Analysis of Financial Technology, Financial Literacy, Financial Attitudes, on Mediated Business Performance Financial Inclusion and Self-Efficiency in Small Medium Industry (SMI) in Malang City, Indonesia

Purpose: This study aims to know IKM performance achieved from variable supporters including financial technology, financial literacy, and financial attitude, which is mediated by financial inclusion and self- efficacy. Theoretical framework: SMIs have an important role for local government and society in general. SMEs are one of the main contributors to creating jobs at the local level. By generating a diversification of economic activities, SMEs provide employment opportunities for the population, reduce the unemployment rate, and increase the economic welfare of the community. Design/Methodology/Approach: Research This use a sample of 335 attempts in Small Medium Industry (SMI) from 2581 businesses small town in Malang , Indonesia . The data analysis technique is Structural Equation Model (SEM) -SMART-PLS with outer model measurements obtained the loading factor value of each indicator. Findings: Research this results in direct and indirect influences between variables where Fintech has a direct influence on financial performance, financial inclusion and self-efficacy. Likewise, fintech has an indirect effect on SMI performance mediated by financial inclusion, while fintech has an indirect effect on SMI performance mediated by self-efficacy. Financial literacy has a direct effect on self-efficacy but does not have a direct effect on IKM performance mediated by financial inclusion, similarly financial literacy does not have a direct effect on SMI performance which is mediated by financial inclusion and self-efficacy. Financial attitude has a positive and significant direct effect on SME performance, financial inclusion and self-efficacy. Likewise, financial attitudes have an indirect effect on IKM performance which is mediated by financial inclusion, but financial attitudes do not have an indirect effect on SMI performance which is mediated by self-efficacy. Research, Practical & Social implications: This research is expected can give benefit for internal SMIs increase performance business, because IKM has an important role for local governments and society in general. Originality/value: This research explores SMIs which are one of the main contributors in creating employment opportunities at the local level. By generating a diversification of economic activities, SMEs provide employment opportunities for the population, reduce the unemployment rate, and increase the economic welfare of the community.