking fraud occurs whenever a criminal can seize accounts and transfer funds from an individual’s online bank account. Successfully preventing this requires the detection of as many fraudsters as possible, without producing too many false alarms. This is a challenge for machine learning owing to the extremely imbalanced data and complexity of fraud. In addition, classical machine learning methods must be extended, minimizing expected financial losses. Finally, fraud can only be combated systematically and economically if the risks and costs in payment channels are known. We define three models that overcome these challenges: machine learning-based fraud detection, economic optimization of machine learning results, and a risk model to predict the risk of fraud while considering countermeasures. The models were tested utilizing real data. Our machine learning model alone reduces the expected and unexpected losses in the three aggregated payment channels by 15% compared to a benchmark consisting of static if-then rules. Optimizing the machine-learning model further reduces the expected losses by 52%. These results hold with a low false positive rate of 0.4%. Thus, the risk framework of the three models is viable from a business and risk perspective.

The impact of village funds on rural welfare in Indonesia: A regression discontinuity in time (RDiT) and difference in difference (DiD) approach

ABSTRACT This study examines the impact of village fund (VF) transfers on rural welfare in Indonesia. We use the monthly night-time light (NTL) dataset as a proxy for rural welfare for around 75,000 villages from 2014 to 2019. Using Regression Discontinuity in Time (RDiT), we find that VF positively impacts rural welfare, as the value of Average Light Intensity (ALI) increases by almost 97% after the implementation of VF. The highest influence of VF transfers is revealed to be in underdeveloped villages. This indicates preliminary evidence of regional convergence, where poor villages grow faster than developed villages. In addition to the RDiT, the Difference in Difference (DiD) estimations show that the rural welfare of villages that received VF early in 2015 was 19% higher than those without VF in 2015.

Policy Reformulation Action-Cycle Framework (PRACYF): A Case Study Decentralization and Regional Autonomy Policy in North Sumatra Province

Decentralization and regional autonomy (DRA) policies have been implemented in Indonesia for 25 years. However, regional independence is still very low in 33 regions/cities in North Sumatra (North Sumatra) because the local revenue (PAD) is much smaller than the regional income and expenditure budget (APBD). The aim of this study is to analyze this phenomenon and find a conceptual framework for reformulating DRA policies. The research method uses mixed methods. The results of the analysis show that 88.49% of the regions are still dependent on transfer funds from the central government, so the nature of autonomy, namely the independence of autonomous regions, is still far from expectations. In the long run, it is important to reformulate policies through the Policy Reformulation Action-Cycle Framework (PRACYF). Theoretically, PRACYF has conceptual implications for the development of public policy and DRA, while in practice it can have implications for increasing the independence of autonomous regions and the welfare of the people in the regions.

Flypaper Effect Analysis of General Allocation Fund and Regional Original Revenu on Direct and Indirect Expenditures in Kuningan Regency 2006–2020

This research aims to analyze whether there is a flypaper effect of General Allocation Fund (GAF) and Regional Original Revenue (ROR) on direct and indirect expenditures in Kuningan Regency in 2006 – 2020. Our research uses multiple linear regression, and we find that: (1) GAF and ROR have positive and significant effect on both direct spending and indirect spending of regional government of Kuningan and (2) GAF has dominant effect on direct and indirect expenditures variables. We conclude that there is a flypaper effect on regional expenditures of Kuningan. It means that the Regional Government of Kuningan is still highly dependent on central government’s fund transfers. This research implies that (1) the Regional Government of Kuningan is expected to maximize the exploration of its local resources gradually, (2) it is necessary to optimize the supervision conducted by the Directorate General of Taxes (DGT) on taxpayers and to explore tax revenues from them and tax objects, (3) the local government needs to have adequate control systems to ensure compliance with management policy procedures, and (4) administrative procedure simplification is also necessary to provide convenience, thereby increasing tax compliance and the percentage of local revenue. Keywords: General Allocation Fund, Regional original Revenue, Expenditures, Flypaper Effect.

CryptoMaze: Privacy-Preserving Splitting of Off-Chain Payments

Payment protocols developed to realize off-chain transactions in Payment channel network (PCN) assumes the underlying routing algorithm transfers the payment via a single path. However, a path may not have sufficient capacity to route a transaction. It is inevitable to split the payment across multiple paths. If we run independent instances of the protocol on each path, the execution may fail in some of the paths, leading to partial transfer of funds. A payer has to reattempt the entire process for the residual amount. We propose a secure and privacy-preserving payment protocol, CryptoMaze. Instead of independent paths, the funds are transferred from sender to receiver across several payment channels responsible for routing, in a breadth-first fashion. Payments are resolved faster at reduced setup cost, compared to existing state-of-the-art. Correlation among the partial payments is captured, guaranteeing atomicity. Further, two party ECDSA signature is used for establishing scriptless locks among parties involved in the payment. It reduces space overhead by leveraging on core Bitcoin scripts. We provide a formal model in the Universal Composability framework and state the privacy goals achieved by CryptoMaze. We compare the performance of our protocol with the existing single path based payment protocol, Multi-hop HTLC, applied iteratively on one path at a time on several instances. It is observed that CryptoMaze requires less communication overhead and low execution time, demonstrating efficiency and scalability.

