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This research aims to explore the effects of financial literacy and technology adoption on the sustainability of MSMEs in Indonesia and Malaysia.

April 26, 2026Open Access

Financial literacy and technology adoption for the sustainability of micro small and medium enterprises: evidence from Indonesia and Malaysia MSME’S

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This research aims to explore the effects of financial literacy and technology adoption on the sustainability of MSMEs in Indonesia and Malaysia.
Utilized a quantitative approach with Structural Equation Modelling (SEM) via Partial Least Squares (PLS).
Investigated influences amidst challenges faced by MSMEs in the regions.
Focused on self-reported data from a modest sample size.
Financial literacy does not significantly affect the sustainability of Indonesian MSMEs.
Technology adoption shows a positive impact on sustainability in both Indonesia and Malaysia.
Highlights the necessity of digital capabilities for MSMEs in emerging economies.

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Quantitative study finds technology adoption boosts sustainability of MSMEs in Indonesia and Malaysia, suggesting vital implications for growth.

Edward et al. (2024) studied this question.

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Quantitative study finds technology adoption boosts sustainability of MSMEs in Indonesia and Malaysia, suggesting vital implications for growth.