scholarly journals Comparison Of Good Corporate Governance(GCG) Implementation Practices In Islamic Commercial Banks In Indonesia

2021 ◽  
Vol 4 (2) ◽  
pp. 25-32
Author(s):  
Hendra Eka Saputra ◽  
Zul Ihsan
Keyword(s):  
Corporate Governance ◽  
Monitoring System ◽  
Commercial Banks ◽  
Research Method ◽  
Descriptive Analysis ◽  
Supervisory Board ◽  
Islamic Banking ◽  
Islamic Banks ◽  
Good Corporate Governance ◽  
Conventional Banks

Sharia Banking in Indonesia has a Sharia Supervisory Board that can monitor the operation of Sharia banks so that they are different from other banks. It is hoped that with this monitoring system the operation of corporate governance will be better. This study aims to explain the differences in the application of Good Corporate Governance (GCG) between Islamic banking in Indonesia. Sharia Bank is a bank whose application is different from conventional banks. Where one of the differences is the existence of a Sharia Supervisory Board which ensures bank activities are based on sharia. Then conducted a study of Islamic banks during 2014 to 2018. This research method uses descriptive analysis based on data that has been reported by each Islamic banking. The results of the survey showed that BCA Syariah and BSM received the highest rating among other sharia banks. This explanation shows that the implementation of corporate governance has been "very good" and has been in accordance with the stipulated provisions. BNIS, BRIS, Bukopin Syariah Bank, Mega Syariah Bank, Panin Syariah Bank, Victoria Syariah Bank, and Maybank Syariah, each ranked 2 (two). This means that the implementation of corporate governance goes "well". Interestingly, the Muamalat bank which has been the oldest BUS in Indonesia is ranked 3 (three). This means that the application of corporate governance is "good enough". Some notes on Muamalat's bank that must be corrected.

Good Corporate Governance Principles in Indonesian Syariah Banking

2020 ◽  
Vol 2 (1) ◽  
pp. 8-13
Author(s):  
Andrew Shandy Utama
Keyword(s):  
Corporate Governance ◽  
Financial Services ◽  
Islamic Law ◽  
Good Governance ◽  
Banking System ◽  
Supervisory Board ◽  
Islamic Banking ◽  
Islamic Banks ◽  
Good Corporate Governance ◽  
Conventional Banks

Islamic banks are banks that carry out their business activities based on the principles of Islamic law in banking activities based on fatwas issued by the National Sharia Council of the Majelis Ulama Indonesia. This research aims to explain the principles of Good Corporate Governance in Islamic banking in Indonesia. The method used in this research is normative legal research. The results of the research explained that to maintain the trust of Indonesian people who are predominantly Muslim, Islamic banking must apply the principle of Good Corporate Governance in its management. The application of the principle of Good Corporate Governance in Islamic banking is strictly regulated in Article 34 Paragraph (1) of Law Number 21 of 2008, which emphasizes that Islamic banks must implement good governance that includes the principles of transparency, accountability, responsibility, professionalism and fairness in carrying out its business activities. Form of application of the principles of Good Corporate Governance in Islamic banking is supervision conducted by the National Sharia Council of the Majelis Ulama Indonesia in general and the Sharia Supervisory Board specifically in each Islamic bank. Based on data from the Financial Services Authority in 2017, currently there are 13 Islamic banks in Indonesia, 13 Islamic business unit of conventional banks, and 102 Islamic rural banks. This is evidence of the existence and development of Islamic banking that is significant in the national banking system.

