Proceedings of the Conference on SDGs Transformation through the Creative Economy: Encouraging Innovation and Sustainability (TCEEIS 2023)

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Gold Door For Increasing MSMEs Income: The Role Of Sharia Financial Literacy

Authors
Sukma Irdiana1, *, Ainun Jariah2, Ninik Lukiana3, Kusnanto Darmawan4, Kurniawan Yunus Ariyono5, Mohammad Noor Khairullah6
1Management Study Program, Institut Teknologi Dan Bisnis, Widya Gama Lumajang, Lumajang, Indonesia
2Management Study Program, Institut Teknologi Dan Bisnis, Widya Gama Lumajang, Lumajang, Indonesia
3Management Study Program, Institut Teknologi Dan Bisnis, Widya Gama Lumajang, Lumajang, Indonesia
4Management Study Program, Institut Teknologi Dan Bisnis, Widya Gama Lumajang, Lumajang, Indonesia
5Management Study Program, Institut Teknologi Dan Bisnis, Widya Gama Lumajang, Lumajang, Indonesia
6Management Study Program, Institut Teknologi Dan Bisnis, Widya Gama Lumajang, Lumajang, Indonesia
*Corresponding author. Email: sukmapasah@gmail.com
Corresponding Author
Sukma Irdiana
Available Online 11 January 2024.
DOI
10.2991/978-94-6463-346-7_26How to use a DOI?
Keywords
—Sharia Financial Literacy; Increased Income; MSMEs
Abstract

The low performance of MSMEs in Indonesia is often attributed to their limited access to capital, which, in turn, stems from a lack of financial knowledge and understanding concerning MSMEs and their dealings with financial institutions. Despite Indonesia’s predominantly Muslim population, Islamic finance, which operates in accordance with Islamic law, has struggled to gain a significant market share in the country. This research primarily aims to gauge the level of Sharia financial literacy among MSMEs, with a particular focus on street vendors in the vicinity of the Anas Machfud Grand Mosque in Lumajang. Additionally, the study endeavors to identify the factors influencing Sharia financial literacy and evaluate their impact on the growth of local MSMEs. The research methodology involves both descriptive and explanatory surveys conducted among 31 MSMES participants. Descriptive analysis is utilized to scrutinize the gathered data, while a simple regression test is employed to discern relationships among the variables studied. The research findings underscore the positive correlation between enhanced knowledge of Sharia financial literacy and increased income for MSMEs situated near the Anas Machfud Lumajang Grand Mosque. These results affirm the pivotal role of financial literacy in propelling the development of MSMEs, particularly in this specific area.

Copyright
© 2023 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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Volume Title
Proceedings of the Conference on SDGs Transformation through the Creative Economy: Encouraging Innovation and Sustainability (TCEEIS 2023)
Series
Advances in Economics, Business and Management Research
Publication Date
11 January 2024
ISBN
978-94-6463-346-7
ISSN
2352-5428
DOI
10.2991/978-94-6463-346-7_26How to use a DOI?
Copyright
© 2023 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

Cite this article

risenwbib
TY  - CONF
AU  - Sukma Irdiana
AU  - Ainun Jariah
AU  - Ninik Lukiana
AU  - Kusnanto Darmawan
AU  - Kurniawan Yunus Ariyono
AU  - Mohammad Noor Khairullah
PY  - 2024
DA  - 2024/01/11
TI  - Gold Door For Increasing MSMEs Income: The Role Of Sharia Financial Literacy
BT  - Proceedings of the Conference on SDGs Transformation through the Creative Economy: Encouraging Innovation and Sustainability (TCEEIS 2023)
PB  - Atlantis Press
SP  - 138
EP  - 141
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-346-7_26
DO  - 10.2991/978-94-6463-346-7_26
ID  - Irdiana2024
ER  -