IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v15y2023i3p2723-d1055723.html
   My bibliography  Save this article

Adoption of the Green Economy through Branchless Rural Credit Banks during the COVID-19 Pandemic in Indonesia

Author

Listed:
  • A. A. I. N. Marhaeni

    (Department of Economic Development, Universitas Udayana, Bali 80361, Indonesia)

  • Kittisak Jermsittiparsert

    (Faculty of Education, University of City Island, Famagusta 9945, Northern Cyprus, Cyprus)

  • Sudarmo

    (Management Department, Sekolah Tinggi Ilmu Ekonomi Balikpapan, Balikpapan 76124, Indonesia)

  • Lucia Rita Indrawati

    (Faculty of Economics, Tidar University, Magelang 56116, Indonesia)

  • Andjar Prasetyo

    (Development Planning Agency of Magelang City, Magelang 56116, Indonesia)

  • Noviati Fuada

    (Organization for Health, National Research and Innovation Agency, Jakarta 12710, Indonesia)

  • Arnis Rachmadhani

    (National Research and Innovation Agency, Jakarta 12710, Indonesia)

  • Tri Weda Raharjo

    (Regional Research and Development Agency of East Java Province, Surabaya 60111, Indonesia)

  • Heri Wahyudianto

    (Regional Development Planning Agency of Papua Province, Jayapura 99225, Indonesia)

  • Bekti Putri Harwijayanti

    (Poltekkes Kemenkes Semarang, Semarang 50268, Indonesia)

  • Jonni Sitorus

    (Regional Research and Development Agency of North Sumatra Province, Medan 20241, Indonesia)

  • Mochammad Fahlevi

    (Management Department, BINUS Online Learning, Bina Nusantara University, Jakarta 11480, Indonesia)

  • Mohammed Aljuaid

    (Department of Health Administration, College of Business Administration, King Saud University, Riyadh 11451, Saudi Arabia)

Abstract

A green economy has an impact on improving welfare, but it takes continuous efforts to achieve it from various fields. Contribution in the context of banking on a small scale is one of the initiatives that can show participation in achieving a green economy. This study aims to explore people’s behavior in financial transactions and analyze the practice of rural credit banks in encouraging the achievement of a green economy through the National Financial Inclusive Strategy (NFIS) program despite the COVID-19 pandemic. This study used quantitative approaches; observations were conducted at a certain time by collecting data taken directly as a complement to this study, as well as taking questionnaire data involving 363 samples and analyzing them using the structural equation model (SEM). The result is that green economic support is found in using paper for fewer savings transactions compared to branchless banking with conventional savings transactions. The high number of residents exposed to COVID-19 does not affect branchless banking. In addition, the use of branchless banking can show the penetration of financial literacy in the community. The results of the path analysis explain that perceived ease of use (7.468) and perceived usefulness (2.152) have an influence on attitude; intention is greatly influenced by attitude (15.357); and actual usage is influenced by intention (11.682). This research has specific implications for the Magelang City Rural Bank (MCRB), which needs to conduct market research to find out the potential of branchless banking that is specifically needed by the people of Magelang. Branchless banking innovation needs to be strengthened by presenting easy-to-understand and easy-to-use applications to improve the attitude of the Magelang people in adopting branchless banking applications and using them sustainably.

