Financial Digitalization in Indonesia: Analysis of Fintech's Role in Promoting Financial Inclusion through Literature Study

The rapid advancement of financial technology (fintech) has emerged as a transformative force in Indonesia's financial landscape, particularly in addressing the persistent challenge of financial inclusion. This literature review examines the role of fintech in promoting financial inclusion in Indonesia through a comprehensive analysis of existing academic literature. The study synthesizes findings from 25 peer-reviewed sources to understand the current state, opportunities, and challenges of financial digitalization in the Indonesian context. The research reveals that while fintech has significantly contributed to expanding financial access, particularly in rural areas, challenges related to digital literacy, infrastructure, regulatory frameworks, and cybersecurity remain significant barriers. This paper provides insights into the complex relationship between technological innovation and financial inclusion in emerging markets, offering implications for policymakers, financial institutions, and technology providers.