Jurnal REP (Riset Ekonomi Pembangunan)

THE IMPACT OF E-COMMERCE ON INDONESIA ECONOMIC GROWTH: INTERMEDIATION MODELS WITH FINANCIAL TECHNOLOGY CONSTRAINT

Ririn Nopiah — 2024-04-17

The COVID-19 pandemic triggered economic shocks that adversely affected the global economy. Economic growth contracted significantly. Restrictions on economic activity trigger people's shopping behavior to switch to non-cash and online systems. E-commerce, as one part of digital economic transformation, has experienced a significant increase which impacts the flow of dissemination of ideas, innovations, and information, thus encouraging economic growth. This study analyzes the Impact of e-commerce on economic growth in Indonesia during the COVID-19 pandemic using intermediation models and fixed effect analysis. The results show that e-commerce negatively and significantly impacts economic growth during 2019 and 2021. Because e-commerce stimulates economic growth in a country but needs to be supported by quality infrastructure, quality broadband internet, online security (cyber security), and digital payment systems (e-payment). The variables of online financing, efficiency of government spending, length of schooling, and number of tourists have a positive and significant effect. Meanwhile, the poverty rate and human development index have a negative and significant effect. In maximizing e-commerce activities in Indonesia, strong support and collaboration from the government, financial institutions, and the Ministry of Communication and information technology are needed.

TECHNOLOGICAL GAP AND FOREIGN DIRECT INVESTMENT SPILLOVERS IN INDONESIA

Rudi Purwono — 2024-04-17

This study investigates the relationship between the technology gap and Foreign Direct Investment (FDI) spillovers in Indonesia. This study employs Medium-Large Manufacturing Survey Data from Statistics Indonesia and employs the standard least-square method to estimate the correlation between the technological gap and industries’ productivity change between 2010 and 2015. This study groups industries based on their technological gap (i.e. the difference between domestic and foreign establishment productivity) into low-technology-gap, medium-technology-gap, and high-technology gap. This study reveals that the effect of the technological gap is higher in the moderate-technology-gap group of industries and that there is a statistically significant positive relationship in the low-technology-gap and high-technology-gap groups. This finding indicates that the technological gap matters for FDI spillovers in Indonesia’s manufacturing and it can explain why there is spillovers from FDI in several industries. This study also reveals that industries with higher level of technological gap tend to have higher variation in productivity change, thus it can explain the difference between industries absorptive capacity. Therefore, promoting FDI inflows in the country also fosters domestic firms’ productivity growth especially FDI with relatively higher technology than domestic firms. These findings also recommend that the government support domestic firms’ absorptive capacity after promoting FDI inflow into the country.

DETERMINING THE DEMAND FOR MSME CREDIT THROUGH MACROPRUDENTIAL INCENTIVE POLICIES AS AN ECONOMIC RECOVERY EFFORT

Famela Galuh Dewi Agustiya — 2024-04-30

A bank is a financial institution that plays an important role in maintaining economic stability, supporting economic growth and facilitating financial activities. One of the efforts made by the banking sector is to channel credit to Micro, Small and Medium Enterprises (MSMEs) so that they can develop. This study aims to see how the influence of Non Performing Loan (NPL), Lending Interest Rate, Inflation and Macroprudential Incentive Policy on MSME credit demand in Indonesia. The research period is from 2018 to 2022. This research was conducted using secondary data obtained from the Central Bureau of Statistics, Bank Indonesia and the Financial Services Authority. The data analysis technique used is multiple linear regression. The results of this study indicate that the Non Performing Loan (NPL) variable has no significant effect on MSME loan demand in Indonesia, while the loan interest rate variable has a negative and significant effect on MSME loan demand in Indonesia and the inflation variable and macroprudential incentive policies have a significant effect on MSME loan demand in Indonesia. The conclusion is that the existence of Macroprudential Incentive Policy can increase the demand for MSME loans in Indonesia, this can have an impact on national economic growth.

THE EVALUATION OF SUSTAINABLE TOURISM VILLAGES THROUGH MANAGEMENT STRUCTURE AND FRAMEWORK IN SURABAYA CITY

Sucipto Sucipto — 2024-04-30

Sustainable tourism development has become a positive trend in every region, especially in densely populated urban areas. Surabaya is one of the cities that has shown special attention to the development of sustainable villages through the tourism sector. Since 2005, Surabaya City has implemented a green village policy or program to realize Surabaya Green and Clean. The paper focused on discussing sustainable tourism villages through the existing structure and management framework in Surabaya City. The method used in this paper was descriptive evaluative with triangulation data wetness techniques in tourist villages in Nginden Village, Surabaya. The results of the evaluation of the structure and management framework of Kampong Herbal Nginden Surabaya have an evaluation result of 92% which is oriented as a smart village because it is used as a forum for learning communities.

