Islamic Financial Institutions In Indonesia Research Articles

Islamicity Cultural Performance Index (ICPI) in increasing customer trust in KSPP syariah BMT NU East of Java Indonesia

The development of Islamic financial institutions in Indonesia, notably in East Java, has seen significant growth, particularly with the rise of Islamic Commercial Banks (BUS) and Islamic Business Units (UUS) within conventional financial institutions. The study focuses on assessing the performance of East Java BMT NU Sharia KSPP using the Islamic Cultural Performance Index (ICPI) to enhance customer trust. Employing qualitative methods with descriptive analysis, the research evaluates financial performance from 2017 to 2021. It utilizes the Islamic Performance Index (IPI) approach, examining Profit Sharing Ratio, Equitable Distribution Ratio, and Director-Employee Welfare Ratio. Results demonstrate favorable ratios contributing to customer trust, influenced by aspects like benevolence, integrity, and religious values. While the IPI evaluates financial aspects, the Islamic Cultural Performance Index (ICPI) considers religious values' impact on trust. This study enriches understanding of customer trust dynamics, serving as a resource for enhancing quality learning and analytical frameworks in Islamic finance.

Assessing the Productivity and Technological Changes of Indonesian Zakat Institutions

Measurement of the productivity level of Islamic financial institutions in Indonesia has been widely carried out. However, not much research with the object of research in Islamic social fund institutions, one of which is zakat institutions in Indonesia. This study tries to measure the productivity performance of zakat institutions. This study uses the Malmquist Productivity Index method with DEAP 2.1 software. Data were obtained from eleven zakat institutions with a five-year research period from 2016 to 2020. This study uses the Malmquist Productivity Index method with DEAP 2.1 software. Data were obtained from eleven zakat institutions with a five-year research period from 2016 to 2020. This study is the first study to calculate the productivity level of eleven Indonesian zakat institutions with a research period of the last five years.

Analysis of Syariahpreneurship Character Strengthening Strategy at Nahdlatul Ulum Soreang Islamic Boarding School (Pesantren) Maros DistrictAnalysis of Syariahpreneurship Character Strengthening Strategy at Nahdlatul Ulum Soreang Islamic Boarding School (

Islamic financial institutions in Indonesia have experienced very rapid development and progress in the last decade. This development has occurred in almost all Islamic financial institutions, such as Islamic banking, Islamic insurance, Islamic capital markets, Islamic mutual funds, Islamic bonds, Islamic pawnshops, and Baitul Mal wa Tamwil (BMT). This condition is certainly an opportunity and a challenge that all educational institutions must be able to capture and respond positively to, including educational institutions with Indonesian characteristics called pesantren. Strengthening the character of Syariahprenuership is an urgent strategy to get attention in a pesantren Islamic educational institution. With a very large population of pesantren in Indonesia, when the students get the strengthening of the Syariah-prenuership character, they will certainly be more prepared to be able to take part to contribute to the existing dynamics and religious feel. The role of this pesantren is also very large and important in preparing students to be able to exist in their daily lives both within the pesantren and later when interacting in the environment outside the pesantren after completion. The students who live in pesantren are always interacting, communicating, and in contact with all the internal pesantren communities. Automatically strengthening the character of syariahprenuership, which has been running and in process, of course, can be held captive with the naked eye. The strategy to strengthen the syariahprenuership character for students is certainly something that must be known, especially for the internal managers of Islamic boarding schools and society in general. Based on the reason that there is no scientifically concrete data regarding the analysis of strategies to strengthen the character of syariahprenuership in pesantren, this is what makes researchers interested in researching this phenomenon. The purpose of this study was to analyze strategies to strengthen the character of syariahpreneurship students at the Nahdlatul Ulum Soreang pesantren, Maros Regency. This research is a qualitative research using a phenomenological approach. Data were collected through observation, interviews, and documentation. Data were analyzed using categorization.
 Keywords: strategy, character strengthening, syariahprenuership

The Role of CSR (Corporate Social Responsibility) in reducing Reputation Risk due to Covid-19 For Islamic Financial Institutions in Indonesia

