JPS (Jurnal Perbankan Syariah)

Dominant role of corporate image and trust in building customer satisfaction in Islamic life insurance

2025-04-28T14:41:52+07:00

Purpose – This study analyses the influence of service quality, corporate image, customer value, and trust on customer satisfaction at PT. Asuransi Jiwa Syariah X Samarinda branch. Method – This study uses a quantitative approach, where the data comes from questionnaires distributed to 100 customers. The data analysis technique uses multiple linear regression analysis through the SPSS 22 program. Findings – The study's results indicate that, partially, corporate image and trust positively affect customer satisfaction, while service quality and value do not affect customer satisfaction. Implications – This study has practical implications for Islamic insurance companies, especially in improving corporate image and building customer trust. Theoretically, this study strengthens the theory that image and trust affect customer satisfaction.

The impact of Islamic financial literacy on Islamic financial planning of Islamic university students

2025-04-28T14:41:53+07:00

Purpose – This study aims to analyze the influence of Islamic university students' Islamic financial literacy on their Islamic financial planning. Method – This study uses a quantitative approach with convenience sampling and a Structural Equation Model - Partial Least Square (SEM-PLS) analysis technique. This study analyzed 110 primary data sets using the Smart PLS application. Representing the population of Islamic university students, the sample or respondents were students from the Islamic banking study program at Syarif Hidayatullah State Islamic University Jakarta, one of Indonesia's largest state Islamic universities. Findings – The results show that students' Islamic financial knowledge and behavior positively affect Islamic financial planning, while students' Islamic financial attitudes have no effect. Implications – Theoretically, this study can complement existing theories, especially the influence of Islamic financial knowledge and behavior on Islamic financial planning. Practically, this study can be a reference in improving Islamic financial literacy and planning of Islamic university students, especially regarding Islamic financial knowledge and behavior.

Trends and emerging issues on Islamic banking performance: bibliometrics analysis

2025-04-28T14:41:53+07:00

Purpose – This study aims to conduct a systematic review of the literature on Islamic banking performance. Method – This research analyses trends and developments in the field using the systematic literature review and mapping study approaches. A total of 56 articles were selected from an initial pool of 130 articles sourced from ScienceDirect and Scopus, using the preferred reporting items for systematic reviews and meta-analyses (PRISMA) method. Findings – The findings reveal that trend analysis, density visualization using VosViewer, and mapping studies indicate that research on Islamic banking performance remains dominated by traditional topics such as efficiency, financial performance, and risk management. The primary indicators include return on assets (ROA), return on equity (ROE), non-performing financing (NPF), and loan-to-deposit ratio (LDR). However, studies on Islamic bank resilience, fintech integration, and their role in developing economies remain limited. A more holistic approach is needed to address challenges and opportunities in the digital era. Implications – The implications of this study highlight the importance of policies that support digital innovation while adhering to Sharia principles. Additionally, this study identifies future research opportunities, including the resilience of Islamic banks during crises, the impact of digitalization on efficiency, the contribution of Islamic banking to the green economy, and the influence of regulations on Islamic bank performance. Ultimately, this study provides valuable insights into the trends, challenges, and opportunities facing Islamic banking in an evolving global economic landscape.

Company size as a moderation of ICG and ICSR on Islamic banking performance

2025-04-28T14:41:54+07:00

Purpose – This study aims to analyze the effect of Islamic corporate governance (ICG) and Islamic corporate social responsibility (ICSR) on the financial performance of Islamic banking, with company size as a moderating variable. Method – This study uses a quantitative approach using secondary data obtained from the annual reports of Islamic banks from 2014 to 2023. There are 18 Islamic commercial banks (ICB) registered from 2014 to 2023. The sampling technique uses purposive sampling, so 10 ICBs were selected as samples. The data analysis technique uses multiple linear regression and moderation regression analysis (MRA) with the help of SPSS software version 25. Findings – The results of the study show that ICG and ICSR have a positive effect on ICB financial performance. Company size can strengthen the influence of ICG and ICSR on ICB financial performance. Implications – This study can complement existing theories and provide a theoretical understanding of the factors influencing ICB financial performance. This study can help Islamic bank management improve corporate governance, accountability, and transparency to attract investors and consumers.

