Analysis of Perceived Ease of Use, Usefulness, and Security Towards Usage of E-Money Payment System and The Effect of Government Regulations

Abstract

The use of e-money has been growing from each year since its introduction the the country of Indonesia. With the GNTT policy published by Bank Indonesia published in 2014 aiming to make Indonesia into a “cashless society”, the government has made electronic money into one of the national payment gateway and published a regulation enforcing the use of e-money; regulation published by the Minister of Employment and Housing 16/PRT/M/2017 states that tollbooth payment must be paid using electronic money and it has been applied since October 17, 2017. This research uses technology acceptance model (TAM) theory to determine the correlation between users perceived ease of use (PEOU), perceived usefulness (PU), and perceived risk (PR) and e-money usage. The results show that PEOU and PU has positive effect on the use of e-money, but PR has no relationship with the use of e-money. This research also correlates government regulations with users’ perception and e-money usage. Government regulations has positive relation on PU, but negative and non-significant relation with PEOU and PR. It is also discovered that government regulations positively effects e-money usage. This research is aimed to provide insight on what drives people to use e-money and the effect of government regulations on it. It is hoped that this research can aid institutions that utilize e-money payment system to improve their currently existing system and to government who seek to make Indonesia into a “cashless society”.