Digital financial literacy and consumer financial behavior in emerging markets: Evidence from Indonesia
DOI:
https://doi.org/10.24914/jeb.v28i2.15565Keywords:
Digital financial literacy, shopping behavior, saving behavior, millennials indonesia, future shopping behavior, future saving behavior, yogyakarta, financial behaviorAbstract
This study examines the impact of digital financial literacy on the shopping and saving behaviors of Indonesian millennials, with a focus on both current practices and future financial intentions. As digital financial services proliferate in emerging markets, understanding their influence on consumer financial decision-making is increasingly vital. A quantitative approach using Structural Equation Modeling was employed to analyze data collected from 226 purposively selected Generation Z respondents (aged 17–27) residing in Yogyakarta. All participants actively use e-wallets, mobile banking, and fintech applications, and have prior experience with digital shopping and saving. The methodology ensured sample relevance and construct validity. Data were processed using LISREL 8.8 and SPSS 0.25. The findings reveal that higher levels of digital financial literacy significantly enhance strategic financial behavior, promoting responsible spending and consistent saving in both present and future contexts. Unlike prior research that emphasized financial inclusion, this study contributes to the literature by directly linking digital literacy with specific financial behaviors. The results highlight the need for targeted financial education to strengthen digital capabilities among youth. Practical implications are offered for educators, policymakers, and financial service providers to foster sustainable financial well-being among millennials in Indonesia and comparable developing economies.
Downloads
References
Adel, N. (2024). The impact of digital literacy and technology adoption on financial inclusion in Africa, Asia, and Latin America. Heliyon, 10(24), e40951. https://doi.org/10.1016/J.HELIYON.2024.E40951
Agarwal, S., Qian, W., Yeung, B. Y., & Zou, X. (2019). Mobile wallet and entrepreneurial growth. SSRN Electronic, 1–30. https://doi.org/10.2139/ssrn.3298266
Agarwal, S., & Zhang, J. (2020). FinTech, lending and payment innovation: A Review. Asia-Pacific Journal of Financial Studies, 49(3), 353–367. https://doi.org/10.1111/ajfs.12294
Ajzen, I. (1991). The theory of planned behavior. Organizational Behavior and Human Decision Processes, 50(2), 179–211. https://doi.org/10.1016/0749-5978(91)90020-T
Al-Afeef, M. A., & Alsmadi, A. A. (2025). Digital empowerment: Unraveling the impact of digital literacy on financial mastery. Discover Sustainability, 6(1), 1–11. https://doi.org/10.1007/S43621-025-01137-5/FIGURES/2
Allgood, S. A., & Walstad, W. (2012). The effects of perceived and actual financial literacy on financial behaviors. SSRN Electronic Journal, 1–53. https://doi.org/10.2139/ssrn.2191606
Alysa, A., Muthia, F., & Andriana, I. (2023). Pengaruh literasi keuangan digital terhadap perilaku menabung dan perilaku berbelanja pada generasi Z. Al-Kharaj: Jurnal Ekonomi, Keuangan & Bisnis Syariah, 6(3), 2811–2823. https://doi.org/10.47467/alkharaj.v6i3.4706
Amiruddin, Inayah, N., Adzim, S., Mayasari, A., & Aulinnia, V. (2022). The influence sequence picture on Indonesian ELT learners writing skill. ETDC: Indonesian Journal of Research and Educational Review, 1(2), 217–224. https://doi.org/10.51574/ijrer.v1i2.340
Ayuningtyas, M. F., & Irawan, A. (2021). the Influence of financial literacy on Bandung generation Z consumers impulsive buying behavior with self-control as mediating variable. Advanced International Journal of Business, Entrepreneurship and SMEs, 3(9), 155–171. https://doi.org/10.35631/aijbes.39012
Barberis, N. & Thaler, R. (2002). A Survey of Behavioral Finance. In Handbook of the Economics of Finance, 1, 1053–1128. https://doi.org/10.1016/S1574-0102(03)01027-6
Chen, H., & Volpe, R. P. (1998). An analysis of personal financial literacy among college students. Financial Services Review, 7(2), 107–128. https://doi.org/10.1016/s1057-0810(99)80006-7
Choung, Y., Chatterjee, S., & Pak, T. Y. (2023). Digital financial literacy and financial well-being. Finance Research Letters, 58, 104438. https://doi.org/10.1016/J.FRL.2023.104438
de Bassa Scheresberg, C. (2013). Financial literacy and financial behavior among young adults: Evidence and implications. Numeracy, 6(2), 1–21. https://doi.org/10.5038/1936-4660.6.2.5
Fadhilah, J. (2021). Analisis Pengaruh Faktor Internal, Pertumbuhan Ekonomi, dan Jumlah Perusahaan Fintech Terhadap Profitabilitas Perbankan (Studi pada Bank Umum Konvesional Yang Terdaftar di BEI tahun 2011-2020). Bachelor Thesis, Universitas Brawijaya.