Analisis Kepatuhan Syariah pada Bank Syariah: Studi Kasus Bank Pembiayaan Rakyat Syariah

2020 ◽  
Vol 4 (1) ◽  
pp. 27-35
Author(s):  
Aini Maslihatin ◽  
Riduwan Riduwan
Keyword(s):  
Descriptive Analysis ◽  
Supervisory Board ◽  
Fundamental Principle ◽  
Islamic Banking ◽  
Islamic Banks ◽  
Quantitative Descriptive Analysis ◽  
Sample Distribution ◽  
Quantitative Descriptive ◽  
Conventional Banks ◽  
High Degree

Sharia compliance is the adherence of Islamic banks to Islamic rules or laws in muamalah and is one of the factors that differentiate it from conventional banks. Therefore sharia compliance is a fundamental principle in Islamic banking practices. Muamalah law, especially the economy, has a high degree of difference, so the sharia compliance standards in Indonesia refer to the Fatwa of the National Sharia Council-Indonesian Ulama Council (DSN-MUI). This study aims to analyze the practice of sharia compliance in Islamic Rural Banks (BPRS) in Indonesia. The data analyzed is the assessment of the Sharia Supervisory Board (DPS) on the practice of BPRS for five years. The sample distribution covers all regions of Indonesia with 24 units of analysi with 46 respondenss. The data analysis used quantitative descriptive analysis and compared it with the DSN-MUI fatwa. This study's results indicate that the level of compliance with Islamic rural banks in Indonesia is, on average, excellent. Other findings show that, when viewed from the contract's practice, financing with a musyarakah contract has the highest level of sharia compliance compared to separate agreements. Meanwhile, the lowest sharia compliance is in the murabahah contract. This condition is influenced because Islamic banks often use the murabahah bil wakalah contract. The weakness of this contract lies in the procurement of goods by customers, often not accompanied by proof of purchase.

scholarly journals KARAKTERISTIK DAN PENERAPAN ISLAMIC CORPORATE GOVERNANCE PADA PERBANKAN SYARIAH

2019 ◽  
Vol 2 (2) ◽  
pp. 116
Author(s):  
Fadiyah Hani Sabila
Keyword(s):  
Corporate Governance ◽  
Human Resources ◽  
Good Governance ◽  
Supervisory Board ◽  
Profit Sharing ◽  
Islamic Banks ◽  
Good Corporate Governance ◽  
The Difference ◽  
Business Entities ◽  
Conventional Banks

<p><em>As one of the business entities under the umbrella of the unitary state of Indonesia, Islamic banks are also required to implement Good Corporate Governance which will henceforth be abbreviated as GCG. The application of GCG in Islamic banks is important considering Islamic banks are banks that use the principle of profit sharing. GCG is a requirement for Islamic banks to develop well and healthy. Good GCG implementation refers to five principles, namely accountability, transparency, independence, responsibility and fairness. The concept of Good Corporate Governance between conventional banks and Islamic banks is basically the same, but the difference between the two is the existence of Shariah compliance and the existence of the Sharia Supervisory Board (DPS). Islamic banks managed and owned by human resources who have integrity (good morals) and professionals, will encourage the implementation of the principles of good governance (Good Corporate Governance).</em></p>

scholarly journals Perbandingan Implementasi Prinsip Good Corporate Governance pada Bank Konvensional dan Bank Syariah

2016 ◽  
Vol 2 (1) ◽  
pp. 39-45
Author(s):  
Andrew Shandy Utama
Keyword(s):  
Corporate Governance ◽  
Financial Services ◽  
Supervisory Board ◽  
National Committee ◽  
Research Use ◽  
Islamic Banks ◽  
Good Corporate Governance ◽  
Conventional Banks ◽  
Relationship Of ◽  
The Relationship

Abstract: In principle, the relationship between the bank and its customers are saving money in the bank based on the relationship of trust, so that each bank is required to have to continue to maintain the level of health. Solutions that can be taken by the banks, both conventional banks and Islamic banks, to maintain the existence and level of health is with the implementation of the principles of good corporate governance. Therefore, it is interesting to examine the comparison of implementation of the principles of good corporate governance in conventional banks and Islamic banks. The method used in this study is a normative legal research. This research use approach legislation. The results showed that in essence, the implementation of the principles of good corporate governance in conventional banks and Islamic banks are the 'same', because it refers to the "Code of Good Corporate Governance Indonesian Banking" issued by the National Committee on Governance (NCG). The fundamental difference lies in Islamic principles used by Islamic banks. In addition to guided and supervised by the Financial Services Authority as conventional banks, Islamic banks are also supervised by the National Sharia Board MUI and Sharia Supervisory Board who served in each Islamic bank. Keywords: The Principles of Good Corporate Governance

scholarly journals KETERTARIKAN NASABAH BANK KONVENSIONAL MELAKUKAN TAKE OVER KE BANK SYARIAH

