scholarly journals Peranan Otoritas Jasa Keuangan (OJK) Sebagai Lembaga Muhtasib Dalam Industri Keuangan Syariah di Indonesia

2020 ◽  
Vol 9 (2) ◽  
pp. 73
Author(s):  
Abdul Salam ◽  
Syaiful Muhammad Irsyad
Keyword(s):  
Financial Services ◽  
Banking Sector ◽  
Financial Service ◽  
Integrated System ◽  
Islamic Finance ◽  
Financial Industry ◽  
Finance Industry ◽  
Central Java ◽  
Service Activities

<p>In Indonesia, one of the institutions that can be considered a Muhtasib institution in the sharia financial sector is the Financial Services Authority (OJK). As Law Number 21 of 2011, the OJK has the function of organizing an integrated system of regulation and supervision of all activities in the financial services sector which include financial service activities in the Banking sector; financial service activities in the Capital Market sector; and financial service activities in the Insurance, Pension Funds, Financing Institutions and Other Financial Services Institutions sectors, including the Islamic finance industry sector. This study will unravel the extent of the role of the FSA as the Muhtasib in the Islamic finance industry in Indonesia, especially in the regional areas of Central Java and D.I. Yogyakarta.</p><p>This research did 2 (two) kinds of research, they are field of study and literature study. The collecting data of this research through observation and non-structured interview. The methode of data collection is conducting  interviews  with  the Central Java OJK, OJK D.I. Yogyakarta.</p><p>The conclusion of this study is that the role of the Financial Services Authority (OJK) in Regional Region 3 of Central Java and Yogyakarta as a Muhtasib institution in supervising the Islamic financial industry in Central Java and Yogyakarta is quite significant, although with some notes, including the position of OJK Regional 3 Central Java and DIY Yogyakarta which is only able to reach Islamic financial institutions (LKS) whose head office is located in Central Java and Yogyakarta, while LKS only has branch offices in Central Java and Yogyakarta Yogyakarta. Is the authority of the Regional OJK 3 of Central Java and DIYogyakarta, meaning that it is the domain of the authority of the Central OJK in Jakarta. The problem is if there is a violation or an act that is against the law, then the Regional OJK 3 of Central Java and D.I. Yogyakarta is only reporting or coordinating with the Central OJK. The Financial Services Authority (OJK) in Region 3 of Central Java and Yogyakarta Yogyakarta has carried out its function as an actress in the context of violations of law or criminal acts, in which the OJK has played a function as an investigator and then reported to law enforcement officials (APH ) and submitted to the judicial process. However, related to the implementation of the Microfinance Institution Law, OJK has not been able to carry out its function as a constitutional acter in enforcing Article 39 of the LKM Law regarding the existence of BMTs in the community which should abide and comply with licensing regulations under the OJK</p><p><strong>Keywords:</strong><strong> </strong><strong>Financial Services Authority, Muhtasib Institution, Sharia Financial Industry</strong></p>

scholarly journals A JUDICIAL PERSPECTIVE ON ISLAMIC FINANCE LITIGATION IN MALAYSIA

1970 ◽  
Vol 21 (2) ◽  
Author(s):  
Tun Arifin Bin Zakaria
Keyword(s):  
Dispute Resolution ◽  
Financial Services ◽  
Legal Framework ◽  
Islamic Finance ◽  
Finance Industry ◽  
International Recognition ◽  
The Future ◽  
Competitive Products ◽  
Civil Courts

