Analysis of the Modern Era's Financial and Islamic Economic Importance

Abstract

Islamic finance is a system that originates from the Al-Quran and Sunnah, as well as from the interpretations of the scholars of these sources of revelation. In its various forms, the structure of Islamic finance has been a civilization that has remained unchanged for fourteen centuries. The public seems to be increasingly aware that the concept of Islamic economics has become more open, this is evidenced by the presence of non-Muslim customers who choose Islamic banks, even some conventional financial institution entrepreneurs are starting to look at Islamic banking and opening sharia businesses. The interaction of non-Muslims towards the sharia economy has more or less changed the mindset and unfounded suspicions towards Muslims as well as eroded the attitude of Islamophobia. With the emergence of a growing sharia economy, the paradigm of thinking of non-Muslims towards Islam is increasingly changing, becoming more open, and leading positively. In order to have a more significant impact on the economy, the Islamic financial system needs to have a more significant portion of total financial assets, namely at least 20 percent. Therefore, the government, central bank and economic agencies concerned with the Islamic financial system need to work harder