Key Factors Driving Use of Digital Payment in Kalimantan Island: UTAUT Model

The rapid adoption of digital payment technology has transformed traditional payment methods in Indonesia, particularly in rural areas such as Kalimantan Island. The diverse infrastructure and geographical characteristics of Kalimantan, soon to be Indonesia's new capital, present opportunities and challenges for the extensive implementation of digital payment systems. This study employs 118 respondents and the Unified Theory of Acceptance and Use of Technology (UTAUT) model, utilizing Partial Least Squares Structural Equation Modelling (PLS-SEM), to examine the principal factors affecting the acceptance of digital payments in the region. The study examines four primary variables: performance expectations, effort expectancy, social influence, and facilitating conditions. The findings indicate that facilitating conditions influence actual use behavior by 15.5%, whereas effort expectancy exerts the most significant effect on behavioral intention at 52.7%. Performance expectancy and social influence exhibit reduced effects on behavioral intention, 14.2% and 13.2%, respectively. To promote the adoption of digital payments in rural regions where infrastructure remains underdeveloped, these findings underscore the importance of user-friendliness and simplicity. It is essential to address these factors to guarantee inclusive digital financial services for Kalimantan's diverse populace during its transition to Indonesia's capital.