Islamic Economic Institutions Research Articles

PATTERNS OF ISLAMIC ECONOMIC INSTITUTIONS

The study of the Pattern of Islamic Economic Institutions is very important to be studied more deeply. This is because the study never ceases to be debated. The purpose of this paper is to understand 3 things: First, the Pattern of Islamic Economics. Second, Islamic Economic Institutions internal and external factors that affect society. Third, the positive and negative implications. The method used is literature review, with a descriptive approach based on qualitative theory, while data collection is descriptive and analyzed using content analysis techniques. The results found 3 things: First, there are 3 forms of Islamic Economic Patterns: Sharia Economy, Wellbeing, Islamic Banking. Second, internally there are 3 factors that influence: The methods of Islamic economic practice, Improving the quality of human resources, Expanding the number of Islamic Bank offices. As for externally there are 3 factors: Investor decline, public awareness, Muslim intellectual movement. Third, there are 3 positive implications: Anticipation of monopoly, Zakat and Rikaz policy, Impact of careful planning. Meanwhile, there are 3 negative implications: Limitation of Investment, complicated Akad for ordinary people, Decrease in Islamic Bank Customers. The conclusion that this paper shows that Islamic economics in principle and practice has the principle of justice and benefit. Keywords: Patterns, Institutions, Islamic Economics.

Waqf Business Model (WBM): Towards A Sustainable Social Business Model on The Mainstream Economics

The Waqf Business Model (WBM) represents an innovative and transformative approach to establishing a sustainable social business model within mainstream economics, rooted in Islamic economic principles. This paper explores the current state of waqf as an alternative model for social business, emphasizing its ability to combine social impact with long-term economic sustainability by preserving assets and generating ongoing revenue. It also advocates for integrating WBM into the mainstream economy to serve as a powerful mechanism for addressing the Sustainable Development Goals (SDGs). The paper highlights the challenges faced by traditional Islamic economic institutions, particularly waqf, which have struggled due to outdated management practices and a conceptual crisis regarding the role of waqf in modern economies. Revitalizing waqf institutions requires enhancing their capabilities and aligning them with contemporary business strategies. Additionally, this paper encourages future research to explore how WBM can be fully integrated into the existing economic ecosystem. In theory, WBM provides a framework for ethical and inclusive economies, while in practice, it has the potential to create self-sustaining institutions that reduce reliance on external aid, offering an innovative solution to global socio-economic challenges by blending sustainable innovation.

The role of Islamic economics and social institutions during the time of Covid-19

PurposeThis study aims to examine the role of Islamic economic and social institutions during Covid-19 and try to propose a model that highlights Islamic economics and social institutions’ role in providing community economic, social and health recovery support.Design/methodology/approachThis research uses a qualitative approach with a multicase method. Interviews with the institutions including the Amil Zakat, Islamic Banks, Micro Waqf Banks and Islamic Cooperative (Baitul Maal wat Tamwil) were conducted in order to develop a model about how the integration between each institution in handling the effect of COVID-19.FindingsThe model shows the interaction roles of each Islamic institution and implementation in the long term and short term in handling the impact of Covid-19, particularly in the economic, social and health sectors. These institutions will assist the government in establishing community economic independence in the face of COVID-19, which has caused economic sluggishness or recession.Research limitations/implicationsThis study proposes the model of synergy using a qualitative approach. Future studies can develop the synergy model by employing a statistical and quantitative method, such as by employing analytical network process method.Originality/valueThis study adds the literature about empirical evidence on the role of each Islamic economic and social institution and develops new scenario model about integration of those institutions in overcoming economic and social problems during the COVID-19 pandemic. These interactions play a role in shaping the community’s economic independence in dealing with the economic downturn due to COVID-19.

Waqf in Social and Cultural Dimensions

Waqf has succeeded in funding Islamic civilization projects from time to time and in social and economic development, so waqf plays a good role in achieving the welfare of a just and prosperous society. One of the Islamic economic institutions that plays a vital role in empowering the people’s economy is waqf. One of the goals of waqf is to create social justice for the people in line with the basic principles of the Indonesian state. The waqf process, starting from the wakif giving the waqf to be managed and providing benefits following the definition of waqf itself, is a kind of gift, the implementation of which is carried out by holding, so that it generates benefits but is not inherited in all its forms. Keywords: waqf, social, cultural