The Role of CSR (Corporate Social Responsibility) in reducing Reputation Risk due to Covid-19 For Islamic Financial Institutions in Indonesia

OPTIMIZATION OF PRODUCT MARKETING IN SHARIA BANKING THROUGH SOCIAL MEDIA

Islamic banking is a sector that continues to grow in Indonesia, with the aim of providing products and services that comply with sharia principles. Social media is one increasingly well-liked tool Islamic financial institutions use to market their goods. This research aims to explore the potential for optimizing product marketing in sharia banking through social media. This research uses a descriptive analytical method by collecting data through a literature study and analysis of social media content used by Islamic financial institutions in Indonesia. The research results show several problems related to optimizing product marketing in sharia banking via social media, including content incompatibility with sharia principles, credibility of sharia financial institutions, public misunderstanding of sharia banking products, controversy and negative perceptions, as well as consumer protection. To overcome this problem, this research also identifies several strategies that can be used by Islamic financial institutions to optimize product marketing on social media.

Sharia Supervisory Board: Effectiveness In The Supervisory Function Of Islamic Financial Institutions In Yogyakarta

In order for people to feel safe and comfortablestoring their assets in Islamic financial institutions (LKS), it is necessary to implement the supervision of the Sharia Supervisory Board (DPS) to stand firm without any interest. The purpose of this study is to assess the effectiveness of supervision, the operation of the Sharia Supervisory Board (DPS) in supervising Islamic financial institutions in Indonesia, both in the banking and non-bank sectors. This research usesqualitative research, is descriptive and tends to use content analysis. The results of this study show that the implementation of DPS performance in LKS is still contextual in fulfilling the requirements for the establishment of Islamic financial institutions, which is still focused on understanding the actualization of financial products in order to be able to run in accordance with the rules of Article 27 of PBI No. 6/24/PBI/2004, DPS is leaning more towards Sharia contracts than Sharia Audits. So that the lack of effectiveness of DPS performance makes it less understanding of the Sharia contextual by workers in the Islamic finance sector has an impact on public loyalty and trust in making transactions on products issued by Islamic financial institutions.

Sharia Economic Dispute Settlement at the Bengkulu Religious Court Case Study Case Decision Number 0161/Pdt.G/2017/PA.Bn

The purpose of this study is to examine the answers to problems regarding the settlement of sharia economic disputes in the bengkulu religious court case study case decision number: 0161/Pdt.G/2017/PA.Bn. This research is motivated by the increase in sharia economic growth today so that many sharia institutions have been born in Indonesia. Along with the development of Islamic financial institutions in Indonesia, there will be a tangent point with the judicial world, especially religious courts. The tangent point is in terms of dispute resolution, namely when there is a dispute between a shari'ah financial institution and its customers. The type of research used in this study is sociological or empirical legal research. Sociological or empirical legal research is legal research that obtains primary data and secondary data. The researcher found that juridically the decision number: 0161/Pdt.G/2017/PA.BN was in accordance with the legal procedures (procedural law) applicable in a religious court. In this regard, this study found an example of a case between a shari'ah financial institution and its customers that was disputed at the Bengkulu Religious Court with Case Number: 0161/Pdt.G/2017/PA.Bn.

The Application of Fiqh Principles in Contemporary Sharia Transactions in The Development of Innovative Products of Islamic Financial Institutions in Indonesia

The innovation product in Islamic financial institutions is one of the strategies that has an important role in the midst of a competitive market. Increasing institutional capacity and the availability of diverse and efficient Islamic financial industry products is one of the missions in optimizing the development of Islamic finance. The program to increase the availability and diversity of Islamic financial types available in various products, in Islamic banking institutions and non-Islamic bank financial institutions, including the Islamic capital market, shows that the market share of Islamic financial industry products is still limited when compared to conventional financial products. In Indonesia, all stakeholders of the Islamic financial industry must always synergize and harmonize between sharia economic law and applicable laws and regulations. The Qur'an, Al-Hadith and Ijma' gave birth to the rules of fiqh. The rules of fiqh aim to establish Islamic law in various issues that are new and continue to develop along with the times, especially developments in sharia financial institutions in various kinds of economic transactions or muamalah maliyah. The rules of fiqh are a form of ijtihad. The rule of fiqh is an ease of knowing contemporary laws, especially various kinds of economic problems that do not have much nash sharih (definite postulates) in the Qur'an and al-Hadith. In economic problems that develop in Islamic financial institutions, the rules of fiqh are used to facilitate mastering the problems of furu'iyyah (branches) which are many (countless) and continue to grow

