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This article presents a theoretical review of the relationship between monetary policy and inflation rates in developing countries. High inflation remains a major challenge for developing economies due to global price fluctuations, import dependency, and weak domestic economic structures. Monetary policy instruments such as policy interest rates, open market operations, and reserve requirements play a vital role in controlling inflation, although their effectiveness is often hampered by shallow financial markets, low financial inclusion, and limited central bank credibility. Moreover, external factors such as imported inflation reduce the ability of monetary policy to maintain price stability. This study highlights the importance of digital innovation, including the use of big data, digital payment systems, and real-time analytics to enhance monetary policy effectiveness. It concludes that structural reforms, stronger central bank credibility, and strategic adoption of digital innovation are essential to achieve price stability and sustainable economic growth in the globalization era.

Macroeconomic uncertainty poses a structural challenge for the sustainability of micro, small, and medium enterprises (MSMEs) in Indonesia. Fluctuations in inflation, benchmark interest rates, and exchange rates have a direct impact on liquidity, cost structures, and investment decisions. This study aims to explore the types of financial strategies adopted by MSMEs in response to macroeconomic pressures using a systematic literature review and secondary data analysis covering the period from 2019 to May 2024. Data were sourced from official national institutions, including the Central Bureau of Statistics, Bank Indonesia, the Ministry of Cooperatives and MSMEs, as well as relevant academic literature. The findings reveal that MSME financial strategies can be categorized into three key domains: cash management, cost control, and investment planning. MSMEs employing flexible strategies—such as increasing cash buffers, reducing operational costs, and diversifying products or financing sources—demonstrate higher resilience in the face of economic volatility. This study contributes theoretically by enriching the framework of financial adaptation for MSMEs and practically by informing financial literacy programs and policy design. The study also acknowledges limitations in the use of aggregate secondary data and recommends that future research adopt a mixed-method approach to capture undocumented informal financial practices at the grassroots level

This study aims to analyze the impact of monetary policy on income inequality in Indonesia over a certain period of time. Monetary policy implemented by Bank Indonesia plays an important role in maintaining macroeconomic stability through instruments such as interest rates, inflation, and the amount of money in circulation. However, the implementation of this policy also has an impact on the distribution of community income. This study uses a quantitative approach with secondary data in the form of time series analyzed using econometric regression methods to measure the effect of monetary policy variables on the income inequality index (Gini Ratio). The results of the study show that variables such as the benchmark interest rate and inflation have a significant relationship to income inequality. When inflation increases, the purchasing power of the lower middle class decreases more sharply than the upper class, thus widening the gap in inequality. Conversely, controlling inflation through appropriate interest rates can help reduce economic disparities. This study provides important meaning for policy makers to pay more attention to the distribution aspect in determining monetary policy so that economic growth can be more inclusive and equitable.

This study aims to analyze the effect of monetary policy on economic growth in Indonesia. Monetary policy is an important instrument in maintaining macroeconomic stability and supporting growth, through regulating interest rates, money supply, minimum reserve requirements, and open market operations. This study uses a qualitative descriptive approach by analyzing the role of each monetary indicator and its impact on the real sector. The results of the study indicate that effectively implemented monetary policy is able to stabilize inflation, regulate banking liquidity, maintain the stability of the rupiah exchange rate, and support sustainable economic growth. In addition, the implementation of a dual monetary system in Indonesia provides additional flexibility in monetary management. This study also emphasizes the importance of harmonious coordination between monetary and fiscal policies in order to create optimal synergy in achieving national economic goals.    

In recent years, both global and domestic economic uncertainties have increasingly influenced the movement of Indonesia’s JCI and GDP. This study aims to examine how various factors including news sentiment, exchange rates, and interest rates affect the JCI as a proxy for economic growth expectations, and GDP as a reflection of actual economic growth. Using quarterly data from 2016 to 2024, the analysis is conducted through the Auto Regressive Distributed Lag (ARDL) model to identify both short-term and long-term effects. The results show that these variables collectively have a significant impact on both the JCI and GDP. In the short term, the JCI is found to respond more quickly to changes in information and policy, reinforcing its role as a leading indicator. In contrast, GDP responds more slowly, with exchange rates and the BI interest rate showing a significant influence in the long term. These findings highlight that economic information and policies may affect the financial market and the real economy differently, underscoring the importance of understanding expectation dynamics in assessing the direction of Indonesia’s economic growth.