The Sharia Economic Institution's History In Indonesia

The goal of this research is to learn more about the institutionalization of the Islamic economy in Indonesia, which is a fair economic system that works to preserve social and political life within bounds that don't jeopardize the general welfare. This study employs a method known as a literature review or literature study. The findings of this study show that external factors, such as the establishment of Islamic banks in other nations, trade missions, and preaching that facilitate the implementation of the Islamic economic system, have played a significant role in the history of Islamic economic thought and institutionalization in Indonesia. The internal aspect is public awareness, namely Muslim intellectuals' efforts to adopt an Islamic-based economic system among Indonesia's mostly Muslim population. With several laws controlling Islamic contracts and goods, institutionalization, and systems run by Islamic banks in Indonesia, the Islamic economy has up until now continued to grow. The growth of Islamic economic institutions, however, still falls short of Islamic financial literacy, where knowledge of Islamic economics is still quite poor.

The Role of International Islamic Economic Institutions in Rationalizing Islamic Banks


 
 
 
 Praise be to Allah, Lord of the Worlds, and prayers and peace be upon His faithful Messenger and his family and companions until the Day of Judgment... and after
 Economy, trade, market, employment, growth and inflation ... are terms that have significance in the world of economy, closely related to banking, from organizing the movement of money and its transfer to managing cash liquidity and making profits, for banks to regulate the ways of commercial agreement between the contracting parties, with prior identification of the type of contracts and supervision of their implementation , in accordance with the direction of the bank, to appear types of banks that may be similar in many aspects of banking work, with difference in theories of achieving profit or development.
 
 
 
 
 Some of these banks depend on making profits through usurious transactions, and some of them are based on the adoption of development such as, Islamic banks based on the jurisprudence of financial transactions ,although they are new in their construction they are old in their thought and economic and jurisprudential performance, in terms of making money, agiotage, and participation. Islamic law is safer in terms of dealing, and more effective in terms of development, because it is far from relying on interest (usury) in the development of its assets; Here appears the role of Islamic economic institutions in directing Islamic banks to unite in terms of their orientation, and to organize their work in proportion to the economic changes, especially after the Corona pandemic, and the repercussions of the global market, which will have a negative impact on Muslim countries and the region in general.

Analysis of the Presence of the First Islamic Financial Institution and the Contribution of Muslim Scholars in Indonesia

In Indonesia, Islamic economic institutions started from establishing Islamic banking in 1991. This study aims to examine and describe the presence of the first Islamic financial institutions and specifically the contribution of the parties involved. This study analyzes descriptions from related literature sources. The findings of this study indicate that there are three prominent Muslim economists who have contributed greatly, namely Adiwarman A Karim, Syafi'i Antonio, and Karnaen A. Perwataatmadja. At the beginning of its establishment, Bank Muamalat Indonesia with the sharia concept was faced with the behavior of customers who previously used the services of conventional banks that applied the interest system. Karnaen A. Perwataatmadja arguespracticeinterest has taken root in such a way in people's lives, the ban on interest is carried out gradually so as not to disrupt economic life or cause difficulties for them. The presence of Islamic financial institutions in Indonesia is appropriate and well received by the community and has been growing until now.

Reducing dependence on moneylenders with Mawar Emas Program

To develop a community, mosques play a variety of crucial roles, including providing social and economic support. To increase the significance of mosques, a program called Mawar Emas was developed. To help mosque congregations avoid relying on moneylenders, this program offers them training and financial support. The goal of this study is to learn more about the financial plans and programs for Mawar Emas. Through the use of the Atlas.ti program, this study employs a qualitative method. This study discovered that the Mawar Emas program's implementation included contributions from local governments, financial services authorities, bank and non-bank financial organizations, Islamic Economic Community institutions, and mosques. The Mawar Emas program is now creating eight characters. Eight institutions, including banks and non-banks, have expressed interest in sponsoring this program. These include Qardhul Hasan and commercial financing. Only two financial service organizations, nevertheless, distributed money to the general public.