2019 ◽  
Vol 1 (1) ◽  
pp. 29-50
Author(s):  
Juliana Juliana ◽  
Ismaulina Ismaulina ◽  
Melur Salsazila
Keyword(s):  
Qualitative Research ◽  
Data Collection ◽  
Financial Services ◽  
Commercial Banks ◽  
Research Method ◽  
Islamic Banking ◽  
Islamic Banks ◽  
The Public ◽  
Administrative Costs ◽  
Conventional Banks

With the development of Sharia Commercial Banks in Indonesia, it has become a customer solution in conducting economic transactions. Islamic Banks are institutions that provide financial services in accordance with sharia principles. Sharia Bank also provides Take Over services as a solution for customers in transferring debts from Conventional Banks to Sharia Banks. The purpose of this study is to determine the implementation of Take over and to find out why customers are interested in taking over from Conventional Banks to Islamic Banking in Lhokseumawe City. The research method used is a qualitative research method in order to obtain clear and definite data. Data collection techniques used in this study were interviews and documentation. The results showed that: (1) The contracts used in Sharia Banking in Lhokseumawe City are hiwalah, murabahah and qardh contracts. Implementation and application determined by Sharia Banking in Lhokseumawe City includes several stages, namely: The customer submits a financing application file in Sharia Banking, the customer confirms the remaining credit at the original Bank, after signing all application documents, the financial officer and the customer bring cash to the bank that payment is made, the customer has been transferred to Islamic Banking in Lhokseumawe City after signing a financing agreement and submitting a guarantee legality. (2) The reason the customer switches to a Sharia bank in Lhokseumawe City is because the customer wants financing based on the sharia system, is easily accessible to the public, the process is fast, administrative costs and insurance are cheaper, so that the customer is interested in switching to Sharia Banking in Lhokseumawe City with a murabahah financing contract. Keywords: Take over, Bank Konvesional dan Bank Syariah   Abstrak Dengan perkembangan Bank Umum Syariah di Indonesia, telah menjadi solusi pelanggan dalam melakukan transaksi ekonomi. Bank Syariah adalah lembaga yang menyediakan jasa keuangan sesuai dengan prinsip syariah. Bank Syariah juga menyediakan layanan Take Over sebagai solusi bagi pelanggan dalam mentransfer hutang dari Bank Konvensional ke Bank Syariah. Tujuan dari penelitian ini adalah untuk menentukan implementasi Take over dan untuk mengetahui mengapa pelanggan tertarik untuk mengambil alih dari Bank Konvensional ke Perbankan Syariah di Kota Lhokseumawe. Metode penelitian yang digunakan adalah metode penelitian kualitatif dalam rangka memperoleh data yang jelas dan pasti. Teknik pengumpulan data yang digunakan dalam penelitian ini adalah wawancara dan dokumentasi. Hasil penelitian menunjukkan bahwa: (1) Kontrak yang digunakan dalam Perbankan Syariah di Kota Lhokseumawe adalah kontrak hiwalah, murabahah dan qardh. Implementasi dan aplikasi yang ditentukan oleh Perbankan Syariah di Kota Lhokseumawe mencakup beberapa tahap, yaitu: Pelanggan mengajukan file aplikasi pembiayaan di Perbankan Syariah, pelanggan mengkonfirmasi sisa kredit di Bank asli, setelah menandatangani semua dokumen aplikasi, petugas keuangan dan pelanggan membawa uang tunai ke bank bahwa pembayaran dilakukan, pelanggan telah ditransfer ke Perbankan Syariah di Kota Lhokseumawe setelah menandatangani perjanjian pembiayaan dan mengajukan legalitas jaminan. (2) Alasan pelanggan beralih ke bank Syariah di Kota Lhokseumawe adalah karena pelanggan menginginkan pembiayaan berdasarkan sistem syariah, mudah diakses oleh publik, prosesnya cepat, biaya administrasi dan asuransi lebih murah, sehingga pelanggan tertarik untuk beralih ke Perbankan Syariah di Kota Lhokseumawe dengan kontrak pembiayaan murabahah. Kata kunci: Take Over, Konvesional Bank dan Bank Syariah.

