Jesita Ajani | Universitas Gadjah Mada (Yogyakarta) (original) (raw)

Papers by Jesita Ajani

The fintech sector in Indonesia has largely neglected account ownership for the unbanked, despite... more The fintech sector in Indonesia has largely neglected account ownership for the unbanked, despite its importance in facilitating asset-building and enabling better access to financing. This paper investigates the factors that hinder financial inclusion, with specific focus on account ownership, using panel regressions with both individual-level and province-level data. On the individual level, we primarily find that distance, lack of documentation, and high cost of account are significant, aside from socioeconomic factors. From the cross-province analysis, we find that the GDRP, years of schooling, and internet penetration play a crucial role in affecting the financial inclusion index. Based on these findings, we synthesize that banks and fintech should collaborate to provide remote account registration and management with biometric and facial recognition to tackle the individual-level obstacles. Furthermore, fintech-bank partnerships could tap into existing social capital by digitalizing ROSCA arrangements in Indonesia. To support these high-tech collaborations, the government could continue providing support in infrastructure, regulation, and fintech literacy for the unbanked population.

ASEAN Youth Conference, 2018

Over the last decade, ASEAN region has increased provision of financial access to various groups ... more Over the last decade, ASEAN region has increased provision of financial access to various groups of people, including women, less-educated individuals, as well as amongst the poorest. Using the 2014 Findex Micro Data which covered 8,020 individuals, this research aims to analyze the effectiveness of financial inclusion programs in reaching out for women, less-educated individuals, and amongst the poorest. The method used in the analysis is logit model in which we analyzed constraining variables affecting low financial inclusion, as well as controlling individuals' characteristics which may vary. The findings of this research can be concluded as follows: 1) women has 2% lower chance compared to men in obtaining a saving account. This happened to poorest group. 2) family member's ownership of saving account and distance from home to the nearest financial institution have become the biggest constraint in lowering financial inclusion. 3) Singapore, Malaysia, and Cambodia are the top three countries who give more adequate access to women, less-educated individuals, as well as amongst the poorest. The implication, some ASEAN countries must reduce barriers to financial inclusion in order to achieve an equitable financial inclusivity.

Over the last decade, there has been many discussions and debates regarding Indonesia's demograph... more Over the last decade, there has been many discussions and debates regarding Indonesia's demographic dividend in 2030. However, there has only been little focus on the overall impact of demographic dividend towards the notion of country's fiscal capability to finance its social pension system. In order to encounter this problem, the government has opted to increase the minimum age of retirement. Nonetheless, this policy cannot be done due to the fact that the government have not figured the detailed effect of retirement on health status. Using the 2007 and 2014 IFLS which covered unique longitudinal dataset in Indonesia. The method used in the analysis is probit model in which we analyzed health indicator variable (e.g. instrumental daily activity, grip strength, mobility, mental condition, chronic diseases and chronic symptoms), as well as testing the relationship between constructed health index and interest variable, in which retirement serves as a binary variable. The findings of this research can be concluded as follows: 1) aa 2) bb 3). cc The implication of this research for policymaking is incredibly vital, that there is a need for some ASEAN Countries to promote financial products and financial literacy, especially for the vulnerable groups. Barriers to account use will also be a main key point in this research paper which may shed light on potential market failures and provide guidance to policymakers in shaping financial inclusion policies through digital financial provision in order to achieve an equitable financial inclusivity.

Over the last decade, ASEAN region has experienced a comparably high economic growth. This high g... more Over the last decade, ASEAN region has experienced a comparably high economic growth. This high growth is indeed followed by ever increasing provision of financial access to various groups of people, including women, less-educated individuals, as well as amongst the poorest. Using the 2014 Findex Micro Data which covered 8,020 individuals, this research aims to analyze the effectiveness of financial inclusion programs in reaching out for women, less-educated individuals, and amongst the poorest. The method used in the analysis is logit model in which we analyzed constraining variables affecting low financial inclusion (documentation requirements, cost, distance, and trust of financial institution), as well as controlling individuals characteristics which may vary (gender, age, income group, and education). This analysis has also managed to control country variable in ASEAN region. The findings of this research can be concluded as follows: 1) women has 2% lower chance compared to men in obtaining a saving account. In addition to that, 20% of the poorest group also has 2% lower chance in acquiring a saving account compared to other income groups. 2) other family member's ownership of saving account and distance from home to the nearest financial institution have become the biggest constraint in lowering financial inclusion. Both of these factors constituted for 30% to 40% in affecting the probability of creating a saving account. 3) Singapore, Malaysia, and Cambodia are the top three countries who succeeded in giving more adequate access to women, less-educated individuals, as well as amongst the poorest. The implication of this research for policymaking is incredibly vital, that there is a need for some ASEAN Countries to promote financial products and financial literacy, especially for the vulnerable groups. Barriers to account use will also be a main key point in this research paper which may shed light on potential market failures and provide guidance to policymakers in shaping financial inclusion policies through digital financial provision in order to achieve an equitable financial inclusivity.