The Concept of Wages and Its Application: Analysis of the Ijarah and Ju’alah Contracts in Sharia Economic Institutions

This research is motivated by the concept of wages originating from ijarah contracts more widely used in Islamic Economic Institutions than wages derived from ju'alah contracts. While the two contracts are contracts that cause the provision of wages. Therefore, this study will describe the application of the concept of wages to ijarah and ju'alah contracts at the Islamic Economic Institution. This research is a secondary research with a literature study method whose data comes from various literatures through a normative juridical approach. This research is a type of qualitative research with technical data analysis through three stages, namely reducing data, presenting data and drawing conclusions. The results of this study reveal the fact that the concept of wages that is widely used in Islamic economic institutions is wages derived from ijarah contracts. This is because the legal consequences that have the concept of justice are that wages are based on the amount and results that have been completed, rather than wages derived from the ju'alah contract which will be given when a job can be completed perfectly. Therefore, the concept of wages is more identical to the ijarah contract for service benefits, so that there is a development of the meaning of ujrah in the form of wages and rental prices in accordance with the object of the contract exchanged in the ijarah contract.

Sharia Economic Law Regulation on The Development of Sharia Financial Institutions in Indonesia

The analysis of this study aims to provide an objective description and suggest to be able to strengthen and optimize related to the regulation of financial institutions or Islamic banking. In this case, the researcher uses a normative juridical method whose research refers to the rules or regulations of law as reference data which is analyzed with a qualitative description pattern. And the result is that this research illustrates that legal regulations play a role in the development, empowerment and establishment of the regulation of Islamic economic or financial institutions. The implication of study is the creation of progress and synchronization or correlation between financial institutions or Islamic banking in Indonesia. The harmony of regulations and the harmony of legal regulations must have an impact on public trust and have an impact on improving service facilities, protection for the community or customers, economic actors and even Islamic financial institutions themselves.

Kesan Faktor Risiko Kesihatan Ke Atas Penggunaan E-Zakat Di Malaysia Ketika Pandemik Covid-19 (The Impact of Health Risk on E-Zakat Usage in Malaysia During the Covid-19 Pandemic)

The present study investigates whether health risk influences the level of intention of individual muzakki to use E-Zakat during pandemic Covid-19. The study examines factors that might influence muzakki level of intention to use E-Zakat based upon the theoretical framework of the technology acceptance model, the theory of planned behaviour and the concept of health risk. According to the survey, which was conducted on 401 individual muzakki in Malaysia, respondents have a high level of intention to use E-Zakat during the pandemic COVID-19 (3.20 out of 4). Empirical findings show that perceived usefulness, perceived subjective norms, perception of behavioral control and health risk are positively associated, but perceived ease of use is not significantly associated with muzakki intention to use E-Zakat during pandemic Covid-19. Based on the current pandemic, COVID-19, the findings may help zakat institutions as well as other Islamic economic institutions by providing input onbehaviouralt of health risk factors on the use of e-services and actions that can be taken by zakat institutions to face risk challenges in e-services, especially E-Zakat.

Scope of CSR in Islamic Economics and Finance

The purpose of this paper is to explain the scope of Corporate Social Responsibility (CSR) and the Islamic understanding of what responsibility means. The paper aims to reflect on the originality of the idea in the Islamic economic tradition and analyze CSR factors special to Islamic economic institutions. An extensive analysis of existing literature is undertaken to present findings that support the idea of CSR being original in Islamic economics. Within this wide scholarly debate and research on CSR, the views of essential scholars are presented. Finally, an analysis of different drivers for a corporation's engagement in CSR is presented alongside some drivers unique to Islamic financial institutions. Findings: CSR as a research idea is an ongoing debate, especially concerning the definition and operation margins. However, this is a healthy sign showcasing flexibility facing changing community and social needs and the corporation's capabilities and interests. Furthermore, indirect CSR, such as fighting corruption and sensitivity to sharia-compliant operations, needs to be addressed more in light of CSR. The paper finds that the lack of anti-corruption measures and sharia compliance is socially irresponsible and may cost more than corporations might spend directly under CSR. The value of this research is that it shows a need for more CSR engagement from corporations as well as better understanding from the engaged public on the goals and limits of different corporations; one that stands out is Islamic banks and what people expect.

Applying of Fatwa in the Case of Islamic Banking in Court: A Study of the Development of Islamic Banking in Indonesia

This research generally aims to examine the things that need to be considered in advancing Islamic banking. The research method used to achieve the research objectives is a qualitative research design with a research strategy through case analysis, data collection methods in interviews, and data analysis methods in analytical content. This study recommends how the Islamic banking in expanding the Islamic banking market. Based on the research, in general, there are 3 main agendas that need attention in advancing Islamic banking, namely national policy support, expansion of Islamic economic and financial institutions, and the last is education and inculcation of Islamic economic values and concepts.

