The purpose of this study is to find out what factors influence and which factors play the most powerful role in influencing efforts to improve the competitiveness of Small and Medium Enterprises in Eastern Indonesia via a comparative qualitative research method. The results of this study found that there are several factors influencing efforts to improve the competitiveness of Eastern Indonesia Small and Medium Enterprises. In conclusion, the dominant factor is that policy and infrastructure want to illustrate the extent to which the implementation of policies and infrastructure in locations around MSMEs operate can support or hinder businesses to operate

The discourse in integrating social and financial functions of Islamic financial institution has emerged as an intellectual critique since the practice of Islamic finance has arguably deviated from the moral expectation of Islamic economy. This argument is further supported by the advent of the interest of combining Islamic finance with impact investing, which should have been in the endogenous facet if Islamic finance since its very beginning. We found several of research papers with theories that Islamic financial and economic institutions, as distinct organisations, require a distinct management framework to be able to achieve their multidimensional purposes. This paper argues that a hybrid organisational management framework could be the most appropriate existing framework to be utilized regarding mission drifts and dysfunctional effects that might happen within such organisations. Hence, this paper provides notions for leaders to develop hybrid organisation culture in terms of time needed for leaders to develop selective criterion in hiring, different types of organisational structures, and the need of a new set of parameters.

The purpose of this study is to find out what factors influence and which factors play the most powerful role in influencing efforts to improve the competitiveness of Small and Medium Enterprises in Eastern Indonesia via a comparative qualitative research method. The results of this study found that there are several factors influencing efforts to improve the competitiveness of Eastern Indonesia Small and Medium Enterprises. In conclusion, the dominant factor is that policy and infrastructure want to illustrate the extent to which the implementation of policies and infrastructure in locations around MSMEs operate can support or hinder businesses to operate.

We analyze the role of earnings quality in mediating the relationship between corporate governance and market response. We also observe the relative impact of earnings quality of Islamic and non-Islamic stocks on market response, using 138 firm-years of data from listed companies registered in the Indonesian Institute of Corporate Governance Award from 2008 to 2016. To test the mediating role of earnings quality, we use path analysis, and we use moderated regression analysis to examine the impact of earnings quality on the market for both Islamic and non-Islamic stock. The results show that corporate governance does not directly have a significant impact on market response. However, corporate governance indirectly has a significant influence on market response mediated by earnings quality. The evidence also demonstrates that the better the quality of corporate governance, the better the quality of earnings. The lower the quality of earnings as indicated by the high accrual values, the higher the value of Tobins’ Q as a proxy of market response. These findings suggest the existence of an accrual anomaly in the Indonesian capital market. Finally, this study finds evidence of a higher positive market response to the earnings quality of Islamic stocks than of non-Islamic stocks

In Indonesia, the last few years have seen the privatization of many industries previously owned by the state. The surge was requirement of International Monetary Fund (IMF) to lend its fund in order to support Indonesian economy after monetary crises between 1997 and 1999. However, this phenomenon causes some novel polemics amidst stakeholders. Most of nation‟s wealth is brought by multinational companies to overseas without rendering great benefit to citizen. Therefore, inhabitant cannot savour many adventages from their abundant natural resources. In line with this privatization case, Islam as a way of life which is universal and comprehensive has a particular discussion on assets ownership that should be utilised according to its status. There are three concepts of ownership in Islam, namely individual, public and government ownership. The main objective of this paper is to point out the best scheme of natural resources ownership, whether should be owned by public, private or state based on siyāsah sharī„ah approach. The author utilizes descriptive qualitative methodology to find the appropriate pattern of natural resources management in Indonesia, particularly firms which manage the basic need of human being.