Suggested Citation

  • A. A. I. N. Marhaeni & Kittisak Jermsittiparsert & Sudarmo & Lucia Rita Indrawati & Andjar Prasetyo & Noviati Fuada & Arnis Rachmadhani & Tri Weda Raharjo & Heri Wahyudianto & Bekti Putri Harwijayanti, 2023. "Adoption of the Green Economy through Branchless Rural Credit Banks during the COVID-19 Pandemic in Indonesia," Sustainability, MDPI, vol. 15(3), pages 1-20, February.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:3:p:2723-:d:1055723
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/15/3/2723/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/15/3/2723/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Ajzen, Icek, 1991. "The theory of planned behavior," Organizational Behavior and Human Decision Processes, Elsevier, vol. 50(2), pages 179-211, December.
    2. Zahid, Muhammad & Rahman, Haseeb Ur & Ullah, Zabeeh & Muhammad, Ali, 2021. "Sustainability and branchless banking: The development and validation of a distinct measurement scale," Technology in Society, Elsevier, vol. 67(C).
    3. Aitken, Mhairi & Ng, Magdalene & Horsfall, Dave & Coopamootoo, Kovila P.L. & van Moorsel, Aad & Elliott, Karen, 2021. "In pursuit of socially-minded data-intensive innovation in banking: A focus group study of public expectations of digital innovation in banking," Technology in Society, Elsevier, vol. 66(C).
    4. Dang, Van Dan & Dang, Van Cuong, 2021. "Liquidity injection, bank lending, and security holdings: The asymmetric effects in Vietnam," The Journal of Economic Asymmetries, Elsevier, vol. 24(C).
    5. Mohammad Nur Rianto Al Arif & Uut Tri Cahyani, 2021. "Branchless banking and profitability in the Indonesian Islamic banking industry," Jurnal Ekonomi & Keuangan Islam, Faculty of Economics, Universitas Islam Indonesia, vol. 7(2), pages 154-160.
    6. Chu, Yongqiang & Li, Zeguang, 2022. "Banking relationship, information reusability, and acquisition loans," Journal of Banking & Finance, Elsevier, vol. 138(C).
    7. Armand Kasztelan, 2017. "Green Growth, Green Economy and Sustainable Development: Terminological and Relational Discourse," Prague Economic Papers, Prague University of Economics and Business, vol. 2017(4), pages 487-499.
    8. Chi-Yo Huang & Yu-Sheng Kao, 2015. "UTAUT2 Based Predictions of Factors Influencing the Technology Acceptance of Phablets by DNP," Mathematical Problems in Engineering, Hindawi, vol. 2015, pages 1-23, August.
    9. Ktut Silvanita Mangani & Adolf Bastian Heatubun & Martua Eliakim Tambunan, 2021. "Branchless Banking Process in Rural Areas: A Price Barrier?," Journal of Public Administration and Governance, Macrothink Institute, vol. 11(2), pages 317330-3173, December.
    10. Muhammad Hussain Qureshi & Talat Hussain, 2020. "Green Banking Products: Challenges and Issues in Islamic and Traditional Banks of Pakistan," Journal of Accounting and Finance in Emerging Economies, CSRC Publishing, Center for Sustainability Research and Consultancy Pakistan, vol. 6(3), pages 703-712, October.
    11. Liu, Fan, 2018. "Macroeconomic effects of microsavings programs for the unbanked," Journal of Economic Behavior & Organization, Elsevier, vol. 154(C), pages 75-99.
    12. Nouf Sahal Alharbi & Amany Shlyan AlGhanmi & Mochammad Fahlevi, 2022. "Adoption of Health Mobile Apps during the COVID-19 Lockdown: A Health Belief Model Approach," IJERPH, MDPI, vol. 19(7), pages 1-9, March.
    13. Kochar, Anjini, 2018. "Branchless banking: Evaluating the doorstep delivery of financial services in rural India," Journal of Development Economics, Elsevier, vol. 135(C), pages 160-175.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kum Fai Yuen & Do Thi Khanh Huyen & Xueqin Wang & Guanqiu Qi, 2020. "Factors Influencing the Adoption of Shared Autonomous Vehicles," IJERPH, MDPI, vol. 17(13), pages 1-17, July.
    2. Mashaal A. M. Saif & Nazimah Hussin & Maizaitulaidawati Md Husin & Ayed Alwadain & Ayon Chakraborty, 2022. "Determinants of the Intention to Adopt Digital-Only Banks in Malaysia: The Extension of Environmental Concern," Sustainability, MDPI, vol. 14(17), pages 1-32, September.
    3. Kristoffer Francisco & David Swanson, 2018. "The Supply Chain Has No Clothes: Technology Adoption of Blockchain for Supply Chain Transparency," Logistics, MDPI, vol. 2(1), pages 1-13, January.