THE ROLE OF ISLAMIC ECONOMIC INSTITUTIONS TO RECOVER REAL SECTOR OF SMEs During COVID-19 Pandemic

Islamic economics prioritizes the real sector including SMEs, and makes Islamic Economic institutions as supporters and drivers of the real sector. The market share of sharia financial has reached 8.5 percent, and will continue to grow and develop. Since the emergence of the corona virus outbreak, it has eroded and slowed down economic activity, including in the SMEs sector. SMEs are among the ones that have been significantly affected by the corona virus. To restore the economic activities of SMEs, the Islamic Economic Institutions have role to be able to restore the economic activities of SMEs. The purpose of this study is to determine the development of Islamic economic institutions, and to determine the role of Islamic economic institutions in restoring SMEs in the midst of the Covid-19 outbreak. This type of research is library research with qualitative characteristics. Sources of data in this research are secondary data sourced from several institutions that have been presented. The limitation in this study is only for a few Islamic economic institutions related to SMEs. The data analysis technique used in this research is descriptive qualitative. Describing the object of research on the development of Islamic economic institutions and the role of Islamic economic institutions to recover the real sector of SMEs is included in analysis technique. The results of this study indicate the development of Islamic economic institutions. Sharia Financing Banking (BPRS) grew by 349.34 for income, Sharia Microfinance Institutions (LKMS) grew by 11.75 percent for financing, Sharia Peer To Peer Landing (P2P) institutions experienced a decrease in assets by 0.05 percent, and Social institutions, the growth of social fund collection was 48.08 percent at Insisatif Zakat Indonesia (IZI), and the growth in distribution of social funds by 114.27 percent Badan Amil Zakat Nasional (BAZNAS). The role of Islamic economic institutions in the recovery of the real sector of SMEs in the midst of the Covid-19 outbreak, namely optimizing finance for SMEs, assisting financing customers, providing relief for affected customers, participating in marketing customer products online, maximizing profit sharing system, strengthening of partnerships, and maximizing the distribution of social funds for SMEs economic activities.

The strategy of Islamic economic colleges to prepare their graduates to work in Islamic banks

PurposeAcademic achievement is not a determinant of college graduates' work readiness, but it requires adequate knowledge and skills to be accepted to work in companies. The purpose of this study is to describe the phenomenon of recruitment in Islamic banking, the obstacles faced by applicants and recommendations for Islamic economics universities to adjust their curriculum to the needs of the labor market so that the absorption of alumni from Islamic economic universities can be maximized.Design/methodology/approachThe informants of this research were the study program management, lecturers of Islamic economic, students, student organizations, graduates, Islamic banking management and Islamic bank customers with purposive and snowball sampling techniques through FGDs and deep interviews. The research data were analyzed by data reduction, content analysis and drawing conclusions. In addition, researchers also used triangulation methods and in-depth observations to find the validity of the data by being directly involved in the FGD discussion.FindingsThe results of this study answered the problem regarding the low absorption of alumni from Islamic economic institutions which consisted of individual internal factors, university environmental factors and university external environmental factors.Originality/valueResearchers succeeded in providing information on strategies for increasing competency of Sharia economics graduates by optimizing the role of academic advisors, increasing hard skills and soft skills and synchronizing programs and curricula implemented by Islamic economics colleges and Islamic banks.

IMPLEMENTASI HUKUM ISLAM DALAM PRAKTIK EKONOMI ISLAM DI INDONESIA

Islamic economic developments in the country, covering an academic study in universities or in practice operasioanl as happened in the Islamic economic institutions such as Islamic Banking, Takaful, Islamic Capital Market, and so on. The development is expected to further broaden to include aspects and a very broad scope, such as economic policy, local economics, macroeconomic (fiscal policy, public finance, strategy to overcome poverty and unemployment, inflation, monetary policy), and other economic issues, such as wage and labor and others. In the development of economic institutions in order to compete and in accordance with the needs of modern business society, necessary to create innovative products to remain in compliance with Shariah principles in its operations. The development also has implications for many Indonesian people who move in an Islamic economy, it is very possible legal disputes in the field of Islamic economics. Therefore, it takes the application of Islamic law in the practice of Islamic economics in Indonesia.Walaupun seem a bit slow when compared to the rise of Islamic economic institutions in Indonesia, but the presence of Islamic Economics Law Compilation (KHES) in Indonesia in late 2008 and should be appreciated by good. KHES least is a new breakthrough in the economic aspects of Islamic legal thought in Indonesia. Application of Islamic law in the practice of Islam in other Indonesian economy is the implementation of DSN MUI fatwas that ensures products and operations of Islamic economic institutions in Indonesia are in accordance with Islamic principles.

