<abstract xmlns="http://www.w3.org/1999/xhtml">

<p>This study seeks to understand the relationship between financial inclusion, national development, and the stability of the national financial system in Indonesia. The data collected in this study is a secondary data that includes the data of the number of commercial bank accounts, number of commercial banking service offices, number of general credits, average income, population welfare, goods and services production, and number of credits of 34 provinces throughout Indonesia, from 2015 until 2019. A dynamic statistic panel Model of the Generalized approach of Moments (GMM) is used for data analysis. The results of this research showed that financial inclusion has a significant negative influence on national development, but it can increase the national financial stability system. This is possible due to the diversity of demography, economic condition, and geographical condition in each province of Indonesia.</p>
</abstract>

This study seeks to understand the relationship between financial inclusion, national development, and the stability of the national financial system in Indonesia. The data collected in this study is a secondary data that includes the data of the number of commercial bank accounts, number of commercial banking service offices, number of general credits, average income, population welfare, goods and services production, and number of credits of 34 provinces throughout Indonesia, from 2015 until 2019. A dynamic statistic panel Model of the Generalized approach of Moments (GMM) is used for data analysis. The results of this research showed that financial inclusion has a significant negative influence on national development, but it can increase the national financial stability system. This is possible due to the diversity of demography, economic condition, and geographical condition in each province of Indonesia.

The impact of financial inclusion on national development and national financial system stability

HOLISTICA – Journal of Business and Public Administration

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.

This study seeks to understand the relationship between financial inclusion, national development, and the stability of the national financial system in...

The impact of financial inclusion on national development and national financial system stability

Published Online: Dec 12, 2022

Page range: 63 - 82

Received: Jun 01, 2022

Accepted: Dec 01, 2022

DOI: https://doi.org/10.2478/hjbpa-2022-0015

Keywords
Financial Inclusion, National Development, Financial Stability, Financial System

© 2022 Kusuma Ratnawati et al., published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.

The impact of financial inclusion on national development and national financial system stability

Published Online: Dec 12, 2022

Page range: 63 - 82

Received: Jun 01, 2022

Accepted: Dec 01, 2022

DOI: https://doi.org/10.2478/hjbpa-2022-0015

KeywordsFinancial Inclusion, National Development, Financial Stability, Financial System

© 2022 Kusuma Ratnawati et al., published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.

Keywords
Financial Inclusion, National Development, Financial Stability, Financial System