The Role of Digital Literacy of Electronic Transactions in Optimizing Regional Income in Probolinggo City

Abstract

Fundamental changes in the Industry 4.0 era through digital transformation have shifted manual processes into digital ones, creating new value in the financial sector through digital-based electronic transactions. Digital literacy plays a crucial role in accelerating the implementation of the Electronic-Based Government System. The regional digitalization mandate in Presidential Decree Number 3 of 2021 concerning the Task Force for the Acceleration and Expansion of Regional Digitalization aims to speed up and broaden regional digitalization, making digital literacy essential alongside this acceleration. The Electronification of Regional Government Transactions introduces new values such as clean governance and effective, efficient, transparent, and accountable financial management to optimize regional revenue and fiscal health. In electronic transactions, digital literacy includes understanding and the ability to use digital technology for financial activities such as money transfers, online shopping, bill payments, and other transactions. Community digital literacy reflects people’s habits and behaviors in living alongside technology daily. The higher the community’s digital literacy, the faster regional digitalization will expand, optimizing regional revenue and improving fiscal health.