In the last four decades, Malaysian jurists and Sharî’ah scholars have immensely contributed to the field of Islamic finance sufficient to attract international recognition and acceptance. This has turned Malaysia to a vibrant global hub for Islamic financial services. In furtherance of this enviable position, a new legal framework was recently introduced which is expected to reemphasize the pragmatic and resilient nature of the Islamic finance industry. This paper therefore provides a judicial perspective on the recent reforms in the legal framework of Islamic finance industry, examines the dynamics of Islamic finance litigation, and highlights the important role of the judiciary and other dispute resolution institutions in shaping the future of the industry. In Malaysia, the nature of the trading concepts, upon which the Islamic finance facilities are based, are the major sources of disputes since the Islamic finance industry operates within a conventional framework and related disputes are litigated in the civil courts. It is therefore argued that the biggest challenge for the courts in the exercise of its judicial function is the application of relevant laws to Islamic finance transactions. The paper concludes that strengthening the legal architecture of the industrywill necessarily lead to the development of competitive products that are not only Sharî’ah-compliant but alsoconventionally viable. This can be achieved through the channelling of Islamic finance disputes to an alternative forum for appropriate dispute resolution. ABSTRAKDalam empat dekad yang lalu, cendekiawan Malaysia dan pakar Syariah telah memberi sumbangan yang besar kepada bidang kewangan Islam yang cukup bagi menarik pengiktirafan dan penerimaan antarabangsa. Ini telah menjadikan Malaysia suatu hab global bertenaga untuk perkhidmatan kewangan Islam. Bagi meneruskan kedudukan yang dicemburui ini, satu rangka kerja undang-undang baru telah diperkenalkan baru-baru ini yang diharap lebih menekankan kepada lumrah pragmatik dan berdaya tahan industri kewangan Islam. Oleh itu, kertas kerja ini memberikan perspektif kehakiman terhadap pembaharuan mutakhir dalam rangka kerja undang undang industri kewangan Islam, mengkaji dinamik litigasi kewangan Islam, dan menjelaskan peranan penting badan kehakiman dan institusi-institusi penyelesaian pertikaian yang lain dalam membentuk masa depan industri ini. Di Malaysia, lumrah konsep perdagangan, yang mana menjadi dasar kemudahan kewangan Islam, adalah punca utama pertikaian sejak industri kewangan Islam beroperasi di dalam rangka kerja konvensional dan pertikaian berkaitan telah dilitigasikan di mahkamah sivil. Maka ia telah dibahaskan bahawa cabaran terbesar bagi mahkamah pada menjalankan fungsi kehakimannya adalah aplikasi undang-undang yang berkaitan dengan urus niaga kewangan Islam. Kertas kerja ini menyimpulkan bahawa pengukuhan rangka kerja undang-undang industri akan membawa kepada pembangunan produk yang berdaya saing yang bukan sahaja patuh Syariah tetapi juga berdaya maju dari sudut konvensionalnya. Ini boleh dicapai melalui penyaluran pertikaian kewangan Islam kepada forum alternatif untuk penyelesaian pertikaian yang sesuai.

Establishing Social Justice Through Financial Inclusivity: Islamic Propagation by Islamic Savings and Credit Cooperatives in Indonesia

2014 ◽  
Vol 2 (2) ◽  
pp. 201-222 ◽  
Author(s):  
Minako Sakai
Keyword(s):  
Social Justice ◽  
Financial Services ◽  
Urban Areas ◽  
Banking Sector ◽  
Islamic Finance ◽  
Small Scale ◽  
Islamic Banks ◽  
Economic Activities ◽  
Central Java ◽  
Credit Cooperatives

AbstractIslamic finance has been growing significantly across the globe. In Southeast Asia, interest in Islamic finance and its growth is significant in Malaysia. Compared with Malaysia, in Indonesia, however, the largest Muslim population country where an Islamic resurgence has been widely taking place, the growth of Islamic banks remains slower and on a smaller scale. Furthermore, recent research shows that Islamic piety does not systematically translate into the use of Islamic banks among middle-class Indonesians. Against these findings, this article highlights a relatively understudied Islamic finance institution, Islamic Savings and Credit Cooperatives, in Indonesia commonly known as Baitul Maal wat Tamwil (BMT). The BMT sector is separate from the banking sector and as such has received little scholarly attention as part of Islamic finance in Indonesia. The number of the BMTs in Indonesia has increased significantly since the 1990s and they are grass-roots Islamic financial institutions offering financial services to relatively small-scale traders in urban areas. Based on data from anthropological research in Central Java, this article argues that Islamic propagation is an important element among the BMT founders and workers. They perceive their economic activities as Islamic propagation by deeds (dakwah bil hal) to achieve social justice.

scholarly journals Fifth Harvard University Forum Islamic Finance

2002 ◽  
Vol 19 (3) ◽  
pp. 156-162
Author(s):  
Zaid AJbarzinji
Keyword(s):  
Financial Institutions ◽  
Financial Services ◽  
Service Providers ◽  
Middle Eastern ◽  
Professor Emeritus ◽  
Islamic Finance ◽  
Development Bank ◽  
Financial Industry ◽  
Finance Industry ◽  
Past Experiences