Pengaruh Islamic Social Reporting terhadap Profitabilitas (Return on Asset dan Return on Equity) Pada Bank Umum Syariah Di Indonesia

2019 ◽  
Vol 4 (2) ◽  
pp. 1
Author(s):  
Ana Santika
Keyword(s):  
Corporate Governance ◽  
Commercial Banks ◽  
Sampling Technique ◽  
Social Reporting ◽  
Annual Reports ◽  
Islamic Banking ◽  
Islamic Banks ◽  
Collection Method ◽  
Return On Equity ◽  
Social Environmental

The act of accuracy and prudence is very important in the company because is the factor that determines the sustainability of companies such as banking. This study aims to analyze the effect of Shariah Complaints towards the profitability of Islamic Banks in Indonesia. This type of research is quantitative. The data collection method used is the documentation method and library study method. The sampling technique uses purposive sampling with the criteria of Islamic commercial banks that publish annual-reports from 2013 to 2017 from 13 Islamic commercial banks (BUS) in Indonesia. The results of this study show that the Funding and Investment, Products and Services, Employees, Community or Social, Environmental, Corporate Governance simultaneously does not have influence significantly the ROE variable, but it does significantly influence to ROA. Means that the wider the Islamic social reporting of Islamic banking, the greater the profitability of Islamic banking. In addition, high profitability will encourage managers to provide more detailed information, because they want to convince investors of company profits and its compensation for management.

scholarly journals PERBANDINGAN TINGKAT KESEHATAN BANK UMUM KONVENSIONAL DAN BANK UMUM SYARIAH MENGGUNAKAN METODE RGEC (RISK PROFILE, GOOD CORPORATE GOVERNANCE, EARNINGS, DAN CAPITAL)

2020 ◽  
Vol 4 (4) ◽  
pp. 635-653
Author(s):  
Zara Zettyra R. D ◽  
Evi Mutia
Keyword(s):  
Corporate Governance ◽  
Commercial Banks ◽  
Risk Profile ◽  
T Test ◽  
Islamic Banks ◽  
Self Assessment ◽  
Good Corporate Governance ◽  
Significant Difference

The purpose of this study was to see a comparison of the health levels of conventional commercial banks and Islamic commercial banks using the RGEC method in the 2014-2017 period. The sample of this study were 30 conventional commercial banks and 11 sharia commercial banks. The assessment used uses the RGEC method (Risk Profile, Good Corporate Governance, Earnings, Capital) Risk Profile seen through the NPL and NPF indicators for conventional commercial banks while Islamic banks use LDR and FDR. Corporate governance is measured through Self Assessment. Earnings are measured through ROA and NIM indicators. Capital is measured based on the CAR indicator. Testing the hypothesis in this study using the Independent T-Test and Mann-Wnithey Test samples. The results of this study indicate that there is a difference between conventional commercial banks and Islamic commercial banks seen from the ratio of NPL, LDR, and ROA. While the ratio of GCG, NIM, and CAR does not have a significant difference between conventional commercial banks and Islamic commercial banks.

scholarly journals Pengaruh Islamic Social Reporting terhadap Profitabilitas (Return on Asset dan Return on Equity) Pada Bank Umum Syariah di Indonesia

