Digital Financial Behavior of Rural Farmer Households During the Covid-19 Pandemic

Abstract

This study aims to analyze the behavior of the digital economy of rural farmers in using direct cash assistance from the government during the Covid-19 pandemic. Direct cash assistance is a social protection program from the government to maintain the ability to have purchasing power in meeting the needs of life. The subjects of this study were people who had livelihoods as farmers in various villages in Semen District, Gampengrejo District and Ngasem District, Donomulyo District, Sumbermanjing Wetan District, Wates District, and Binangun District, East Java Province, Indonesia. This type of research is explanatory and the data analysis method is carried out descriptively. The sampling method was carried out using a simple random sampling method on groups of farmer households in the village within the period of April-June 2021. Meanwhile, data collection is carried out by conducting in-depth interviews, observations, and distributing questionnaires. The number of samples that can be collected from data collection are 760 respondents. The results of the study provide results that the behavior of the digital economy of rural farmers is influenced by cost, privacy, and social factors. Direct cash assistance provided by the government to farmers encourages changes in farmers' behavior in conducting non-cash transactions. To encourage the digitization of non-cash transactions, it is necessary: the existence of digital literacy activities for farmers through the provision of IT supporting facilities and infrastructure, assistance in the use of IT in financial transactions, and, the existence of regulations that can facilitate farmers' access to digital financial transaction activities.