Title: MASLAHAH AND STRATEGY TO ESTABLISH A SINGLE STATE-OWNED ISLAMIC BANK IN INDONESIA
Abstract:Objective - The market share of Islamic banking in Indonesia has continually decreased from 4.89% in 2013 to 4.85% in 2014 and 4.83% in 2015. As a result, the idea to establish a single state owned Is...Objective - The market share of Islamic banking in Indonesia has continually decreased from 4.89% in 2013 to 4.85% in 2014 and 4.83% in 2015. As a result, the idea to establish a single state owned Islamic Bank occurs. This conceptual paper aims to contribute the maslahah framework regarding the future of Islamic banks in Indonesia. Methods - The methodology that used in this paper is a qualitative method which supported by quantitative data that align with the theory of the benefit of the Ummah (maslahah) and the community theory. Results - The breakthrough to increase the market share and deliver Indonesia becoming an Islamic financial hub is the option to convert the BRI as the biggest retail bank to a full fledge Islamic bank, and the next action is to acquire the Islamic banks which are subsidiary of conventional state-owned banks (Bank Syariah Mandiri-BSM, Bank Nasional Indonesia Syariah-BNIS, Bank Rakyat Indonesia Syariah-BRIS, and Bank Tabungan Negara Syariah-BTNS). Conclusions - Establishing a single state-owned Islamic bank is beneficial for the future of Islamic banks in IndonesiaRead More
Publication Year: 2017
Publication Date: 2017-06-01
Language: en
Type: article
Indexed In: ['doaj']
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Cited By Count: 28
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