This essay has an objective of assessing how the design of educational curriculum should be refor... more This essay has an objective of assessing how the design of educational curriculum should be reformed in order to prepare the workforce for the inevitable changes of the 4 th Industrial Revolution, moreover we have arrived in the era where computer is able to be given a general strategy for learning, enabling them to adapt to new data without being explicitly reprogrammed. Machine " learning " has been adopted for commercial used such as health care, finance, transport, and many more. Surely these systems have started to give impact in ASEAN Economics. The academics should train its students to have new specific yet sophisticated skills to compete in labor force, not only with humans, but also with comprehensive data processing system, or also known as Artificial Intelligence (AI) in order to create a sustainable development in the overall economy.

This essay has an objective of assessing how digital microfinance has impacted poverty reduction ... more This essay has an objective of assessing how digital microfinance has impacted poverty reduction and the development of small medium sized enterprises (SME) and how advancement in digital microfinance is needed for ASEAN countries. Using literature review methods, we have found that poverty has long obstructed the development of a country. Thus, it has led to many innovative financial and social assistance that is believed to help the lives of the marginalized groups and unbanked groups in developing countries. The emergence of digitalized financial service such as bkash, M-pesa, and Smart have also been used as study cases in how digitalization impacted poverty alleviation and development of SME in less-developed and developing countries through micro lending and micro financing system resulting in an innovative platform that allows a broad range of assistance for the low-income population. Even so, the advancement of digital micro financing has to be supported with enhancement of networking broadband, infrastructure, and educative training regarding the usage of technological improvements.

Drafts by Jesita Ajani

The exhilarating turmoil in the competitive market has been one of the reasons why it is needed t... more The exhilarating turmoil in the competitive market has been one of the reasons why it is needed to take into a peek upon the importance of disruptive innovation. The theory of disruptive innovation was founded by Clayton M. Christensen and has been developed for years.

The fintech sector in Indonesia has largely neglected account ownership for the unbanked, despite... more The fintech sector in Indonesia has largely neglected account ownership for the unbanked, despite its importance in facilitating asset-building and enabling better access to financing. This paper investigates the factors that hinder financial inclusion, with specific focus on account ownership, using panel regressions with both individual-level and province-level data. On the individual level, we primarily find that distance, lack of documentation, and high cost of account are significant, aside from socioeconomic factors. From the cross-province analysis, we find that the GDRP, years of schooling, and internet penetration play a crucial role in affecting the financial inclusion index. Based on these findings, we synthesize that banks and fintech should collaborate to provide remote account registration and management with biometric and facial recognition to tackle the individual-level obstacles. Furthermore, fintech-bank partnerships could tap into existing social capital by digitalizing ROSCA arrangements in Indonesia. To support these high-tech collaborations, the government could continue providing support in infrastructure, regulation, and fintech literacy for the unbanked population.

ASEAN Youth Conference, 2018

Over the last decade, ASEAN region has increased provision of financial access to various groups ... more Over the last decade, ASEAN region has increased provision of financial access to various groups of people, including women, less-educated individuals, as well as amongst the poorest. Using the 2014 Findex Micro Data which covered 8,020 individuals, this research aims to analyze the effectiveness of financial inclusion programs in reaching out for women, less-educated individuals, and amongst the poorest. The method used in the analysis is logit model in which we analyzed constraining variables affecting low financial inclusion, as well as controlling individuals' characteristics which may vary. The findings of this research can be concluded as follows: 1) women has 2% lower chance compared to men in obtaining a saving account. This happened to poorest group. 2) family member's ownership of saving account and distance from home to the nearest financial institution have become the biggest constraint in lowering financial inclusion. 3) Singapore, Malaysia, and Cambodia are the top three countries who give more adequate access to women, less-educated individuals, as well as amongst the poorest. The implication, some ASEAN countries must reduce barriers to financial inclusion in order to achieve an equitable financial inclusivity.

