Financial Access and Financial Risk Attitudes towards Improving Microenterprise Performance

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Dedy Sukmana, Muhammad Zilal Hamzah, Nirdukita Ratnawat


Microenterprise sector plays a pivotal role in driving economic growth in developing nations. This research aims to devise a financial literacy strategy that augments the performance of microenterprise customers of Indonesia's Shariah Microbank in DKI Jakarta. Improving the performance of micro businesses is not only the responsibility of Bank Syariah Indonesia but also the responsibility of many parties, namely the role of the government through the establishment of KNEKS and KDEKS which aim to increase sharia financial literacy and need to be supported by associations both the Sharia Economic Society (MES) and universities who are concerned with increasing sharia financial literacy which leads to improving the performance of micro businesses. This is achieved by investigating the determinants of microenterprise performance, focusing on the financial literacy of the customers availing microfinance services from the said bank. This study adopts a quantitative approach and employs Structural Equation Modeling (SEM) to analyze data, with financial access as mediating variables. The results are further evaluated through Strengths, Weaknesses, Opportunities, and Threats (SWOT) analysis—a robust research technique for identifying obstacles and refining effective strategies. The study comprises a sample of 500 microenterprise operators who are clients of the Shariah Microbank in DKI Jakarta. The analysis reveals the following insights: (1) Financial literacy exhibits a positive and moderate influence on the microenterprise performance of Shariah Microbank customers in DKI Jakarta. (2) Financial access demonstrates a positive and moderate impact on microenterprise performance. (3) Financial literacy exhibits a positive and moderate effect on financial access. (4) financial literacy has a positive and moderate effect on financial risk attitudes, (5) financial risk attitudes have positive an insignificant effect on micro business performance, (6) financial literacy through financial access as a mediating variable has a positive and moderate effect on micro business performance, (7) financial literacy through financial risk attitudes variables have positive an insignificant affect the performance of micro business enterprises. This encompasses strategic programs including: (1) Financial proficiency through collaborative Shariah microfinance training within the Islamic Ecosystem and expansion and optimization of the BSI Microentrepreneur Center; (2) Financial attitude and behavior enhancement via workshops on Shariah microfinancial planning and mentorship by BSI personnel for microenterprise operators; (3) Financial access enhancement through intensified digitalization of Shariah microfinancial services and integration of bundled products and services (e.g., incorporating licensing and halal standardization). 

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