This study aims to analyze the comparison of solvency levels and claim payment abilities between two general insurance companies in Indonesia, PT Asuransi Dayin Mitra Tbk (ASDM) and PT Asuransi Jasa Tania Tbk (ASJT), considering the macroeconomic conditions in 2023. The methods used are qualitative and quantitative comparative analyses based on the audited financial statements and annual reports of both companies, as well as a review of macroeconomic data from official sources. The findings indicate that ASDM and ASJT managed to achieve positive performance despite economic challenges, with ASJT recording higher growth in premiums and net income. Both companies maintained solvency ratios above regulatory thresholds and controlled claims ratios. Business strategy adaptation, sound governance, and effective risk management contributed to these achievements. Macroeconomic factors such as inflation, interest rates, and exchange rates were found to influence the performance of both companies, with varying levels of sensitivity depending on their market segment focus. These findings provide valuable insights into the dynamics of the insurance business in Indonesia and highlight opportunities and challenges that industry stakeholders need to anticipate..

This study uses a quantitative associative technique to examine how Indonesia's digital economy contributes to economic growth. For the years 2014–2023, secondary data were acquired from the Central Bureau of Statistics, Bank Indonesia, and the World Bank. The Two-Stage Least Square (TSLS) method and a simultaneous model with two equations were used to analyze the impact of monetary variables (interest rates, money supply, and inflation) and digital economy variables (internet users, e-commerce growth, and e-money users) on economic growth. The findings indicate that while e-commerce expansion and inflation have a negligible negative impact on economic growth, internet and e-money users have a large beneficial impact. In the meanwhile, inflation is significantly impacted positively by the money supply and negatively by interest rates and economic growth. These results highlight how crucial it is to manage monetary factors and improve digital infrastructure in order to promote Indonesia's economic growth in the digital age.

Article 26 Income Tax (PPh Article 26) is a tax imposed on income received by foreign taxpayers from sources within Indonesia. This tax applies to foreign entities or individuals who do not reside, are not domiciled, and do not have a permanent establishment in Indonesia. Types of taxable income include interest, dividends, royalties, rent, and service fees. The standard tax rate is 20% of the gross income, but it can be reduced if a Double Tax Avoidance Agreement (DTAA) exists between Indonesia and the taxpayer’s country. The Indonesian income payer is responsible for withholding the tax. After withholding, the tax must be paid to the government by the 10th of the following month and reported to the tax authority by the 20th. To apply DTAA rates, the foreign taxpayer must submit a Certificate of Domicile (CoD). This mechanism ensures that Indonesia maintains its right to tax income derived within its territory. By understanding the procedures for withholding, paying, and reporting Article 26 tax, taxpayers can fulfill their tax obligations correctly and avoid administrative penalties.

Stock return refers to the gain that investors may obtain when allocating their funds in the capital market. The stock returns of infrastructure sector companies experienced consecutive declines over the three-year period from 2021 to 2023. These declines may be attributed to both internal and external factors affecting the companies. The purpose of this study is to examine the effects of profitability, liquidity, inflation, and interest rates on stock returns. This research was conducted on infrastructure sector companies listed on the Indonesia Stock Exchange for the period 2021–2023. The study employed quantitative data derived from secondary sources published by the Indonesia Stock Exchange and Bank Indonesia. The sample comprised all 56 companies in the population, selected using a saturated sampling method. The research employed a non-participant observation method. The analytical technique used was multiple linear regression. The results show that profitability has a positive and significant effect on stock returns, while liquidity, inflation, and interest rates do not have a significant effect on stock returns. These findings suggest that profitability serves as an important signal for investors when making investment decisions.

Article 26 of the Indonesian Income Tax Law (PPh Pasal 26) is a significant fiscal regulation that imposes withholding tax on income derived from Indonesian sources and received by foreign taxpayers who do not have a permanent establishment (PE) in Indonesia. The implementation of this regulation plays a crucial role in securing state revenue from cross-border transactions while also addressing the issue of double taxation through Double Taxation Avoidance Agreements (DTAAs). Income subject to PPh 26 includes dividends, interest, royalties, rent, service fees, rewards, pensions, and insurance premiums. The standard withholding tax rate is 20% of the gross or estimated net income, although lower rates may apply depending on applicable tax treaties. The calculation method varies depending on the type of income and the existence of a DTAA. This article also highlights the importance of determining the beneficial owner in applying tax treaty benefits, as well as the challenges faced by companies and tax authorities in enforcement. A case study is presented to illustrate how PPh 26 is calculated on insurance and reinsurance transactions involving foreign entities. Understanding the mechanism, rates, and legal context of PPh 26 is essential for taxpayers and practitioners to ensure compliance and mitigate potential tax disputes.