Each year, the Harvard Islamic Finance Information Program (HIFIP) of the Center for Middle Eastern Studies organizes this forum. This year's forum had an international flavor, thanks to participants from Malaysia, South Africa, the Middle East, and Europe. Participants were mainly finance industry representatives from the Islamic Development Bank, the Kuwait Finance House, HSBC Amanah Finance, the Dow Jones Islamic Index, Bank Indonesia, Freddie Mac, and others. In addition, several experts in Islamic economics and finance, such as Monzer Kahf, M. Nejatullah Siddiqi, Nizam Yaquby, and Frank E. Vogel participated. Many other participants sought to educate themselves about the principles of Islamic finance and the availability of lslamically approved financial products. Overall, the forum was more of an opportunity for those interested in Islamic finance to meet each other, network, and present some of their latest lslamically approved financial instruments and contracts. The forum fea­tured a few research papers and many case studies. Most presentations and panel discussions focused on current and past experiences in the Islamic finance industry, challenges facing the development of new financial instru­ments, effective marketing and delivery of products to end-users, and areas where applying jjtihad is most needed and promising. Participants also dis­cussed the need to develop relevant financial institutions to strengthen the stability and perfonnance of Islamic financial service providers ( e.g., man­aging liquidity and risk). Thomas Mullins, HIFIP's executive director, welcomed the guests. He stressed the Islamic finance industry's important role in creating a dialogue between I slam and the West - a role made especially relevant after Septem­ber 11. Forum chairperson Samuel Hayes, Jacob Schiff Professor Emeritus at Harvard Business School, used his opening remarks to commend the industry on its many accomplishments during the past decade and outlined areas for improvement. In his introduction, Saif Shah Mohammed, presi­dent of the Harvard Islamic Society, suggested that the industry should prer vide relevant services to students, such as Shari'ah-compliant educational loans and young professional programs. Ahmad Mohamed Ali, president of the Islamic Development Bank (IDB), delivered the keynote address: "The Emerging Islamic Financial Architecture: The Way Ahead." He discussed the infrastructure required to strengthen the Islamic financial industry, which is in a process of evolution. Some recent major initiatives include the Accounting and Auditing Organ­ization for Islamic Financial Institutions, the Islamic Financial Services Organization, an international Islamic financial market with a liquidity management center, and an Islamic rating agency. Currently, there are ...

scholarly journals Emergence of Non-Traditional Financial Service Providers in the Market - A Threat or An Opportunity for the Georgian Banking Industry

2021 ◽  
Vol 4 (2) ◽  
pp. 97
Author(s):  
Tea Kasradze
Keyword(s):  
Financial Services ◽  
Banking Sector ◽  
New Technologies ◽  
Service Providers ◽  
Banking Industry ◽  
Secondary Data ◽  
Financial Service ◽  
Retail Banking ◽  
Financial Industry ◽  
The Impact

Each banking institution has a customer-oriented strategic plan, although the sudden emergence of competition does not allow them to relax. The explosion of new technologies and the rise in consumer demand have been putting pressure on banks since the 2008 recession. Retail banking customers are constantly expecting new, improved, affordable, convenient continuous service from the bank. In an environment of increasingly competitive, innovative financial services, banks need to be able to maintain not only customers but also brand awareness. The emergence of non-traditional financial service providers in the market such as FinTech, NEO Banks, Challenger Banks, BigTech, which reduces the relationship between banks and their customers, completely changes the banking industry. Today we face a new open ecosystem of consumers, traditional banks, FinTech and BigTech companies, regulators, developers, non-banking firms and other players, with customers at the center. Banks will have to significantly change their commercial and operating models to retain customers and remain active players in the market. The presented paper examines the development trends of new players in the financial industry - non-traditional financial service providers and the readiness of the banking industry to respond to these trends. The paper is a study of the impact of digitalization of financial services on the banking sector based on the study and analysis of reports of the various international organizations, local policy documents, reports and regulations of the National Bank, the papers of various researchers and their secondary data. Based on the research, suggestions have been made on how Georgian banks should strategically approach non-traditional providers of financial services to avoid losses, withstand competition and remain active market players.

