The causality among e-money, manufacturing, services and money supply: an empirical evidence of ASEAN countries

Heryadi Heryadi (Faculty of Economics, Sriwijaya University, South Sumatra, Indonesia)
Azwardi Azwardi (Faculty of Economics, Sriwijaya University, South Sumatra, Indonesia)
Sukanto Sukanto (Faculty of Economics, Sriwijaya University, South Sumatra, Indonesia)

Jurnal Perspektif Pembiayaan dan Pembangunan Daerah
Vol. 8 No. 3 (2020): Jurnal Perspektif Pembiayaan dan Pembangunan Daerah

The economic transition happened in ASEAN countries caused the increased growth of e-money use. This study was established to discover the causal relation between the growth in manufacturing and service sector and the e-money usage through causality panel approach. Furthermore, this study also focused on finding the causality among the economic growth in manufacturing and service sector, e-money and money supply during 2008-2018 period in the region. The result of the study showed that: (1) there was a one-way causality between the growth in service sector and e-money use, (2) there was no causality between e-money use and the growth in manufacturing sector (3) the growth of money supply provided causal effect on the increase of e-money use.