Interaction between Islamic Financial Development and Economic Growth: Empirical Evidence from Indonesia

Financial development and economic growth have been thoroughly analyzed in the literature extensively. The discussion revolved on whether the financial sector leads the real sector in the process of economic development or whether it is the other way around. There is now no consensus on the causal relationship between financial development and economic growth. So, it is necessary to determine the relationship between financial development and economic growth in order to make accurate economic growth estimations. This paper examines an interaction model between Islamic financial development and economic growth that assumes the consumption of real resources by the financial sector. This research used Hadri Lagrange-Multiplier to investigate association’s path between variables. As a result, the interaction between Islamic financial development and economic growth may be unidirectional. However, the Islamic financial system is unsustainable, the Islamic financial market's contribution remains modest, and this could not eventually contribute to economic growth significantly. In addition, the results of this study reveal that the development of Islamic financial institutions in Indonesia has not yet had a significant effect on the welfare of Indonesian society. Due to rising demand for financial services, it was believed that economic growth drives finance in developing nations. Moreover, Economic growth fosters competition among financial intermediaries, resulting in more efficient financial transactions and, consequently, increased growth.

Implementasi Akad Tabaru Pada Asuransi Syariah Guna Meningkatkan Perekonomian

ABSTRACT, The development of Islamic financial institutions in Indonesia has experienced quite rapid development. Islamic financial institutions have many kinds, one of which is Islamic insurance. As insurance labeled sharia, it is obligatory in its operations to comply with Islamic principles and values. This research was conducted to analyze how the implementation of the tabarru contract on Islamic insurance in order to improve the economy. This research method uses a qualitative approach with the method of analysis of literature studies or library research. The data used in this research comes from books, journals, scientific papers, to legal online searches. The results of this study indicate that the implementation of the tabarru contract in Islamic financial institutions with a research focus on Islamic insurance institutions has implemented the tabarru contract in its activities. As well as having an indirect positive impact on improving the economy.

Pengaruh Promosi terhadap Keputusan Mahasiswa Menabung di Bank Mini Syariah

The Small Sharia Bank Laboratory is a supporting and implementing facility for the Uin Sunan Ampel Surabaya program which is expected to be able to contribute to accelerating the development of sharia in Indonesia. Therefore, empowering the Mini Syariah Bank laboratory as a place to develop competencies both in the areas of intellectual, motor skills and skills in using Islamic banking media tools to increase the competency of Islamic finance and banking graduate students needs to be studied. This study aims to see the effect of promotion and knowledge on people's interest in making transactions at Mini Syariah Banks. The development of Islamic financial institutions in Indonesia has indeed experienced a significant increase, but this increase has not been accompanied by public knowledge about Islamic banks, especially in rural areas. So that in the end, many village people equate Islamic financial institutions with conventional financial institutions.

Does Islamic Financial Inclusion Matter for Household Financial Well Being?

This study aims to analyze the effect of islamic financial inclusion on financial well being by measuring the relationship between each dimension or the construction of research variables. The data was collected from 100 households using the services of Islamic financial institutions in Indonesia. Analysis of the structural equation model–partial least square (SEM-PLS) was conducted to analyze the relationship between variables and test a series of hypotheses. The results showed that access had a significant effect on financial satisfaction, financial safety and household financial worries. Dimensions and construction usage have a positive effect on financial satisfied, financial safety and household emergency funds. Meanwhile, construction quality has an effect on household financial safety. This study will determine the policy makers of the Islamic financial sector in planning services and improving access, quality and usage of Islamic financial services. This research will also increase household knowledge about household financial management.JEL: D1, G5, I3