Food security is an issue worldwide, including in Indonesia a developing agricultural country. Yields from farming are deemed insignificant and take time. Farmers and land owners tend to sell their land for fast cash. Access to capital is also a major issue since crops, such as rice, mature in several months, which constrains the banking industry from financing farmers. Baitul Maal Wat Tamwill, Demak, Indonesia, offers a financing mode that accepts payment after harvest. This research analyzes benefit, opportunity, cost, and risk (BOCR) elements of product implementation. Analytic network process (ANP) is applied. All elements are observed from farmers’ perspective and the IFIs/BMT’s wide in-depth interviews. Results from pairwise comparisons indicate that the benefit and opportunity of this product have more significant weight compared to cost and risk elements. Alternative strategies for maximizing bene

Since 1934, the idea to establish an Islamic bank has arisen. It began with the concept that the banks’ interest is haram. Then the establishment of Bank Perkreditan Rakyat (BPR) which used zero interest in its operational system. MUI banking team was established in 1992, after Lokakarya Bunga Bank MUI, to manage the establishment of first Islamic bank, namely Bank Muamalat Indonesia on 1 November 1991. In era law no. 10 of 1998, dual banking system appeared, and the acknowledgement of three banking types existence began in law 21 of 2008 because those were mentioned in law no. 21 of 2008. The method used in this research is a historical method, in which search for data and facts from past that has correlations with the implementation of Islamic banking from the first establishment until 2014 (1992-2014) then recite it in this research. The finding revealed that the existence of legal act (Law No. 21 of 2008) have been giving an increase in the number of Sharia Commercial Banks which were originally only three Islamic Commercial Banks (BUS) up to 14. This can be an input for the government that for all sharia-compliant matters such as sharia insurance, sharia mutual funds, Islamic capital markets, and others, it requires legal aspects from the government that regulate it so that the development of Sharia economy in Indonesia will accelerate.

This paper proposes a model to conduct macro-stress tests of credit risk for conventional and Islamic banking in Indonesia based on scenario analysis. The aims are to investigate and to compare the financial system resilience of the two banking systems from various macroeconomic shocks. It used NPL and NPF to measures credit risk of conventional and Islamic banking. It considered several exogenous macroeconomic variables, namely Gross Domestic Product, Exchange Rate, Consumer Price Index, and Interest Rate. It applied the ARDL Model which is estimated for each type of bank credit portfolio that splits into 9 sectors. It found that a decreased in GDP, exchange rate depreciation, an increased in CPI, and interest rates contributed to encouraging a rose in both NPL and NPF levels. CPI was the biggest source of vulnerability to credit risk in both groups of banks, followed by GDP, exchange rates, and interest rates. This evidence indicates that the vulnerability of the financial system in both groups of banks did not only depend on the internal performance in each bank but also depend on the external shocks. It also confirmed that although Islamic banks and conventional banks used different operating systems, they could not be separated from macroeconomic shocks.

Financial technology is an activity that focuses on providing financial services ideas using software. Which is fintech, it expected that various facilities can be obtained later. The development of fintech began since the discovery of blockhain and cryptocurrency. In addition, this development is also one of the developments in digital-based technology and is a new innovation and his impact on all economic activities, especially in the Islamic economy. As for Fintech Syariah, of course it must be based on an Islamic perspective and refer to Maqashid Syari'ah al-Khams and contain benefits for every transaction carried out by the contractor. All forms of economy and business transactions originating from the Qur'an and the Sunnah are clear, paying attention to and protecting the rights of each individual in order to uphold justice and eliminate injustice in transacting through the shariah fintech.

Wakaf  produktif  adalah  pengembangan  dari  wakaf  yang  telah  sedia  ada.  Selain  wakaf  produktif  bertujuan  untuk  mengurangkan  keprihatinan  yang  dihadapi  oleh  golongan  fakir  dan  miskin,  wakafproduktif juga mempunyai objektif meningkatkan sosioekonomi masyarakat. Selain itu, wakaf produktifmempunyai  peranan  dalam  meningkatkan  taraf  hidup  masyarakat  di  Jakarta  Selatan  khususnya  taraf  pendidikan,  kesihatan  dan  taraf  ekonomi.  Sumbangan  yang  diberikan  sama  ada  dalam  bentuk  uang  tunai  bagi  keperluan  sekolah  dan  berobat  maupun  dalam  bentuk  kemudahan  belajar  secara  percuma  di  Lembaga  Pengembangan  Insani  (LPI)  dan  kemudahan  berobat  secara  percuma  di  Layanan  Kesehatan Cuma-Cuma (LKC)

