MSME Financing and it Investment on Corporate Performance: The Role of Fintech Adoption


Abstract


This study aims to test whether the adoption of fintech by banks is able to strengthen the influence of MSME financing and IT investment on company performance. This study uses the Moderating Regression Analysis method. The objects of this study are banks listed on the Indonesia Stock Exchange for the 2017 2021 study period. The sample selection is based on the classification of bank groupings carried out by the Financial Services Authority (OJK). The findings of this study indicate that fintech adoption can significantly strengthen the positive influence of MSME financing on company performance. On the other hand, fintech adoption can significantly amplify the negative effect of IT investment on company performance. The implications of these findings can be interesting input for investors and banking institutions that the adoption of fintech has a varied impact on company performance so that careful consideration is needed in developing fintech.



Keywords


Financing, Investment, The Role of Fintech Adoption, MSME

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References


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DOI: https://doi.org/10.30596/miceb.v1i0.170

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