A COMPARATIVE ANALYSIS OF CUSTOMER SATISFACTION OVER E-BANKING SERVICES OF PUBLIC SECTOR AND PRIVATE SECTOR BANKS

In todays scenario, dynamic changes in the banking sector have brought competition in winning and maintaining existing customers. Presently, banks have realized the importance of appealing to new customers is far more important than retaining existing customers of the banks, for the same cause banks are emphasizing more over customer satisfaction in providing competitive services. A comparative analysis of customer satisfaction levels in public sector banks and private sector banks has given the pathway to banks in magnifying the customers demand for comparative premium-quality services and products offered with a minimum waiting period. This research paper showcases the impact of e-banking services offered by banks to customers to avail maximum benefits. The study also identifies that e-banking services are improved versions of traditional banking systems and services because customers prefer technically sound banks as well as bankers rather than traditional banker and banking systems. The study aims to evaluate the e-banking services offered by both types of banks, including user-friendliness, security, range of services, and accessibility., and multiple services like ATMs, NEFT, Debit cards Credit cards, mobile banking KEYWORDS:- ATMs (Automatic teller Machines), NEFT (National Electronic Fund Transfer) Debit Cards, Credit Cards.

Wholesale central bank digital currency vs traditional real-time gross settlement: Benefits beyond a new acronym?

Central banks need to modernise their wholesale payment services. This is not to say they must choose between modernising their real-time gross settlement systems or building a new wholesale central bank digital currency system. Rather, as this paper will argue, they must develop a common, standardised hybrid platform for the global financial (wholesale) markets. Indeed, central banks need to provide interoperable cross-border payment services by accepting foreign participants and coordinating their short-term liquidity instruments. This paper argues that if central banks want to serve future wholesale markets, they will need to provide 24/7/365 services with cross-border finality for simple fund transfers, but also for deliveryversus-payment and payment-versus-payment settlements at the transaction level. The paper will discuss how interoperability is a key issue, and requires completely common message and communication standards, but especially common identification and security standards in which distributed ledger technology and transaction-chaining are important elements. Wholesale systems must be highly resilient. As this paper shows, cooperation between central banks is essential if they are to deliver cross-border wholesale payment services for the global financial markets of the future.

Mobile financial services and household welfare in a developing economy: boon and bane

PurposeThis study aims to investigate whether the introduction of innovative financial products increases welfare for low-income households working in the manufacturing sector. Specifically, the authors measure the impact of mobile financial services (MFSs) on economic opportunities and wellbeing of garment factory workers in Bangladesh.Design/methodology/approachThe study is based on Amartya Sen’s Capabilities Approach. Close to 400 textile factory workers were interviewed about their experience using Bangladesh’s most popular MFS, and how their household welfare has changed over time. Results were tabulated and analyzed with simple statistical tools.FindingsWhile there remains an abundance of friction in the system, financial innovation still assisted low-income households in savings, and expedited and secured their fund transfers. The introduction of the new technology, especially when it is made mandatory, seems to have disempowered married women by reducing their financial independence from their husbands.Originality/valueThis study should help policy makers and international bodies in their efforts to design and support the inclusive growth of mobile financial technology.

Effectivenessof Electronic Funds Transfer on Fee Collection in Private Universities in Nakuru County, Kenya

Effectivenessof Electronic Funds Transfer on Fee Collection in Private Universities in Nakuru County, Kenya

The E-Payment Trajectory during the Pandemic – The Case of India

This study empirically investigates how the different e-payment methods performed during the pandemic as an alternative medium to the traditional mode of payment. E-payment methods namely Real Time Gross Settlement (RTGS), National Electronic Fund Transfer (NEFT), Aadhaar Enabled Payment System (AEPS), Unified Payments Interface (UPI), and Immediate Payment Service (IMPS) are considered from June 1, 2020, to November 30, 2021, when the global pandemic was at its peak. Secondary daily data are considered in this study collected from the RBI database which was converted into corresponding log natural returns. GARCH (1,1) model was applied as the tool for analysis. It was noted that RTGS, AEPS, and UPI undergo positive volatility whereas NEFT and IMPS undergo negative volatility which enables us to conclude that RTGS, AEPS, and UPI are much more acceptable mediums of payments during the pandemic than the others.