Implementasi Akad Rahn Pada Pegadaian Syariah Dalam Rangka Meningkatkan Minat Masyarakat Pada Keuangan Syariah

Islamic financial institutions are business entities whose activities are in the field of Islamic finance and their assets, both financial and financial, are based on sharia principles. One of the Islamic financial institutions in Indonesia is the Sharia Pawnshop (Rahn). Rahn is an agreement for the delivery of goods as a form of collateral for a debt so that the person concerned may take the debt. The implementation carried out by Islamic Pawnshops includes efforts to foster Islamic financial literacy in the community, so that later the community will understand and know about Islamic Pawnshops which can help the economy in the family or create new businesses. Due to the lack of public interest in Islamic finance, especially Islamic pawnshops, the purpose of this research is to inform the concept of pawning in classical fiqh literature, the implementation of rahn contracts in Islamic pawnshops and how to increase public interest in Islamic financial institutions, especially Islamic pawn shops.

Cash Waqf through Islamic Banks

This research aims to identify the priority factors that are barriers to developing the practice of cash waqf through Islamic financial institutions in Indonesia using the Interpretive Structural Modeling (ISM) method. The development of cash waqf through Islamic banks in Indonesia with ISM framework is divided into three criteria: (1) Challenges (aspects) faced in developing cash waqf, (2) Strategy or foundation required within the framework of developing cash waqf, and (3) Stakeholders or actors involved in the development of cash waqf in Indonesia. The result show that the core problems and challenges faced in the development of cash waqf institutions are: System aspect, product, regulation, and information technology. The core strategies or foundations that are needed in the framework of cash waqf development are transparency and accountability of waqf institutions, Quality development of nadzir, and Innovative marketing strategy from waqf institutions. Government and Badan Wakaf Indonesia are stakeholders or actors involved and related to the development of cash waqf in Indonesia.

Implementation of the Qardhul Hasan Agreement at Indonesian Islamic Financial Institutions

Qardhul Hasan is one of the alternatives for usury-based loans (debt). Islamic economic principles forbid a loan with interest. The aim of loan transactions through Qardhul Hasan is used to help increase the country's economic growth. This working paper aims to explain the concept of Qardhul Hasan management. The management of Qardhul Hasan can be implemented from zakat, infaq, sadaqah, and waqf funds. One of the main regulations in carrying out the management of Qardhul Hasan is the DSN-MUI Fatwa No. 19/DSN-MUI/IV/2001 concerning al-Qardh. With a descriptive qualitative approach, this study aims to explain the implementation of the Qardhul Hasan contract at BAZNAS, BWI, and other Islamic financial institutions. BAZNAS and BWI are Islamic financial institutions in Indonesia that are active in implementing Qardhul Hasan in their operational activities. Therefore, the result of this research will also explain the differences in the management of Qardhul Hasan in BAZNAS Semarang Regency and BAZNAS Tulungagung Regency. This research is necessary to do because this study provides a descriptive perspective to explain the advantages of each of these Islamic financial institutions in detail. Moreover, the result of this study would become a comparison of each of the management of these Islamic financial institutions that can be input for every other Islamic financial institution.

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.

Wakalah bi al-Istitsmar dalam Mekanisme Penghimpunan Dana di Lembaga Keuangan Syariah

This study is intended to examine the fatwa of the National Sharia Council of the Indonesian Ulema Council (DSN-MUI) regarding Fundraising under the Wakalah bi al-Istismar Agreement which provides greater opportunities for Islamic financial institutions in Indonesia in raising and managing capital. This study uses a document approach by using the DSN-MUI fatwa Number 152 of 2022 as the main source, and analyzed using a qualitative approach. This study shows that the DSN-MUI fatwa has provided additional options for savings and deposit products in Islamic financial institutions, namely wakalah bi al-istismar. Thus, the level of customer needs which is a priority through the addition of various alternative contracts, is expected to be able to attract many customers, especially in the fundraising mechanism in Islamic banking. It's just that the use of the contract does not apply to all fundraising products, but only to certain products that have been determined.