Role of The Halal Industry in Recovering the National Economy in Covid-19 Pandemic

2020 ◽  
Vol 8 (2) ◽  
pp. 202-214
Author(s):  
Cucu Susilawati
Keyword(s):  
National Economy ◽  
Banking Sector ◽  
Developed Countries ◽  
Online News ◽  
Financial Industry ◽  
National Economic ◽  
Halal Food ◽  
Vigorous Growth ◽  
Business Sectors

The outbreak of the Covid-19 pandemic in Indonesia is attacking not only public health but also the economy. The presence of Covid-19 has many important impacts on developed countries. There are at least four industries most impacted by this pandemic, including households, MSMEs, companies and the financial industry. However, the halal industry is believed to be more resilient to the Covid-19 pandemic. This durability is because of the principles attributed to the halal sector, namely the importance of fairness, balance and openness. The author’s goal is therefore to carry out more in-depth research on the role of the halal industry in supporting the national economy, which is under pressure because of the COVID-19 pandemic. This type of study is a literature review with a material analysis approach that explores the conditions of the halal industry in Indonesia in depth. The material received is as books, published information, and online news. The findings of this study reveal that there are three halal business sectors that are believed to be more vulnerable to the Covid-19 pandemic in order to facilitate national economic recovery. Halal finance, halal food and halal fashion industries are among them. Halal finance from both the banking sector and the Islamic stock market has proved to be more robust than the mainstream financial sector. Besides guaranteed halal food, its wellbeing is also guaranteed, and halal fashion is now on the rise as Muslim fashion is increasingly innovative and global. We believe the three of them to have experienced vigorous growth, and also to continue to draw customers. And also after the Covid-19 pandemic, these three sectors could survive. Thus the halal industry also contributes to Indonesian economy.

Building trust in Islamic finance products and services

2017 ◽  
Vol 12 (3) ◽  
pp. 356-372 ◽  
Author(s):  
Syed Nazim Ali
Keyword(s):  
Financial Services ◽  
Islamic Finance ◽  
Illustrative Case ◽  
Content Type ◽  
Finance Industry ◽  
The Past ◽  
Building Trust ◽  
Central Tenet ◽  
Stake Holder ◽  
Perceived Impact

Purpose With the increasing instances of malfeasance and frauds coming to light in the financial services industry, trust has become a key concern for customers. Fortunately, in the case of Islamic Finance, trust is a central tenet, and its importance can be seen through the emphasis of Amanah or trustworthiness that should be present in every financial transaction. However, it has been argued that the principle of trust has not been truly realized in Islamic Finance, or that there are still issues of distrust regarding anything which is obtrusively branded as “Islamic”. In this paper, the author will analyze the reasons for gaps between the expectations and reality of the finance industry today by looking at the main factors contributing to distrust among the different stakeholders and the perceived impact of the distrust on the industry and the general public. It then focuses on the past and ongoing efforts by academia to bridge these gaps between the different stake holder groups with the help of illustrative case studies as well as recommends future steps to be taken to ensure a stronger foundation of trust within the Islamic Finance community.

scholarly journals PERAN OTORITAS JASA KEUANGAN TERHADAP PENGAWASAN LEMBAGA KEUANGAN DI INDONESIA

2019 ◽  
Vol 1 (02) ◽  
pp. 177-188
Author(s):  
Annisa Arifka Sari
Keyword(s):  
Capital Market ◽  
Financial Services ◽  
Financial Service ◽  
Legal Basis ◽  
Legal Research ◽  
Services Sector ◽  
Financial Services Sector ◽  
Stable Manner ◽  
The Government

