Indonesian Chamber of Commerce and Industry Emphasizes the Importance of Financial Literacy in the Digital Age
Navigasi - The ease of accessing financial services through fintech causes several risks if it is not accompanied by an adequate level of knowledge.
|Indonesian Chamber of Commerce and Industry Emphasizes the Importance of Financial Literacy in the Digital Age|
The Investment Alert Task Force (SWI) reported that total losses from fraudulent investments over the last 10 years reached Rp. 117.5 trillion and as of May 2022 around 1,120 illegal investment platforms have been blocked.
This phenomenon became the focus of the public discussion "Digital Transformation as a Driver of Financial Literacy Growth" held by the Indonesian Chamber of Commerce and Industry's Digital Finance Development Agency (KADIN BPKD).
This discussion aims to reveal efforts to improve financial literacy from the perspective of regulators, business actors, and the public.
Head of KADIN BPKD, Pandu Sjahrir hopes that this discussion can encourage collaboration between stakeholders to build public trust in the fintech sector which has grown rapidly in the last four years.
"I like to use the analogy of fintech as a 'miracle baby' seeing the current industry growth is very fast at an early age," said Pandu in a press release quoted on Tuesday (6/9/2022).
However, according to Pandu, the community must pursue this growth, because the growth of Financial Sector Technology Innovation which has expanded access to digital financial services has not been matched by a good level of financial literacy in the community.
The gap between the level of inclusion and literacy is also a gap that is vulnerable to being exploited by fraudsters under the guise of investment. Based on the OJK survey in 2019, the level of financial literacy is still at 38.03 percent even though the level of financial inclusion has reached 76.19 percent.
This means that most Indonesians who have participated in the financial sector do not really understand the financial products and services that are used.