2019 ◽  
Vol 4 (2) ◽  
pp. 119
Author(s):  
Ana Santika
Keyword(s):  
Corporate Governance ◽  
Data Collection ◽  
Commercial Banks ◽  
Sampling Technique ◽  
Social Reporting ◽  
Annual Reports ◽  
Islamic Banking ◽  
Islamic Banks ◽  
Return On Equity ◽  
Social Environmental

The act of accuracy and prudence is very important in the company because is the factor that determines the sustainability of companies such as banking. This study aims to analyze the effect of Shariah Complaints towards the profitability of Islamic Banks in Indonesia. This research is quantitative using documentation method and library study in data collection. The sampling technique uses purposive sampling with the criteria of Islamic commercial banks that publish annual-reports from 2013 to 2017 from 13 Islamic commercial banks (BUS) in Indonesia. The results of this study show that the Funding and Investment, Products and Services, Employees, Community or Social, Environmental, Corporate Governance simultaneously does not have influence significantly the ROE variable, but it does significantly influence ROA. This means that the wider the Islamic social reporting of Islamic banking, the greater the profitability of Islamic banking. In addition, high profitability will encourage managers to provide more detailed information, because they want to convince investors of company profits and its compensation for management.

scholarly journals Risk management and corporate governance in the Lebanese Islamic banking industry

2008 ◽  
Vol 5 (4) ◽  
pp. 345-355
Author(s):  
Salim Chahine ◽  
Bassem Dagher
Keyword(s):  
Risk Management ◽  
Corporate Governance ◽  
Best Practices ◽  
Banking Industry ◽  
Management Systems ◽  
Islamic Banking ◽  
Islamic Banks ◽  
Good Corporate Governance ◽  
Recent Growth ◽  
Survey Technique

Despite recent growth in the Islamic banking industry, little is known on the best practices in its risk management. This paper examines the risk management systems of Islamic banks in Lebanon. Using a survey technique, it shows the diversity of risks faced by Islamic banks. It also confirms the importance of good corporate governance as a tool which is associated with the implementation of best practices in risk management

scholarly journals The Role of Islamic Corporate Governance and Risk Toward Islamic Banking Performance: Evidence from Indonesia

2021 ◽  
Vol 22 (3) ◽  
pp. Layouting
Author(s):  
Emile Satia Darma ◽  
Akhsyim Afandi
Keyword(s):  
Corporate Governance ◽  
Supervisory Board ◽  
Islamic Banks ◽  
Governance Mechanisms ◽  
Business Units ◽  
Corporate Governance Mechanisms ◽  
Negative Effect ◽  
Conventional Banks ◽  
Positive Effect

Research aims: This study aims to analyze the role of Islamic corporate governance mechanisms on the performance of Islamic banks. Besides, it also analyzes the effect of risk profiles, especially those that are directly related to bank financing, on the performance of Islamic Banks.Design/Methodology/Approach: Sharia banks that become the objects are Sharia Commercial Banks (SCB) and Sharia Business Units of Conventional Banks (SBU). This study uses data from 20 sharia banks (11 SCB and 9 SBU). The analytical tool used in this study is panel data regression.Research findings: The results show that the meeting frequency of the Board of Commissioners, Sharia Supervisory Board (SSB), Financing to Deposits Ratio (FDR), and bank size have a significant positive effect on the performance of Islamic banks. Non-Performing Financing (NPF) has a significant negative effect on the performance of Islamic banks.Theoretical contribution/Originality: This study utilized Stakeholders theory, Maqoshid Sharia concept, and corporate governance to investigate the role of Islamic corporate governance mechanisms and risk management on sharia Banks performance.Practitioner/Policy implication: The implication of this study is that SSB activities had a direct and robust influence on Islamic Banks, which have relatively larger assets. Hence, the task of the Sharia Supervisory Board should not be limited to only monitoring the conformity of transactions with sharia but also providing input so that banks can increase their profits in line with sharia.Research limitation/Implication: The limitation in this study is the number of corporate governance variables that was limited.

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