Figures, K. E. Y., & Morgan, O. F. J. P. (2013). Annual report 2013 of J.P. Morgan AGg. https://www.jpmorgan.co.id/content/dam/jpm/global/disclosures/ID/Indonesia_annual_report2013.pdf
Frączek, B., & Klimontowicz, M. (2015). Financial literacy and its influence on young customers’ decision factors. Journal of Innovation Management, 3(1), 62–84. https://doi.org/10.24840/2183-0606_003.001_0007
Hair, J. F., Hult, G. T. M., Ringle, C.M. and Sarstedt, M. (2017). A Primer on Partial Least Squares Structural Equation Modeling (PLS-SEM) (2nd edition). Sage Publication.
Hamzah, A., & Suhendar, D. (2020). Financial inclusion model on the development of Batik SMEs in Cirebon regency. Jurnal Minds: Manajemen Ide Dan Inspirasi, 7(2), 95–104. https://doi.org/10.24252/minds.v7i2.16512
Haqiqi, A. F. Z., & Pertiwi, T. K. (2022). Pengaruh financial technology, literasi keuangan dan sikap keuangan terhadap perilaku keuangan generasi Z di era pandemi Covid-19 pada Mahasiswa UPN “Veteran” Jawa Timur. SEIKO : Journal of Management & Business, 5(2), 355–367. https://doi.org/10.37531/sejaman.v5i2.2301
Haryati, D. (2021). Fenomena cashless society pada generasi Milenial dalam menghadapi COVID-19. Business Innovation and Entrepreneurship Journal, 3(1), 32–37. https://doi.org/10.35899/biej.v3i1.202
Henager, R., & Cude, B. J. (2016). Financial literacy and long- and short-term financial behavior in different age groups. Journal of Financial Counseling and Planning, 27(1), 3–19. https://doi.org/10.1891/1052-3073.27.1.3
Herawati, N. T., Candiasa, I. M., Yadnyana, I. K., & Suharsono, N. (2018). Factors that influence financial behavior among accounting students in Bali. International Journal of Business Administration, 9(3), 30–38. https://doi.org/10.5430/ijba.v9n3p30
Hung, A., Parker, A. M., & Yoong, J. (2011). Defining and measuring financial literacy. SSRN Electronic Journal, 1–38 https://doi.org/10.2139/ssrn.1498674
Jöreskog, K. G., & Sörbom, D. (1993). LISREL 8: Structural equation modeling with the SIMPLIS command language. Scientific Software International: Lawrence Erlbaum Associates, Inc. https://psycnet.apa.org/record/1993-97878-000
Kotler, P., & Keller, K. (2009). Manajemen Pemasaran Global. Eureka Media Aksara.
Lone, U. M., & Bhat, S. A. (2024). Impact of financial literacy on financial well-being: A mediational role of financial self-efficacy. Journal of Financial Services Marketing, 29(1), 122–137. https://doi.org/10.1057/s41264-022-00183-8
Madhavapeddy, A., & Minsky, Y. (2022). A Guided Tour. In Real World OCaml: Functional Programming for the Masses (pp. 9–30). https://doi.org/10.1017/9781009129220.004
Menberu, A. W. (2024). Technology-mediated financial education in developing countries: A systematic literature review. Cogent Business and Management, 11(1), 2294879. https://doi.org/10.1080/23311975.2023.2294879
Mishra, D., Agarwal, N., Sharahiley, S., & Kandpal, V. (2024). Digital Financial Literacy and Its Impact on Financial Decision-Making of Women: Evidence from India. Journal of Risk and Financial Management, 17(10), 468. https://doi.org/10.3390/JRFM17100468
Misnawati, M., & Sumarni, I. (2020). Pengaruh harga terhadap keputusan pembelian obat-obatan di Apotek Zafira Ruhama. Jurnal Administrasi Publik dan Administrasi Bisnis, 3(2), 1322–1331.
Moenjak, T., Kongprajya, A., & Monchaitrakul, C. (2020). Fintech, financial literacy, and consumer saving and borrowing: The case of Thailand. ADBI Working Paper Series, No. 1100.
Nizar, M. (2017). Teknologi keuangan (fintech): Konsep dan implementasinya di Indonesia (Warta Fiskal Edisi 5). Badan Kebijakan Fiskal-Kementerian Keuangan RI.
Normawati, R. A., & Santoso, E. E. (2023). Digital financial literacy pada Milenial: Pendekatan knowledge, attitude dan behavior (KAB Model). Jurnal Ilmiah Mahasiswa Manajemen, 5(1), 44–62. https://doi.org/10.32639/jimmba.v5i1.253
OECD. (2016). OECD Science, Technology and Innovation Outlook 2016. Organisation for Economic Co-operation and Development.
