THE IMPACT OF FINTECH LENDING ON INDONESIA’S MACROECONOMIC PERFORMANCE
DOI:
https://doi.org/10.55197/qjssh.v6i5.848Keywords:
fintech lending, economic growth, poverty, unemployment, inequality, IndonesiaAbstract
The existence of Financial Technology (Fintech) has experienced rapid growth in the financial landscape in developing countries, including the type of Fintech lending, often called Peer to Peer (P2P) Lending. Adapting Fintech lending with digital financing innovation offerings can support sustainable national economic growth. This study aims to analyze the impact of Fintech lending on three leading macroeconomic indicators in Indonesia during the post-COVID-19 pandemic period. This study aims to analyze the impact of Fintech lending on four leading macroeconomic indicators in Indonesia during the post-COVID-19 pandemic period by panel data. The methods used is analysis and regression with four analysis models. The results show that Fintech lending significantly drives Indonesia's economic growth, poverty alleviation, and unemployment rates but not with inequality. Fintech lending has a significant favorable influence on economic growth. A negative relationship was found between poverty and unemployment, indicating the potential of fintech lending to increase financial inclusion and reduce economic disparities. This study concludes that if appropriately managed, Fintech lending can catalyze the Indonesian economy. Policy implications include strengthening regulations for consumer protection and mitigating risk management in using Fintech lending.
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