Penelitian ini bertujuan untuk menjelaskan peran Otoritas Jasa Keuangan sebagai lembaga independen dalam melakukan pengawasan terhadap lembaga jasa keuangan di Indonesia serta kewenangan Otoritas Jasa Keuangan yang diatur dalam Undang-Undang Nomor 21 Tahun 2011 tentang Otoritas Jasa Keuangan. Metode yang digunakan dalam penelitian ini adalah penelitian hukum normatif. Dari hasil penelitian dijelaskan bahwa Otoritas Jasa Keuangan adalah lembaga yang independen dan bebas dari campur tangan pihak lain, yang mempunyai fungsi, tugas, dan wewenang pengaturan, pengawasan, pemeriksaan, dan penyidikan terhadap lembaga jasa keuangan seperti perbankan. Dasar hukum dibentuknya Otoritas Jasa Keuangan adalah Undang-Undang Nomor 21 Tahun 2011. Secara kelembagaan, Otoritas Jasa Keuangan berada di luar pemerintah, yang dimaknai bahwa Otoritas Jasa Keuangan tidak menjadi bagian dari kekuasaan pemerintah. Otoritas Jasa Keuangan dibentuk dengan tujuan agar keseluruhan kegiatan di dalam sektor jasa keuangan terselenggara secara teratur, adil, transparan, dan akuntabel; mampu mewujudkan sistem keuangan yang tumbuh secara berkelanjutan dan stabil; serta mampu melindungi kepentingan konsumen dan masyarakat. Otoritas Jasa Keuangan bertugas tidak hanya mengatur dan mengawasi perbankan saja, tetapi juga mencakup pasar modal, perasuransian, dana pensiun, lembaga pembiayaan, serta lembaga jasa keuangan lainnya.    THE ROLE OF FINANCIAL SERVICES AUTHORITY ON SUPERVISION OF FINANCIAL INSTITUTIONS IN INDONESIA This research aims to explain the role of the Financial Services Authority as an independent institution in supervising financial service institutions in Indonesia as well as the authority of the Financial Services Authority as regulated in Law Number 21 of 2011 concerning the Financial Services Authority. The method used in this research is normative legal research. From the research results, it is explained that the Financial Services Authority is an independent institution and free from interference from other parties, which has the function, task and authority to regulate, supervise, examine and investigate financial service institutions such as banks. The legal basis for the establishment of the Financial Services Authority is Law Number 21 of 2011. Institutionally, the Financial Services Authority is outside the government, which means that the Financial Services Authority is not part of the government's power. The Financial Services Authority was formed with the aim that all activities in the financial services sector are carried out in an orderly, fair, transparent and accountable manner; able to realize a financial system that grows in a sustainable and stable manner; and able to protect the interests of consumers and society. The Financial Services Authority is tasked with not only regulating and supervising banking, but also covering the capital market, insurance, pension funds, financing institutions, and other financial service institutions.    

scholarly journals The Relationship Between Business Environment and Single Champion Enterprise Entrepreneurship

2022 ◽  
Vol 12 ◽  
Author(s):  
Chanti Wu ◽  
Jinjin Lin
Keyword(s):  
Financial Services ◽  
Business Environment ◽  
Financial Service ◽  
Market Environment ◽  
Multiple Resources ◽  
Configuration Theory ◽  
Market Driven ◽  
Innovation Type ◽  
The Relationship

What kind of business environment can produce high single champion enterprise entrepreneurship is a new issue for discussion in research on entrepreneurship. Based on institutional configuration theory and the fcQCA method, the present paper analyses the relationship between the business environment and single champion enterprise entrepreneurship from the perspective of configuration. This paper studies the role of the business environment in 80 case cities all over the country in promoting high single champion enterprise entrepreneurship and discusses three business environment configurations concerning high single champion enterprise entrepreneurship and two configurations concerning non-high single champion enterprise entrepreneurship. Three typical business environment element configurations can promote high single champion enterprise entrepreneurship, namely, the market innovation type dominated by multiple resources, the financial service–driven type assisted by resources, and the market-driven type led by financial services, which reflects the significance of financial services and the market environment.

scholarly journals ??? ???? ??????? ??????? ?? ??????? ??????? ??? ??????? ????????? ?? ????????? ??????? ?? ??????: ????? ????? ?????? ?????

2016 ◽  
Vol 1 (2) ◽  
pp. 215
Author(s):  
Hatta Syamsuddin ◽  
Abdul Khaliq Hasan ◽  
Moh Muinudinillah
Keyword(s):  
Supervisory Board ◽  
Islamic Finance ◽  
Islamic Banking ◽  
Finance Industry ◽  
Islamic Jurisprudence ◽  
Banking Business ◽  
Rules And Principles ◽  
Muslim Communities ◽  
Financial Transactions

The emergence of Islamic banking was considered as a response to the desire of Muslim communities to disassociate from usury (riba-based) system. The development of time increasing the diversity of financial transactions, both in trading and banking business, which has no provisions in the old sources of Islamic jurisprudence. This dangerous phenomenon was the reason for the importance of a Sharia Supervisory Board to ensure all of the banking transactions comply with the rules and principles of sharia. This research focused on the role of National Sharia Board and his methodology in the fatwa. This research uses analytical descriptive methodology. The limitations of this research were about: how the National Sharia Board played their roles in Indonesia and how the method applied by the National Sharia Board in issuing a fatwa. The research found that: the National Sharia Board in Indonesia has played their roles, especially in developing Islamic finance industry, ensuring financial and banking transaction comply with the rules and principles of sharia, and providing awareness and guidance to the Muslim communities. The issuing of fatwa on financial transactions was the authority of the National Sharia Board. The National Sharia Board hold on procedures, specific steps, and certain agreed methodology in issuing the fatwa. Nevertheless, there still some fatwas that caused controversy in the Islamic community

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