The use of  rule that origin of muamalah is ibahah (allowed) often causes the practice of sharia banking to be un-creative and not careful about things that are subhat or even haram. Impersonation or modification in addition to the product side also occurs in accounting treatment practices for transactions that occur in Islamic banking. One of them is the treatment of foreign currency denominated transactions that occur in sharia banking. This research uses qualitative method by studying and analyzing fiqih rules on foreign currency denominated transactions that occur in sharia banking. Using the classical fiqh study approach the study concludes that foreign currency-denominated transactions can be grouped into three things: first valuation at the balance sheet date and free of usury, valuation at balance sheet date but prone to usury, and valuation at balance sheet date but not allowed to add assets or corporate earnings. In addition, foreign exchange gains or losses incurred from currency-denominated transactions should take account of the source of the profit / loss first before categorizing it as part of revenues in the sharia bank profit and loss statement.

The functions of zakat collection and distribution are carried out by both government and private institutions in Indonesia. As those institutions work without coordination, zakat integration become the main issue. This condition resulted in a zakat distribution gap. The center of economy such as Java may have significant zakat collection and zakat distribution , while remote area with limited resources and worse economic level may face both low zakat collection and zakat distribution. The enactment of Law No. 23 of 2011 concerning the Zakat Management brings hope for integration between government and private zakat operators. This study aims to find out the problems in implementing the Zakat Law, provide solutions and strategies to optimize the effort towards integrated zakat management. The method used in this research is the Analytic Network Process (ANP). The results indicate that there are two clusters of problems; internal and external. Internal issues sorted by priority order are: lack of human resources performance, lack of coordinator capacity, the different level of understanding, and lack of commitment of the zakat operators. External issues sorted by priority order are: lack of information technology development, lack of zakat management standard, lack of information dissemination, and lack of technical regulation. The solutions proposed to solve internal problems according to priority ranking are: coordinator capacity building, internal education on zakat integration, human resource monitoring and evaluation, and zakat operators’ commitment building.  Finally, according to the respondents, the solution proposed based on priority ranking are: zakat management SOP setting, zakat law information dissemination, IT system building, and zakat technical regulation.

The level of public literacy of financial services is still relatively low in Indonesia, according to the Indonesian Financial Services Authority based on its data for 2016. Financial literacy in Indonesia on a national scale only reached 29.7% with students accounting for only 23.4%, not in line with the financial inclusion that increased to 67.8%. The lack of Islamic finance literacy directly leads to the slow development of the Islamic fi nance market share in Indonesia

There is the need to integrate SMEs into the high-value Oil and Gas Sector to enhance socio-economic development of Ghana particularly Job creation and Gross Domestic Product (GDP) growth. This study examined the impact of external business environment on SMEs willingness to invest in the Ghanaian oil and Gas Sector. Using binomial logistic regression analysis we analyzed primary data from 245 SMEs from Ghana during the periods between 2015-2016. The study found that SMEs that had ready access to finance, reliable electrical supply, required technical qualification, no competition from foreign companies, well informed on Oil and Gas investment opportunity were more likely to invest in Ghanaian oil and gas sector. We also find that corruption perception, political stability and training support in the capacity building had no significant influence on SMEs willingness to invest. We suggest that future studies should cover internal firm factors, perceived barriers as well as macro-level factors. Also, the study was limited to Ghanaian SMEs, future researchers may replicate this study in other oil-producing countries in Africa including; Nigeria, Uganda, Angola and South Africa.

This study sought to ascertain critical determinants of Islamic Banking (IB) adoption among different religious groups. The study draws on from the Theory of Planned Behaviour, Diffusion of Innovation, Theory of Reasoned Action and Technology Acceptance Model on IB adoption. The study employed a quantitative research paradigm to study 600 individual financial service users in Ghana. Structured questionnaire from previous studies was adopted, modified and used to conveniently elicit data from the participants. Smart Partial Least Square Structural Equation Modelling (PLS-SEM) was deployed to analyse the empirical data. The results show that perceived knowledge, perceived benefit, perceived innovativeness, perceived religious promotion, customer’s attitude and readiness to comply with sharia were significant determinants of IB adoption for the Muslims, Christians and Africa Traditional Religion (ATR) sub-groups. However, perceived threat of violence was a significant negative determinant of IB adoption for the Christians and ATR sub-groups but insignificant for the Muslims sub-group. More so, perceived religious promotion was a negative factor for ATR sub-groups intention to adopt IB. The result pinpoints the need for formalization and demystification of IB to attract different religious groups. However, these results should be taken as preliminary since counterfactual analysis (CFA) across entire Ghana is required to validate IB implementation and adoption. Although these results support most previous studies further empirical research is proposed to replete this study across other Non-Islamic States in the Sub-Sahara Regions.

