THE INFLUENCE OF DIGITAL FINANCIAL LITERACY ON SME SUSTAINABILITY AND ITS IMPACT ON FINANCIAL WELFARE

Abstract

This research intends to explain the influence of digital financial literacy on the sustainability of MSMEs and its impact on financial well-being. The research method uses a qualitative descriptive method. This study used descriptive qualitative method. Qualitative research is descriptive and usually uses an inductive approach to analysis. This research is descriptive in nature, explaining the phenomena that occur in connection with the research in question. The goal of qualitative research is to study current trends and events. However, the aim of this study is to provide solutions and understanding regarding digital financial literacy so that it will increase the resilience and sustainability of small and medium industries in facing conditions of market uncertainty , the impact of which will improve financial welfare. This research concludes that for someone to be financially successful, management skills in the field of financial analysis and investment are needed, and financial resilience can be achieved. Financial literacy , especially digital literacy , is a complex issue in improving business sustainability, which will ultimately improve the financial well-being of entrepreneurs . This research shows that financial literacy , especially digital literacy , improves business sustainability. Business sustainability will have an impact on financial well-being and financial literacy will improve financial well-being. Encouraging literacy is very important so that SMEs can survive and be sustainable, which will ultimately have an impact on financial well-being. In conclusion, digital financial culture has a significant impact on the performance and sustainability of MSMEs. By increasing digital financial literacy , MSMEs can improve their business and ensure the sustainability of their business in the long term. Digital financial literacy also has a significant impact on financial well-being, so it is very important for MSMEs to pay attention to it and develop.