Oppenheim, C., Grogan, J., Hannabuss, S., Rowland, F., Baker, D., & Kinnell, M. (2015). Book reviews. Library and Information Research, 21(69), 26–36. https://doi.org/10.29173/lirg666
Peng, T. C. M., Bartholomae, S., Fox, J. J., & Cravener, G. (2007). The impact of personal finance education delivered in high school and college courses. Journal of Family and Economic Issues, 28(2), 265–284. https://doi.org/10.1007/s10834-007-9058-7
Priyanto, F. P., Purwanto, H., & Dessyarti, R. S. (2021). Simba Seminar Inovasi Majemen Bisnis dan Akuntansi 3 Pada Tokopedia Melalui Minat Beli. Simba, 3, 1–17.
Putri, A., & Miharti, I. (2021). Analisis literasi keuangan dan pendapatan terhadap perencanaan keuangan pada dana pendidikan anak. Jurnal Imiah Manajemen Dan Bisnis, 4(2), 174–186. https://doi.org/10.37479/jimb.v4i2.11600
Rahayu, R. (2022). Analisis faktor-faktor yang mempengaruhi tingkat literasi keuangan digital: Studi pada Generasi Z di Indonesia. Reviu Akuntansi Dan Bisnis Indonesia, 6(1), 74–87. https://doi.org/10.18196/rabin.v6i1.14268
Raszad, S. E. F., & Purwanto, E. (2021). Faktor-faktor yang mempengaruhi perilaku menabung (Studi pada Mahasiswa Perguruan Tinggi Negeri di Kota Surabaya). Jurnal Ilmiah Manajemen Ubhara, 3(2), 51–65. https://doi.org/10.31599/jmu.v3i2.966
Respati, D. K., Widyastuti, U., Nuryati, T., Musyaffi, A. M., Handayani, B. D., & Ali, N. R. (2023). How do students’ digital financial literacy and financial confidence influence their financial behavior and financial well-being? Nurture, 17(2), 40–50. https://doi.org/10.55951/nurture.v17i2.154
Sarah Y. Moore , Leon Grunberg, A. J. K. (2014). The relationship between work and home: Examination of white and blue-collar generational differences in a large U.S. organization. Psychology and Education Journal, 5(15), 1768–1776. https://doi.org/10.4236/psych.2014.515183
Sivaramakrishnan, S., Srivastava, M., & Rastogi, A. (2017). Attitudinal factors, financial literacy, and stock market participation. International Journal of Bank Marketing, 35(5), 818–841. https://doi.org/10.1108/IJBM-01-2016-0012
Stevani, W., & Sudirman, L. (2021). Urgensi perlindungan data pengguna financial technology terhadap aksi kejahatan online di Indonesia. Journal of Judicial Review, 23(2), 197–216. https://doi.org/10.37253/jjr.v23i2.5028
Sugiyono, S. (2017). Metode Penelitian Kuantitatif, Kualitatif dan R&D. Bandung: Alfabeta.
Sugiyono, S. (2019). Metode Penelitian Kuantitatif, Kualitatif dan R&D. Bandung: Alfabeta.
Sukirno, S. (2000). Makroekonomi Modern: Perkembangan Pemikiran dari Klasik hingga Keynesian Baru. Rajawali Press.
Tabri, N., & Elliott, C. M. (2012). Principles and practice of structural equation modeling. Canadian Graduate Journal of Sociology and Criminology, 1(1), 59–60.
Wardani, A. K., & Lutfi, L. (2019). Pengaruh literasi keuangan, experienced regret, risk tolerance, dan motivasi pada keputusan investasi keluarga dalam perspektif masyarakat Bali. Journal of Business & Banking, 6(2), 195–214. https://doi.org/10.14414/jbb.v6i2.996
Yadav, M., Banerji, P., & Garg, A. (2025). Digital financial literacy and retirement planning with mediating effect of saving behaviour. American Journal of Business, 40(3), 127–143. https://doi.org/10.1108/AJB-12-2023-0221
Yanto, H., Ismail, N., Kiswanto, K., Rahim, N. M., & Baroroh, N. (2021). The roles of peers and social media in building financial literacy among the millennial generation: A case of indonesian economics and business students. Cogent Social Sciences, 7(1), 1947579. https://doi.org/10.1080/23311886.2021.1947579
Zaimovic, A., Omanovic, A., Dedovic, L., & Zaimovic, T. (2025). The effect of business experience on fintech behavioural adoption among MSME managers: the mediating role of digital financial literacy and its components. Future Business Journal, 11(1), 1–22. https://doi.org/10.1186/S43093-025-00432-X
Zulaihati, S., Susanti, S., & Widyastuti, U. (2020). Teachers’ financial literacy: Does it impact on financial behaviour? Management Science Letters, 10(3), 653–658. https://doi.org/10.5267/j.msl.2019.9.014
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2025 Jurnal Ekonomi dan Bisnis
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.
Jurnal Ekonomi dan Bisnis is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License