Purpose–The purpose of this study is to determine the user’s perception of SIMBA and explain the factors affecting employee users acceptance and usage of SIMBA based on the Unified Theory of Acceptance and Use of Technology model.

Design/methodology/approach–Statistical analysis of the study was conducted using multiple linear regression. Quantitative data were collected through a questionnaire. The samples used in this research are BAZNAS in Jakarta and West Java with purposive sampling technique.

Findings-The results of this study indicate that Effort Expectancy variables do not affect the variables Behavioral Intention while the variable of Performance Expectancy, Social Influences, Facilitating Condition have a significant influence to Behavioral Intention, and Behavioral Intention has a significant influence to Use Behavior.

In mainstream economics, distribution concerns who gets what. “Who” refers to the personal distribution of income among individuals or the functional distribution of income among suppliers of productive factors. Also mainly concerned with the factors which affect the wealth of nations. Issues of justice, elimination of poverty and deprivation are secondary. On other side, Islam not only concern to who gets what, but also concern to how the human gets what equally and justify. Therefore this study uses descriptive and synthetic approach to present principles and concept of justice distribution derived from the guidance of revelation; Qur’an and Sunnah. The study is derived into two main themes. The firts one deals with theory of juctice and a review on distribution theory in secular Paradigm, the second one is the taxonomy of economic distribution theory in Islam

Purpose

This paper aims to examine the effect of management accounting–strategy coalignment on the maqasid Shariah-based performance of Islamic banks in Indonesia. The study also examines the role of the corporate life cycle of Islamic banks in influencing the relationship between management accounting–strategy coalignment and performance.

Design/methodology/approach

Management accounting practices, management control systems, strategy and maqasid Shariah-based performance are measured using questionnaires which were distributed to 97 directors and heads of Islamic banks. The model of this study is analyzed using structural equation model.

Findings

This study finds that the coalignment between low cost-oriented strategy, strategic management accounting practices and mechanistic management control system has positive impact on improving maqasid Shariah-based performance. However, this study is unable to verify that corporate life cycle strengthens the positive relationship between management accounting–strategy coalignment and performance.

Research limitations/implications

Limited indicators of management accounting practices in this study illustrate less comprehensive management accounting practices. Further studies may add other relevant management accounting as described by the International Federation of Accounting Committee to provide a more comprehensive management accounting practices.

Practical implications

This study provides recommendations to the management of Islamic banks to design management accounting practices and management control systems that fit to their strategic orientation.

Originality/value

This paper fulfils limited empirical studies on management accounting practices and strategy in Islamic banking industr

Development of micro, small and medium enterprises (MSME) in Indonesia has increased yearly, but this is not followed by MSME financing in Sharia banking, where the proportion is relatively decreasing in a couple years. This study aims to analyze the influence of the deposit or third party fund to MSME financing and also to analyze the implication of MSME financing to MSME financing and its impact on the profitability of Sharia banks. Sharia banks are expected to be even more active in collecting funds from third parties with various strategies that can be used. As has been discovered from the above research, the amount of fund raising to the allocation of MSME financing is also getting bigger. This study uses a Vector Error Correction Model (VECM) to see the long term effect and response to shocks that occur in the studied variables.  The result shows that in the short run and the long run CAR has  negative and significant  effect on MSME financing.  TPF, NPF, BOPO and FDR have positive significant to MSME financing in the long term. TPF, CAR, NPF have positive significance to Sharia banks profitability in the long term. BOPO and NPF have positive significance in the short run. Shock to CAR is negatively responsed by MSME financing. Shock to MSME financing is negatively responsed by Sharia banks profitability (ROA) and is stable in the long term.