Good Corporate Governance in Digital Payment Systems: Strengthening Smes Competitiveness in Indonesia

Haanii Haritsa Yuzen; Baginda Parsaulian

Authors

Haanii Haritsa Yuzen Universitas Islam Negeri Sjech M. Djamil Djambek Bukittinggi
Baginda Parsaulian Universitas Islam Negeri Sjech M. Djamil Djambek Bukittinggi

Keywords:

Good Corporate Governance, Digital Payment System, SMEs, Competitiveness

Abstract

This study explores the role of Good Corporate Governance (GCG) in enhancing the competitiveness of Small and Medium Enterprises (SMEs) through the adoption of digital payment systems in Indonesia. Digital payments such as e-wallets, QRIS, and payment gateways have rapidly expanded in recent years, offering efficiency and market access for SMEs. However, issues related to transparency, accountability, security, and regulatory compliance remain significant challenges. The analysis focuses on how GCG principles transparency, accountability, responsibility, independence, and fairness are applied within digital payment systems and their implications for SMEs’ performance. The results indicate that strong governance practices, such as transparent fee structures, reliable application security, independent audits, and clear regulatory frameworks, foster higher trust among users and enable SMEs to expand their market reach and financial sustainability. Conversely, weak governance and poor disclosure reduce adoption rates and expose SMEs to higher risks. This study concludes that strengthening GCG implementation in digital payment ecosystems is crucial for building trust, improving competitiveness, and ensuring long-term resilience of SMEs in Indonesia’s digital economy.

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