IMPLEMENTASI TRANSAKSI PEMBIAYAAN GRIYA DALAM PERSPEKTIF FIKIH MU’AMALAH DI BANK SYARIAH INDONESIA KANTOR CABANG PEMBANTU SITUBONDO

At this time there are many emerging Islamic banking with the many developments of sharia. The birth of Islamic financial institutions in Indonesia brings an interesting competitive atmosphere in the banking business discourse. In addition to the presence of conventional banks, our society is now presented with alternative options to invest their funds, of course through the presence of Islamic banking services.
 Islamic banking services offer products with a different scheme from conventional banks. In accordance with the title "sharia" it bears, Islamic banking claims the principle of justice in accordance with Islamic teachings as a differentiator of its identity from conventional banks. Including one of the Islamic banks in Situbondo, namely Bank Mandiri Syariah which is currently changing its name to Bank Syariah Indonesia
 Of all the products available at BSI, there is one financing product that is currently in great demand by the public, especially at the Bank Shariah Indonesian Cabang Situbondo Branch, namely the Griya financing product. Griya financing is short, medium, or long term financing to finance the purchase of residential (consumer) houses, both new and used, in the developer environment with a murabahah system.
 In relation to the murabahah concept in Fiqh Mu'amalah, it is necessary to combine its conformity with the practice of home financing transactions at BSI KCP Situbondo, where in practice the margin provisions obtained by BSI are not transparent, when purchasing property uses the practice of debt. , the delivery of money is directly given to the customer, not the BSI party who buys the needs of the customer and many other things that the author does not know. According to the author, this is not appropriate if the contract used is murabahah.

Tinjauan Atas Psak 102 (Revisi 2019) Dan Psak 102 (Revisi 2016) Tentang Akuntansi Murabahah

Murabaha transactions through murabaha financing are the leading transactions in Islamic Financial Institutions in Indonesia. The accounting treatment for these transactions is regulated in PSAK 102 Akuntansi Murabahah. First issued in 2007, PSAK 102 Akuntansi Murabahah has been revised three times, namely in 2013, 2016, and 2019. This literature study aims to analyze the differences between PSAK 102 Akuntansi Murabahah Revised 2019 and Revised 2016. Using content analysis techniques, the main sources of writing come from the related Sharia Financial Accounting Standards (SAK), related scientific journals, and IAI Education and Training (PPL) materials. The differences between PSAK 102 Akuntansi Murabahah Revised 2019 and Revised 2016 include: scope, amount, paragraphs, advances, significant financing elements, the definition of Murabaha income, definition of real costs, terms of Murabaha assets, recognition of Murabaha income, recognition of deferred revenue with a significant financing element, as well as a component of disclosure by sellers in the financial statements. Content difference analysis of PSAK 102 Akuntansi Murabahah is necessary to enrich the literature related to Murabaha accounting treatment, to update and improve the understanding of all parties with an interest in Murabaha transaction information, especially financial statement preparers, financial statement readers, and auditors.

PELUANG DAN TANTANGAN LEMBAGA KEUANGAN SYARIAH MENGHADAPI MEA (MASYARAKAT EKONOMI ASEAN)

This study aims to determine the opportunities and challenges of Islamic financial institutions in facing the ASEAN Economic Community (AEC) and how the strategies of Islamic Financial Institutions to win the competition of the ASEAN Economic Community (AEC). The method used is a qualitative method with a descriptive analysis approach that seeks to analyze various challenges, opportunities and strategies of Islamic Financial Institutions in facing the AEC (Asian Economic Community). The results of the study indicate that the opportunities for Islamic financial institutions in Indonesia can be strong in the face of the MEA. The challenges for Islamic financial institutions in Indonesia are the low quality and quantity of human resources with a sharia economic background, the sharia financial market share which is still relatively small compared to conventional finance, the level of understanding and awareness of sharia society is still lacking in the economy, lack of product development innovation and services that are competitive and based on community needs. Lack of support from the government, both in the form of regulatory support and government capital support. Strategies that must be carried out by LKS in Indonesia to increase competitiveness so that they are able to survive in the MEA competition are: Improving the quality and quantity of human resources, socialization and education to the community, service improvement and product differentiation, and support from all stakeholders, especially the government.