ANALYSIS THE ROLE OF FINANCIAL LITERACY, FINANCIAL TECNOLOGY, AND FINANCIAL INCLUSION ON THE PERFORMANCE OF MSMES IN BEKASI CITY

Abstract

This study aims to analyze the influence of financial literacy, financial technology , and financial inclusion on the performance of MSMEs in Bekasi City. This study uses a quantitative approach with the Structural Equation Modeling (SEM) analysis method based on Partial Least Square (PLS). Data were collected through questionnaires distributed to 100 MSMEs in the culinary sector in Bekasi City. The results show that financial literacy has a significant effect on financial technology , financial inclusion, and MSME performance. In addition, financial technology and financial inclusion also have a positive and significant effect on MSME performance. Financial literacy is also proven to have an indirect effect on MSME performance through financial technology and financial inclusion as mediating variables. These findings indicate that increasing financial literacy and utilizing financial technology can drive MSME performance more optimally.