    4. Xinlu Wen & Marios Sotiriadis & Shiwei Shen, 2023. "Determining the Key Drivers for the Acceptance and Usage of AR and VR in Cultural Heritage Monuments," Sustainability, MDPI, vol. 15(5), pages 1-24, February.
    5. Yuan Li & Jiaqi Liang & Jingxiong Huang & Mengsheng Yang & Runyan Li & Huanxia Bai, 2022. "Would You Accept Virtual Tourism? The Impact of COVID-19 Risk Perception on Technology Acceptance from a Comparative Perspective," Sustainability, MDPI, vol. 14(19), pages 1-22, October.
    6. Maria Andersson & Ola Eriksson & Chris Von Borgstede, 2012. "The Effects of Environmental Management Systems on Source Separation in the Work and Home Settings," Sustainability, MDPI, vol. 4(6), pages 1-17, June.
    7. Tran Huy Phuong & Thanh Trung Hieu, 2015. "Predictors of Entrepreneurial Intentions of Undergraduate Students in Vietnam: An Empirical Study," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 5(8), pages 46-55, August.
    8. Peng Cheng & Zhe Ouyang & Yang Liu, 0. "The effect of information overload on the intention of consumers to adopt electric vehicles," Transportation, Springer, vol. 0, pages 1-20.
    9. Alsalem, Amani & Fry, Marie-Louise & Thaichon, Park, 2020. "To donate or to waste it: Understanding posthumous organ donation attitude," Australasian marketing journal, Elsevier, vol. 28(3), pages 87-97.
    10. Benoît Lécureux & Adrien Bonnet & Ouassim Manout & Jaâfar Berrada & Louafi Bouzouina, 2022. "Acceptance of Shared Autonomous Vehicles: A Literature Review of stated choice experiments," Working Papers hal-03814947, HAL.
    11. Kristin Thomas & Evalill Nilsson & Karin Festin & Pontus Henriksson & Mats Lowén & Marie Löf & Margareta Kristenson, 2020. "Associations of Psychosocial Factors with Multiple Health Behaviors: A Population-Based Study of Middle-Aged Men and Women," IJERPH, MDPI, vol. 17(4), pages 1-17, February.
    12. Kamruzzaman, Md. & Baker, Douglas & Washington, Simon & Turrell, Gavin, 2013. "Residential dissonance and mode choice," Journal of Transport Geography, Elsevier, vol. 33(C), pages 12-28.
    13. Ficko, Andrej & Boncina, Andrej, 2013. "Probabilistic typology of management decision making in private forest properties," Forest Policy and Economics, Elsevier, vol. 27(C), pages 34-43.
    14. Muhammad Shahid Qureshi & Saadat Saeed & Syed Waleed Mehmood Wasti, 2016. "The impact of various entrepreneurial interventions during the business plan competition on the entrepreneur identity aspirations of participants," Journal of Global Entrepreneurship Research, Springer;UNESCO Chair in Entrepreneurship, vol. 6(1), pages 1-18, December.
    15. Szu‐Szu Ho & Rosie Stenhouse & Aisha Holloway, 2020. "Understanding HIV‐positive drug users’ experiences of taking highly active antiretroviral treatment: Identity–Values–Conscious engagement model," Journal of Clinical Nursing, John Wiley & Sons, vol. 29(9-10), pages 1561-1575, May.
    16. Alexandre Cabagnols & Ali Maâlej & Pierre Mauchand & Olfa Kammoun, 2022. "The determinants of entrepreneurial intention of scientist PhD students: analytical vs emotional formation of the intention," Insights into Regional Development, VsI Entrepreneurship and Sustainability Center, vol. 4(4), pages 63-82, December.
    17. Diwanji, Vaibhav S. & Cortese, Juliann, 2020. "Contrasting user generated videos versus brand generated videos in ecommerce," Journal of Retailing and Consumer Services, Elsevier, vol. 54(C).
    18. Carlos Bazan, 2022. "Effect of the University’s Environment and Support System on Subjective Social Norms as Precursor of the Entrepreneurial Intention of Students," SAGE Open, , vol. 12(4), pages 21582440221, October.
    19. Nouman Khurram & Umair Saeed, 2015. "Factors Influencing the Intention of People to Use Islamic Banking: An Evidence from Lahore, Pakistan," International Journal of Economics and Empirical Research (IJEER), The Economics and Social Development Organization (TESDO), vol. 3(8), pages 411-418, August.
    20. Agneta Larsson & Mats Westerberg & Lena Karlqvist & Gunvor Gard, 2018. "Teamwork and Safety Climate in Homecare: A Mixed Method Study," IJERPH, MDPI, vol. 15(11), pages 1-12, November.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:15:y:2023:i:3:p:2723-:d:1055723. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.