scholarly journals Service Innovation Strategic Consensus: A Lesson from the Islamic Banking Industry in Indonesia

2020 ◽  
Vol 7 (11) ◽  
pp. 401-411
Author(s):  
Muafi MUAFI ◽  
Erlina DIAMASTUTI ◽  
Argo PAMBUDI
Keyword(s):  
Banking Industry ◽  
Service Innovation ◽  
Islamic Banking ◽  
Strategic Consensus

Protection of Customers for Management of Digital Banking Services (Study at PT. BRI Unit Boyolali)

2020 ◽  
Vol 3 (2) ◽  
pp. 170
Author(s):  
Herdian Ayu Andreana Beru Tarigan ◽  
Darminto Hartono Paulus
Keyword(s):  
Information Technology ◽  
Financial Services ◽  
Banking Industry ◽  
Service Innovation ◽  
Quality Of Services ◽  
Legal Research ◽  
Banking Services ◽  
Services Sector ◽  
Financial Services Sector

<p>Increasing competition in the Indonesian banking industry has encouraged many banks to improve the quality of services to customers by utilizing information technology developments. Service innovation in the use of information technology encourages banks to enter the era of digital banking services. However, the development of digital banking services also increases the risks faced by banks. The purpose of this study is to provide an overview of the implementation of digital banking services and customer protection for risks from digital banking services. The method used in this study is an empirical legal research method. The results of this study indicate that the implementation of digital banking services is regulated by OJK Regulation No.12/POJK.03/2018. The existence of this OJK Regulation is expected by banks as providers of digital banking services to always prioritize risk management in the use of information technology. In addition, this study also shows the existence of 2 types of customer protection for the use of digital banking services, namely preventive protection in the form of legislation related to customer protection in the financial services sector and repressive protection in the form of bank accountability for complaints from customers using digital banking services.</p>

Determinants of Islamic Bank Profitability: Evidence from Indonesia

2020 ◽  
Vol 5 (1) ◽  
pp. 1-13
Author(s):  
Puji Sucia Sukmaningrum ◽  
Kashan Pirzada ◽  
Sylva Alif Rusmita ◽  
Fatin Fadhilah Hasib ◽  
Tika Widiastuti ◽  
...  
Keyword(s):  
Interest Rate ◽  
Quality Management ◽  
Banking Industry ◽  
External Factors ◽  
Islamic Banking ◽  
Islamic Banks ◽  
Return On Assets ◽  
Internal Factors ◽  
Bank Profitability ◽  
Islamic Bank

Objective – Islamic Banks have a distinct advantage that is not only conduct a commercial operation, but to also conduct social operations. Therefore, Islamic Banks plays an important role in developing the Indonesian economy. The aim of this study is to investigate the impact of internal and external factors that affect the profitability of Islamic Banks in Indonesia. Methodology/Technique – The methodology of this research is multiple regression. The object of this research is the Islamic banking industry in Indonesia. Internal factors include size, liquidity, asset quality, management, and efficiency ratio. External factors include interest rate and inflation. Return on Assets is used to measure profitability. The monthly data is collected from the financial reports of Islamic Banks between 2011 to 2016. Findings – The findings show that size, liquidity, assets quality, management ratio, interest rate and inflation lead to a greater Return on Assets (profitability) in Islamic Banks in Indonesia. Efficiency however does not have a significant effect on profitability of Islamic Banks in Indonesia. Novelty – Based on the results of this research, it can be concluded that the Islamic banking industry can use those variables to improve the profitability of Islamic banks in the future. In addition, there are two variables that affect the profitability of Islamic banking industry. For the Islamic banking industry should anticipate the movement of inflation and interest to improve the profitability of Islamic banks. Type of Paper: Empirical paper. Keywords: Islamic Banks; Profitability; Internal Factors; External Factors; Indonesia. Reference to this paper should be made as follows: Sukmaningrum, P.S; Pirzada, K; Rusmita, S.A; Hasib, F.F; Widiastuti, T; Hendratmi, A. 2020. Determinants of Islamic Bank Profitability: Evidence from Indonesia, J. Fin. Bank. Review, 5 (1): pp. 01 – 13 https://doi.org/10.35609/jfbr.2020.5.1(1) JEL Classification: G21, G24.

Dispute resolution in the Islamic banking industry of Tanzania: learning from other jurisdictions

2016 ◽  
Vol 9 (1) ◽  
pp. 125-142 ◽  
Author(s):  
Abdul-Nasser H.R. Hikmany ◽  
Umar A. Oseni
Keyword(s):  
Dispute Resolution ◽  
Dispute Settlement ◽  
Banking Industry ◽  
Banking System ◽  
Legal Framework ◽  
Policy Framework ◽  
Islamic Banking ◽  
Court System ◽  
Content Type ◽  
Good Policy

Purpose This paper aims to examine the prospects of a dispute resolution framework for the Islamic banking industry in Tanzania under the existing legal framework. Design/methodology/approach This paper is based on comparative study by drawing significant lessons from other jurisdictions, and argues that to avoid some of the initial drawbacks in the dispute resolution framework for Islamic banking transactions in more advanced jurisdictions like Malaysia and United Kingdom, it is important for Tanzania to get it right from the onset to effectively manage Islamic banking disputes. Findings The study finds that apart from the court system which provides the main avenue for Islamic finance litigation, other processes such as arbitration and mediation which are deemed to be more sustainable could also be developed for effective dispute management. Research limitations/implications The study focuses on Tanzania banking system with comparison to other jurisdictions. Practical implications An increase of Sharī’ah-compliant products in Tanzania has led to the establishment of a number of Islamic banks. This study demonstrates the need for Tanzania to make use and/or make adjustment of its laws for effective dispute settlement of banking-related disputes. Originality/value This study appears to be the first paper to draw significant experiences from other jurisdictions to resolve Islamic banking disputes in Tanzania. It is expected to provide a good policy framework for the stakeholders in the Islamic banking industry in Tanzania.