THE RELATIONSHIP BETWEEN FEAR OF MISSING OUT (FOMO) AND SELF-EFFICACY AT THE LEVEL OF STUDENT ORGANIZATION PARTICIPATION

Badar Fadlan Ibrahim — 2024-04-30

Self-efficacy is a belief in a person's ability to achieve and improve life achievements. Therefore, individuals need to have a good level of self-efficacy. Self-efficacy supports being confident in socializing, especially in the campus environment. However, the idea of joining an organization raises the fear of not completing the study period on time, causing student participation rates in joining organizations on campus to decrease. This research aims to analyze the influence of factors that influence students' interest in joining an organization on campus. Utility theory is used as the theoretical basis for this research. The methodology used in this research is quantitative, with primary data obtained through random sampling techniques taken from 264 respondents in the Semarang City area. This research uses a logistic regression approach with a logit model in its estimation. The results of this study show that students with a higher grade (GPA), higher living costs, more free time, a higher level of Fear of Missing Out (FoMO), and a higher level of self-efficacy tend to be more likely to join campus organizations. This shows that the variables above positively influence interest in joining an organization. Therefore, choosing an organization that suits our interests, talents, and goals can increase self-efficacy because we will feel more competent, confident, and motivated to work together.

EMPOWERMENT STRATEGIES FOR THE COMMUNITY’S ECONOMY THROUGH THE CENTER OF SHARIA BUSINESS INCUBATION (PINBAS) OF INDONESIAN ULAMA COUNCIL NORTH SUMATERA IN ALLEVIATING POVERTY

Frida Yanti Sirait — 2024-04-30

The Center of Sharia Business Incubation (PINBAS) of the Indonesian Ulama Council (MUI) plays a significant role in developing and promoting businesses that comply with Sharia economic principles to promote the community’s self-sufficiency in alleviating poverty. Yet, the effective strategies for empowering the people's economy are still far from MUI's expectations. The community’s economic empowerment requires more creative efforts and smart work to reveal an adequate solution. The research aims to analyze strategies for community economic empowerment employed by PINBAS of MUI North Sumatera chapter in alleviating poverty. The SWOT analysis and QSPM are applied as research methods. The number of respondents was 6 people and 5 people, respectively. Respondents were appointed based on their understanding of economic empowerment among academics and practitioners. The results obtained from the SWOT analysis recommend the alteration of strategies in quadrant III, 1) So far, the strategies that have been carried out are designated to increase public knowledge and awareness, partnerships with sharia financial institutions, collaboration and innovation, and research. 2) Factors of strengths, weaknesses, opportunities, and threats, namely creating cooperation programs with other parties, Helping to run government programs to assist in the form of capital training and appropriate human resources, Creating new markets, Maximizing support, Providing promising good results and Providing training programs to the community 3) Urgency of Handling future Internal and External Factors by providing promising results so that they understand sharia business principles in detail, Collaborating with various parties, Overcoming limited available resources, Providing training programs to the community by documenting and sharing them with mass media. 4) The main priority strategy that needs to be implemented is to provide training programs to the community by documenting and sharing them with the mass media so that common people will be aware of the existence of these programs and more people will taking part in the programs. 5) Economic empowerment model community activities carried out by PINBAS in overcoming poverty, namely entrepreneurship/mapping data, creativity patterns (business/figure inspiration), and nurturing togetherness.

DIGITAL TRANSFORMATION AND STATE-OWNED BANK'S PERFORMANCE: THE MODERATING EFFECT OF RISK PREFERENCE

Ahmad Sutanto — 2024-04-30

This study examines the impact of digital transformation on the financial performance of Indonesian state-owned banks, using risk preference as a moderating variable. The study utilizes data from the annual financial reports of Indonesian state-owned banks from 2019 to 2023. Digital transformation is measured through text mining of annual reports, bank performance is primarily indicated by Net Interest Margin (NIM), and risk preference is assessed using the Z-score. Given the presence of autocorrelation in the fixed effects model, the Generalized Method of Moments (GMM) is employed. The results reveal that digital transformation does not directly affect bank performance. However, this relationship is significantly moderated by the banks' risk preferences. Banks with higher risk preference tend to leverage digital transformation more effectively, resulting in increased profitability and higher risks. Conversely, banks with lower risk preferences adopt digital technologies more cautiously, achieving steadier but potentially lower gains. These findings offer valuable insights for policymakers and bank managers in the Indonesian banking sector, emphasizing balancing technological advancements with risk management to maintain financial stability. This study highlights the crucial role of digital transformation in enhancing bank performance when aligned with risk management strategies and contributes to the understanding of the complex relationship between digital transformation, risk preference, and bank performance in emerging economies, particularly in the context of state-owned banks.