iarjhssIARJHSSIARJHSS2708-6267https://doi.org/10.47310/iarjhss.2022.v03i02.009Analysis of Indonesia’s Poverty Alleviation Based on Digital Payment System in the COVID-19 EraLiaNazlianaNasutionDewiMahraniRangkutySatriaMayshandiPutraThe COVID-19 pandemic has had a multisectoral domino effect, but economic activity must continue. One solution is through the digital economy. The increasingly widespread use of digital-based payment systems and the increasing percentage of poverty in Indonesia in the COVID-19 era are the main problems of this research. Various previous research literature has revealed that digital payments can end poverty. Plus, the fact that Indonesia ranks fourth in the world with the most smartphone usage is certainly an advantage for digital payments to expand widely. The urgency of this research is essential to do in forming predictive models both in the short and long term in alleviating poverty based on digital payment systems during the pandemic in Indonesia. This study analyzes whether the digital payment system can affect poverty alleviation in Indonesia during the COVID-19 era with the simultaneous equation analysis method. The study results show that the digital payment system can reduce poverty in the COVID-19 era and increase Indonesia's economic growth. However, not all parts of the studied digital payment system were significantly impacted.