Digital Financial Inclusion and Payment Growth: A Comparative Assessment of Malaysia and Indonesia

Abstract

Digital financial inclusion has accelerated in Southeast Asia, particularly in Malaysia and Indonesia, where e-wallets and QR-based payments are reshaping financial behaviour and expanding access to digital services. This conceptual study examines the determinants of digital payment growth in both countries by integrating three behavioural theories (TAM, UTAUT, TRI), peer-reviewed literature, national policy frameworks, and Scopus AI–generated thematic and conceptual analyses. The findings show that Malaysia’s adoption is driven mainly by perceived usefulness, security assurance, and regulator-led infrastructure such as DuitNow QR, while Indonesia’s adoption is influenced by technology readiness, merchant compatibility, and the widespread diffusion of QRIS among MSMEs. Persistent challenges include digital literacy gaps, uneven infrastructure, trust and security concerns, and differences in regulatory maturity. Emerging themes which are environmental sustainability, Sharia-compliant digital finance, strengthened legal frameworks, and culturally grounded initiatives further explain variations in adoption behaviour and inclusion outcomes. The study proposes an integrated conceptual framework linking structural, behavioural, and ecosystem-level factors, and highlights differentiated policy priorities to strengthen inclusive, resilient, and sustainable digital financial systems in both countries.