MANAJEMEN DAN PENDISTRIBUSIAN ZAKAT DALAM UPAYA PENINGKATAN KESEJAHTERAAN SOSIAL MASYARAKAT

The management of zakat in relation to economic empowerment means that zakat as an asset of an Islamic economic institution, zakat is a source of strategic potential funds for efforts to build the welfare of the people. Because of that, the Koran gives a sign that the zakat collected is managed appropriately and effectively. The purpose of this research is to describe how the management and distribution of zakat to improve the social welfare of society. The type of research used in this research is library research or library research conducted by collecting data or scientific papers aimed at the research object. The results of the discussion in the article are; 1) in the process of managing zakat, it can be realized seriously, of course, this needs to be supported by good management, as was done in the early days of Islam. Managing zakat effectively and efficiently needs to be managed properly. Therefore, the management of zakat provides the application of modern management functions. 2) Zakat must be distributed to mustahik under Islamic law. 3) the distribution of zakat is carried out based on a priority scale, with due observance of the principles of equity, justice, and territoriality, and 4) Zakat is distributed through two distribution models directly or consumptive zakat, and indirect distribution, namely productive zakat. 

Acceleration of Mega Merger of SOE Sharia Banks in Indonesia through Revitalization of Sharia Economic Law in Islamic Boarding Schools

Generally, we can see that law is all rules of behavior in norms regulating orders among societies. Likewise, sharia economic law regulates policies of the community in economic activities, and the application of this rule in Indonesia can be studied through Islamic boarding schools as a place for Islamic scientific education. The condition of this Indonesian pesantren is no longer only studying classical sciences. Still, also it has developed by studying modern sciences such as studies in several Indonesian pesantren which have revitalized sharia economic law as a study, which is included in the science curriculum and equipped with institutional facilities to support learning in providing an overview of sharia economic practices. Accordingly, the program has become one of the instruments for accelerating the mega-merger of Islamic banks. This research used qualitative methods with data collection through interviews and direct observations in the field. This study found that Islamic boarding schools in Indonesia have provided Islamic economic, scientific facilities, and Islamic microfinance institutions to support learning Islamic economic law to introduce knowledge and provision of Islamic economic practices so that students could apply Islamic economic values. Meanwhile, the existing programs in Indonesian Islamic boarding schools produced reliable students in the sharia economy to support the acceleration of the Islamic Bank's mega-merger through several programs such as the study of muamalah fiqh books, in collaboration with education and training held by financial institutions owned by Islamic boarding schools as well as employment programs for alumni of pesantren and guiding Islamic banking.

REVITALISASI ENTREPRENEURSHIP DALAM MEMBANGUN PEREKONOMIAN UMAT

National economic development, apart from bringing positive economic growth among the ummah, also creates socio-economic disparities between large, medium and small entrepreneurs. This situation is certainly not good for the Islam community in particular and the Indonesian nation. So the revival and progress of the Muslim economy must be a supporting factor for the revitalization of entrepreneurship in building the economy of the Ummah. For this reason, a solution to the economic system is needed that is further away from the true essence of justice. The emergence of various innovations in the world of entrepreneurship in the field of sharia-based economics, the formation of a network of Islamic economic institutions, the implementation of various human resource development trainings to produce reliable and professional entrepreneurs but not to lose their faith and national identity, are dreams and aspirations to revitalize entrepreneurship in building the economy of the people.

Hubungan Hukum dan Pertanggungjawaban DSN dengan MUI dalam Operasional Lembaga Keuangan Syariah

The rapid development of Islamic economic institutions in Indonesia cannot be separated from DSN and MUI's participation in their operations. This research will specifically discuss the legal relationship and responsibility of DSN with MUI in the process of Islamic Financial Institutions in Indonesia. This research is a normative juridical study using secondary legal data in the form of primary legal materials and secondary legal materials on Islamic financial institutions. Based on the research results, it is known that the legal relationship between DSN and MUI in the operation of Islamic financial institutions, MUI which is the responsible institution for matters related to sharia, places the position of DSN as an extension of the MUI's arm which has a very strategic and central location in terms of the development of the Islamic economy in Indonesia. DSN is responsible for providing supervision and for establishing relationships with DPS and Islamic financial institutions.