This study provides a comprehensive synthesis of ten SINTA-accredited journal articles (levels 1–3) published from 2019 to 2024, examining how a low-interest-rate policy environment affects corporate capital structure in Indonesia. We focus on internal determinants (profitability, firm size, asset composition) versus external factors (market interest rates) in shaping firms’ debt ratios. The meta-analysis results indicate that although low interest rates statistically encourage higher leverage (average coefficient +0.28), internal firm characteristics remain the dominant drivers of capital structure decisions. Approximately 80% of studies report that more profitable firms tend to reduce debt ratios, consistent with the pecking order theory. In the post-pandemic context, low rates initially facilitated cheap borrowing, but heightened economic uncertainty underscores the need for managers to align funding strategy with each firm’s risk profile. The study draws practical implications: financial managers should calibrate capital structure in line with profitability and market volatility, while regulators should monitor corporate debt growth to safeguard financial stability. The findings also suggest directions for future research on how evolving macroeconomic conditions influence corporate finance in Indonesia.

One of the applications of annuities in society is a credit financial instrument. In the credit system there are many risks, so this study is to compare the installment system according to the fastest and longest sample periods in credit with the ordinary annuity method system and maturity, in addition this study aims to see the movement of installments using flat interest and effective interest. The calculation results for a loan of Rp 17,915,000, within 11 months with 24% interest show the largest total interest on the flat interest type of Rp3,941,300 and the smallest total interest on the annuity interest due of Rp1,825,879. Meanwhile, the calculation of the second sample with a loan of Rp17,915,000, within 35 months with an interest of 17.32% obtained the largest total interest on the flat interest type of Rp9,050,055, with the smallest total on the effective interest type of Rp4,339,610, but only slightly different from the total interest on the annuity due of Rp4,347,542. From these results, creditors are advised to choose a credit in a period of 11 months with an annuity due, because the interest paid is much smaller than the 35-month period.

This study aims to examine the impact of systematic risk and interest rates on the stock returns of state-owned banks (Bank BUMN) listed on the Indonesia Stock Exchange during the period 2021–2023. Using a multiple linear regression approach, the study finds that neither systematic risk nor interest rates have a significant partial or joint effect on the stock returns of Bank BUMN. These findings indicate that in the context of the Indonesian stock market—particularly the state-owned banking sector—these factors may not necessarily be the primary determinants in shaping stock returns. The implication of these results is the importance of considering other variables that may play a greater role in explaining stock return movements, such as firm-specific microeconomic factors and investor expectations regarding the banks’ fundamental performance.

Using a case study of the Food and Beverage industry listed on the Indonesia Stock Exchange (IDX) between 2017 and 2022, this study seeks to examine the partial impact of financial performance on stock prices through Earnings Per Share (EPS). Ratios like Return on Assets (ROA), Return on Equity (ROE), EPS, and share prices are used to gauge financial performance. Using a saturated sampling method, 18 firms were chosen for the sample. Using a quantitative technique with a descriptive approach, this study performs data analysis using Structural Equation Modeling (SEM) with the aid of SmartPLS version 3. 0. According to the study's findings, ROA has a considerable impact on EPS but not on share values. ROE has no discernible impact on stock prices or EPS. Nevertheless, EPS is shown to be a mediating variable between ROA and ROE, both of which have a substantial impact on share values. Improving the efficiency and effectiveness of financial management is one of the recommendations, particularly in areas that have an impact on EPS, such as capital structure and profitability. When making investment decisions, investors should pay attention to financial performance metrics like stock values, EPS, ROA, and ROE. To gain a more thorough analysis, future academics are urged to consider more variables, such the Price to Earnings Ratio, Dividend Payout Ratio, and external elements such as inflation and interest rates.

Economic development in today's world has grown rapidly, leading to numerous changes in human life. By investing in the capital market, it becomes one of the alternatives for financing the community's economy and is easily accessible to the public. One of them is to invest in bond securities in issuer companies. However, by purchasing bonds in the capital market with the issuer company, in addition to providing benefits through interest rates, there are risks, including if the issuer company goes bankrupt. Under these conditions, the holder of the unsecured bond will be positioned as a concurrent creditor, whose repayment is made after the separatist and preferred creditor. Although not guaranteed collateral, bondholders still obtain legal guarantees of their rights through information disclosure, the role of trustees, and arrangements within the applicable legal framework.

