ALIASUDDIN
Associate Professor at the Department of Economics, Faculty of Economics and Business, Universitas Syiah Kuala, Banda Aceh, Indonesia
aliasuddin@unsyiah.ac.id
Taufiq C. DAWOOD
Assistant Professor at the Department of Economics, Faculty of Economics and Business, Universitas Syiah Kuala, Banda Aceh, Indonesia
taufiq.dawood@unsyiah.ac.id
Nanda RAHMI
Assistant Professor at the Department of Economics, Faculty of Economics and Business, Universitas Syiah Kuala, Banda Aceh, Indonesia
nanda_rahmi84@unsyiah.ac.id
Abstract
This study analyzes the role of financial inclusion on poverty reduction in Aceh Province, the comparison between the core region (Banda Aceh) and periphery region (Aceh Besar). This study uses cross-sectional data from Banda Aceh and Aceh Besar with sample total of 598 and 686 households, respectively. The logistic model is used in this study. The results show that financial inclusion is negatively not significant in Banda Aceh but negatively significant in Aceh Besar. Meanwhile, sex and educational level are negatively significant in Banda Aceh and Aceh Besar, and family size is positively significant in both regions. The biggest marginal effect on poverty is sex in Banda Aceh and Aceh Besar regions. Female is more vulnerable to be poor compared to male in term of poverty
Keywords: financial inclusion, Aceh, poverty reduction, logistic
JEL classification: N95, B23, B26, I32