scholarly journals The Needs for Official Sharia Compliance Audit Institution to Protect Customers of Islamic Banking: an Application through Ḥisba

2017 ◽  
Vol 5 (1) ◽  
pp. 75-84
Author(s):  
Bharudin Che Pa ◽  
Mohd Roslan Mohd Nor ◽  
Sanusi Abdul Manaf
Keyword(s):  
Banking Industry ◽  
Banking System ◽  
Islamic Banking ◽  
Contributing Factors ◽  
New Era ◽  
Compliance Audit

The emergence of Islamic banking system in most banks in Malaysia nowadays bring a new era in Malaysian banking industry. This article discusses the needs for official sharia compliance audit institution to protect customers of Islamic banking. By using literature studies, this article concludes that one of the contributing factors which lead people to adopt Islamic banking system is their awareness of the serious and intolerable prohibition of riba. Some of the ways to ensure customers are well protected are to establish ḥisba institution as Sharia compliance audit body. The establishment of ḥisba institution allows it to stop the violation of Allah’s prohibition and protect the society. With the establishment of the institution, it can play an important role to solicit advice and to monitor performance so that the banks operate strictly as according to the Islamic regulations.

scholarly journals The measurement model of Islamic work ethics for Muslim employees in the banking industry

2021 ◽  
Vol 10 (5) ◽  
pp. 66-71
Author(s):  
Gusti Oka Widana
Keyword(s):  
Literature Review ◽  
Empirical Research ◽  
Banking Industry ◽  
Measurement Model ◽  
Islamic Banking ◽  
Quality Work ◽  
Work Ethics

Islamic work ethics of Muslim employees is substantial, as many previous studies show its role in the sound performance of the employees. This study aims to propose the measurement model of Islamic work ethics for Muslim employees in the banking industry. This study identifies eight dimensions of Islamic work ethics upon intensive literature review: religiousness, collectivity, equality, effort, quality, work obligation, competition, and advantage. Based on these dimensions and through certain systematic stages, this study develops a measurement consisting of 47 items. The contribution of this study is to provide a more suitable measurement that can be used by following empirical research to assess the profile of Islamic work ethics for Muslim employees, both for Islamic banking and conventional banking.

scholarly journals ANALISIS KINERJA KEUANGAN PERBANKAN SYARIAH INDONESIA PADA MASA PANDEMI COVID-19

2021 ◽  
Vol 1 (1) ◽  
pp. 111-125
Author(s):  
Sri Diana ◽  
Sulastiningsih Sulastiningsih ◽  
Endar Sulistya ◽  
Purwati Purwati
Keyword(s):  
Financial Performance ◽  
Quantitative Research ◽  
Banking Industry ◽  
Financial Sector ◽  
Bank Performance ◽  
Islamic Banking ◽  
Important Thing ◽  
Bank Solvency ◽  
Solvency Ratio ◽  
Profitability Ratios

Financial sector is an important thing for a country development. Indirectly, the financial sector will support the economy especially during the pandemic, including the Islamic banking industry. This study aims to analyze the financial performance of Islamic banking in Indonesia based on profitability ratios consisting of BOPO, ROA, ROE, liquidity ratios consisting of Cash ratio and FDR, as well as solvency ratios as measured by the CAR ratio, during the COVID-19 pandemic. This research is descriptive quantitative research by measuring the financial performance of the bank through the level of profitability ratios. The results of this study show that there is a fluctuation changing in the performance values during the COVID-19 pandemic. Bank performance through profitability ratios shows that some sharia banks are classified as efficient and some have decreased the performance. In the liquidity ratio, the average bank experienced a decline in the cash ratio component, with the lowest being at BRI Syariah, which fell by 50.9%. Bank solvency ratio generally shows good performance.

scholarly journals The perception of Islamic banking by the first national bank sales staff in the Kwazulu-Natal region of South Africa

2016 ◽  
Vol 11 (4) ◽  
pp. 50-60 ◽  
Author(s):  
Ismail Vahed ◽  
Muhammad Ehsanul Hoque
Keyword(s):  
Banking Industry ◽  
Cross Sectional Study ◽  
Sales Force ◽  
Jel Classification ◽  
Islamic Banking ◽  
Cross Sectional ◽  
Negative Perception ◽  
National Bank ◽  
Conventional Banks ◽  
Sales Staff

The objective of this study is to determine the perception and awareness of Islamic banking by a conventional banks sales force. This was a cross-sectional study conducted among 100 sales staff randomly selected to take part in the study. A self-administered anonymous questionnaire was used to collect the data using online system called QuestionPro. Results revealed that whilst the respondents did feel there was a need for Islamic banking, they also did feel that Islamic banking was more complicated than conventional banking. The study also revealed that there was an overall negative perception of Islamic banking which was primarily based on a lack of knowledge, awareness, and understanding. It is recommended that banks provide sufficient and effective training to their staff on all products and services so that any negative perception can be eliminated. This study can benefit organizations that are in the Islamic banking industry or looking at getting into the Islamic banking industry. Keywords: Islamic banking, conventional banking, knowledge, perception, training. JEL Classification: G21, D83

scholarly journals The Major Issues Facing Staff in Islamic Banking Industry and its Impact on Productivity

2020 ◽  
Vol 14 (3) ◽  
pp. 392-405
Author(s):  
Harith Yas ◽  
Abbas Mardani ◽  
Ali Alfarttoosi
Keyword(s):  
Banking Industry ◽  
Islamic Banking
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