Over the last decade, there has been many discussions and debates regarding Indonesia's demograph... more Over the last decade, there has been many discussions and debates regarding Indonesia's demographic dividend in 2030. However, there has only been little focus on the overall impact of demographic dividend towards the notion of country's fiscal capability to finance its social pension system. In order to encounter this problem, the government has opted to increase the minimum age of retirement. Nonetheless, this policy cannot be done due to the fact that the government have not figured the detailed effect of retirement on health status. Using the 2007 and 2014 IFLS which covered unique longitudinal dataset in Indonesia. The method used in the analysis is probit model in which we analyzed health indicator variable (e.g. instrumental daily activity, grip strength, mobility, mental condition, chronic diseases and chronic symptoms), as well as testing the relationship between constructed health index and interest variable, in which retirement serves as a binary variable. The findings of this research can be concluded as follows: 1) aa 2) bb 3). cc The implication of this research for policymaking is incredibly vital, that there is a need for some ASEAN Countries to promote financial products and financial literacy, especially for the vulnerable groups. Barriers to account use will also be a main key point in this research paper which may shed light on potential market failures and provide guidance to policymakers in shaping financial inclusion policies through digital financial provision in order to achieve an equitable financial inclusivity.

Over the last decade, ASEAN region has experienced a comparably high economic growth. This high g... more Over the last decade, ASEAN region has experienced a comparably high economic growth. This high growth is indeed followed by ever increasing provision of financial access to various groups of people, including women, less-educated individuals, as well as amongst the poorest. Using the 2014 Findex Micro Data which covered 8,020 individuals, this research aims to analyze the effectiveness of financial inclusion programs in reaching out for women, less-educated individuals, and amongst the poorest. The method used in the analysis is logit model in which we analyzed constraining variables affecting low financial inclusion (documentation requirements, cost, distance, and trust of financial institution), as well as controlling individuals characteristics which may vary (gender, age, income group, and education). This analysis has also managed to control country variable in ASEAN region. The findings of this research can be concluded as follows: 1) women has 2% lower chance compared to men in obtaining a saving account. In addition to that, 20% of the poorest group also has 2% lower chance in acquiring a saving account compared to other income groups. 2) other family member's ownership of saving account and distance from home to the nearest financial institution have become the biggest constraint in lowering financial inclusion. Both of these factors constituted for 30% to 40% in affecting the probability of creating a saving account. 3) Singapore, Malaysia, and Cambodia are the top three countries who succeeded in giving more adequate access to women, less-educated individuals, as well as amongst the poorest. The implication of this research for policymaking is incredibly vital, that there is a need for some ASEAN Countries to promote financial products and financial literacy, especially for the vulnerable groups. Barriers to account use will also be a main key point in this research paper which may shed light on potential market failures and provide guidance to policymakers in shaping financial inclusion policies through digital financial provision in order to achieve an equitable financial inclusivity.

This essay has an objective of assessing how the design of educational curriculum should be refor... more This essay has an objective of assessing how the design of educational curriculum should be reformed in order to prepare the workforce for the inevitable changes of the 4 th Industrial Revolution, moreover we have arrived in the era where computer is able to be given a general strategy for learning, enabling them to adapt to new data without being explicitly reprogrammed. Machine " learning " has been adopted for commercial used such as health care, finance, transport, and many more. Surely these systems have started to give impact in ASEAN Economics. The academics should train its students to have new specific yet sophisticated skills to compete in labor force, not only with humans, but also with comprehensive data processing system, or also known as Artificial Intelligence (AI) in order to create a sustainable development in the overall economy.

This essay has an objective of assessing how digital microfinance has impacted poverty reduction ... more This essay has an objective of assessing how digital microfinance has impacted poverty reduction and the development of small medium sized enterprises (SME) and how advancement in digital microfinance is needed for ASEAN countries. Using literature review methods, we have found that poverty has long obstructed the development of a country. Thus, it has led to many innovative financial and social assistance that is believed to help the lives of the marginalized groups and unbanked groups in developing countries. The emergence of digitalized financial service such as bkash, M-pesa, and Smart have also been used as study cases in how digitalization impacted poverty alleviation and development of SME in less-developed and developing countries through micro lending and micro financing system resulting in an innovative platform that allows a broad range of assistance for the low-income population. Even so, the advancement of digital micro financing has to be supported with enhancement of networking broadband, infrastructure, and educative training regarding the usage of technological improvements.

The exhilarating turmoil in the competitive market has been one of the reasons why it is needed t... more The exhilarating turmoil in the competitive market has been one of the reasons why it is needed to take into a peek upon the importance of disruptive innovation. The theory of disruptive innovation was founded by Clayton M. Christensen and has been developed for years.