ROLE OF ICT AS A CONTINGENCY FACTOR IN FINANCIAL SECTOR DEVELOPMENT, REMITTANCES, AND ECONOMIC GROWTH NEXUS: AN EMPIRICAL STUDY OF INDONESIA

Authors

Keshmeer Kanewar Makun, University of the South Pacific, FijiFollow
T.K. Jayaraman, University of Tunku Abdul Rahman, MalaysiaFollow

Document Type

Article

Abstract

This study examines the role of ICT as a factor in Indonesia’s financial sector development, remittances, and economic growth nexus using annual data from 1984-2017. We use the bounds testing procedure based on the Autoregressive Distributed Lag framework and the neoclassical growth model. The findings of the study reveal that ICT has indeed emerged as a significant factor in the remittance-growth nexus by playing a complementary role in financial sector development. The policy implication is that ICT needs to be supported at all levels and the financial inclusion process should be carried forward as it has all the potential to speed up economic growth and development.

Recommended Citation

Makun, Keshmeer Kanewar and Jayaraman, T.K. (2020) "ROLE OF ICT AS A CONTINGENCY FACTOR IN FINANCIAL SECTOR DEVELOPMENT, REMITTANCES, AND ECONOMIC GROWTH NEXUS: AN EMPIRICAL STUDY OF INDONESIA," Bulletin of Monetary Economics and Banking: Vol. 23: No. 3, Article 6.
DOI: https://doi.org/10.21098/bemp.v23i3.1180
Available at: https://bulletin.bmeb-bi.org/bmeb/vol23/iss3/6

First Page

365

Last Page

388

Creative Commons License

This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License

Country

Fiji

Affiliation

University of the South Pacific