The Effect of Financial Inclusion and Literacy Through Digital Payment (QRIS) on MSME Profitability

Abstract

This study aims to show the effect of Financial Inclusion and Literacy on MSME Profitability through Digital Payment (QRIS). The research sample was obtained from MSMEs with business sectors in culinary and fashion used quantitative methods. The data for this study were obtained from primary sources through the distribution of questionnaires. Data processing was carried out using multiple linear regression analysis techniques on smartPLS 4.0. The research findings show that Financial Inclusion and Literacy significantly affect MSME Profitability. On the other hand, the presence of QRIS as moderation does not show a significant effect on the relationship between inclusion and Financial Literacy with MSME Profitability. These results show that MSMEs have been good at accessing and using financial services to increase business sales, but perhaps education and optimization in the use of QRIS are still needed to be involved in MSME financial activities. This research is expected to be able to provide insight and education regarding the ease of using financial services and transactions using payment digitization.