In the first quarter of 2025, the Indonesian rupiah experienced a significant depreciation, weakening from approximately IDR 15,800 per USD in January to IDR 17,200 per USD by the end of March 2025. This study aims to identify and analyze the external and domestic factors contributing to the rupiah’s decline during this period. External pressure mainly stemmed from the U.S. Federal Reserve’s hawkish stance—maintaining its benchmark interest rate at 5.25%–5.50% which triggered capital outflows from emerging markets. Additionally, global geopolitical uncertainty, including tensions in Eastern Europe and trade frictions between the U.S. and China, raised the global risk premium and strengthened the U.S. dollar against the rupiah. On the domestic side, Indonesia’s trade deficit widened to USD 3.2 billion in Q1 2025 due to rising energy import demand amid surging global oil prices. Furthermore, the state budget deficit increased to IDR 104.2 trillion by March 2025 up 20% year on year undermining investor confidence. Using a qualitative descriptive method through content analysis of reports from Bank Indonesia, BPS trade statistics, and relevant media sources, this study finds that the combination of elevated U.S. interest rates, geopolitical tensions, trade imbalances, and fiscal deficits accelerated the depreciation of the rupiah. Policy recommendations include targeted foreign exchange intervention by Bank Indonesia, monetary tightening in line with global trends, fiscal consolidation to reduce the budget deficit, and export diversification to mitigate external shocks.

This study aims to analyze the causal relationship between interest rates, exchange rates, and inflation in Indonesia during the period 1994–2023 using the Vector Error Correction Model (VECM) approach. The data used are monthly time series secondary data obtained from the World Bank. The Johansen cointegration test results indicate a long-term relationship among the three variables. However, the Granger causality test finds no significant short-term causal relationship. The VECM estimation reveals that inflation is the most responsive variable in correcting long-term disequilibrium, while the exchange rate plays a dominant role in influencing both inflation and interest rates. The Impulse Response Function and Variance Decomposition results indicate that these variables interact dynamically, especially in the medium to long term. These findings highlight the importance of exchange rate stabilization and enhancing the effectiveness of monetary policy to maintain macroeconomic stability in Indonesia.

This study aims to examine the concept of money market equilibrium and the elements that influence it in the context of an open economy. Money market equilibrium occurs when the need for money is equal to the amount available at a certain interest rate. This study uses a quantitative descriptive methodology using secondary data from national financial reports and monetary indicators. The results of the analysis show that interest rates and national income are key variables that influence money market equilibrium. In addition, monetary policy implemented by financial authorities plays an important role in maintaining money market stability. These findings have a significant influence on the formulation of macroeconomic policies, especially in maintaining price stability and encouraging economic growth through efficient liquidity management.

Online lending has become an increasingly popular financial solution in Indonesia, providing easy access to funds for people who are not fully served by traditional financial institutions. Despite offering many conveniences, the rapid growth of online lending brings various risks, such as the rise of illegal online loans, high interest rates, and the potential misuse of users' personal data. This research aims to analyze consumer protection in online loan transactions, by reviewing existing regulations, such as Law No. 8/1999 on Consumer Protection, OJK Regulation No. 77/Pojk.01/2016, and the Electronic Information and Transaction Law (ITE Law). This research uses a normative legal research method with a statutory approach that prioritizes legal materials in the form of laws and regulations as the main reference. Data collection techniques are carried out through library research, analyzing relevant regulations and related literature. The results show that although these regulations already exist, the implementation of supervision and law enforcement is still weak, resulting in many violations harming consumers. Stricter supervision from OJK, strict sanctions against illegal fintech providers, and increased education to the public about their rights as consumers are needed. With more effective supervision and clearer regulations, it is hoped that the online lending industry can develop healthily and provide benefits without harming consumers.

This study aims to analyze the impact of the monetary and fiscal policy mix on Indonesia's economic growth during the COVID-19 pandemic in the period 2013-2023. Using the Simultaneous Regression method (Two-Stage Least Squares/2SLS), this study tests two simultaneous equations, namely the effect of exports, unemployment rate, and inflation on economic growth (GDP), as well as the effect of exchange rates (exchange rates), interest rates, and GDP on inflation. The results of the study indicate that exports and unemployment have a significant negative effect on economic growth, while inflation has a significant positive effect on GDP. Meanwhile, the exchange rate and interest rate have a significant effect on inflation, but GDP does not have a significant effect on inflation. The normality test shows that the data is normally distributed and the autocorrelation test does not detect any autocorrelation, so the model used is valid. The effectiveness of monetary policy through the exchange rate channel on economic growth was found to be positive, although not statistically significant. This finding emphasizes the importance of coordination between fiscal and monetary policies, maintaining exchange rate stability, controlling inflation, and efforts to restore the real sector and reduce unemployment to support sustainable economic growth in Indonesia. This study provides recommendations for the government and monetary authorities to strengthen policy synergy in facing economic challenges, especially during times of crisis, to ensure more effective national economic stability and recovery.