Determinant of profitability Islamic banks

2025-04-28T14:41:54+07:00

Purpose – This study empirically investigates the key determinants of profitability among Islamic banks (ISBs) in Indonesia. The analysis incorporates several critical variables: bank size, liquidity, tangible assets, non-debt tax shields, growth, and bank age. Method – The sample comprises 65 financial statements and annual reports from 13 Islamic banks operating in Indonesia from 2019–2022. Data were analyzed using LISREL, employing structural equation modelling to examine the relationships among variables. The empirical findings indicate that bank size exerts a positive and statistically significant effect on profitability. Likewise, both asset structure and bank age are positively associated with improved financial performance. Conversely, bank growth and the financing-to-deposit ratio (FDR) exhibit negative but statistically insignificant effects, suggesting these variables have only a marginal influence on profitability within the context of this model. Findings – The results imply that fluctuations in FDR, whether upward or downward, do not directly contribute to meaningful changes in earnings. Instead, other internal factors appear to play a more substantial role in shaping the profitability of ISBs. Implications – Consistent with signaling theory, enhancing profitability may serve as strategic signals to investors, indicating sound management quality and promising prospects. This perceived strength encourages greater investor confidence, increasing third-party funds and capital inflows, thereby expanding financing capacity and revenue generation within Islamic banks.

Implementation of multi-service ijarah financing in Islamic microfinance institutions: SWOT analysis

2025-04-28T14:41:54+07:00

Purpose – This study aims to explore the implementation of multi-service ijarah financing in the Artha Bahana Syariah Tempuran through SWOT analysis. Method – This study uses a mixed approach that combines quantitative and qualitative. Data sources come from primary and secondary data in the form of observations, interviews, questionnaires, and literature. Respondents included 20 people and were complemented by four key informants. Data analysis techniques use the SWOT matrix, IFAS, and EFAS for a comprehensive understanding. Findings – The findings of this study identify that internal and external factors are crucial in shaping multi-service ijarah financing. Among the strengths identified are good and friendly service, public trust, strategic location, fast process, and easy procedures, which can significantly increase the promotion of multi-service ijarah financing. In addition, there are many opportunities in the predominantly Muslim community, strong member loyalty, and the growing needs of the community. However, challenges such as limited human resources, a primarily local marketing focus, and threats from competition and economic instability need to be addressed. Implications – This study can deepen the understanding of SWOT theory in multi-service ijarah financing and offer practical insights for developing more effective financing strategies.

Internal and socio-political factors on profitability of Islamic banks in Indonesia

2025-04-28T14:41:54+07:00

Purpose – The purpose of this study is to analyze the effect of third-party funds (TPF), operating costs, operating income (OCOI), capital adequacy ratio (CAR), non-performing financing (NPF), gender and political connections on the profitability of Islamic banks. Method – This study is quantitative. The population of this study was 14 Islamic banks in Indonesia. The sampling technique used was purposive sampling, which was used to sample seven Islamic banks. The data source used was secondary data in the form of annual financial reports of Islamic banks from 2014 to 2023. The data analysis technique used panel data regression analysis with the Eviews-12 analysis tool. Findings – The results of this study indicate that partially TPF, CAR, NPF, gender and political connections do not affect the profitability of Islamic banks. However, only OCOI has a negative effect on the profitability of Islamic banks. Simultaneously, TPF, OCOI, CAR, NPF, gender and political connections affect the profitability of Islamic banks. Implications – This study can provide insight and complement existing theories on factors that influence profitability. This study can be a reference for banks to maintain their profitability ratio.

Performance of Islamic rural bank: maqashid sharia index

2025-04-28T14:41:54+07:00

Purpose – This study aims to explore and assess the performance of one of the Islamic rural banks in Indonesia based on the measurement of the maqashid sharia index (MSI). Method – This study relies on a quantitative descriptive approach by utilizing secondary data from the financial statements of Islamic rural banks Gebu Prima released by the FSA for 2021-2024. The method chosen to analyze this study's data is the simple additive weighting method with a multiple-attribute decision-making approach. This study uses three concepts: educating individuals, upholding justice, and promoting welfare. The MSI elements used in this study are educational grants, research, training, publicity, fair returns, functional distribution, interest-free products, profit ratio, personal income, and investment ratio in the real sector. Findings – This study's results indicate that the performance of the Islamic rural bank Gebu Prima has not been maximized because several MSI indicators have not been implemented. Implications – This research can provide insight and be a reference for future scientific studies. This research can encourage regulators to make more assertive policies related to determining performance measurement methods based on maqashid sharia so that the Islamic banking industry, such as Islamic rural banks, can improve its performance per the established guidelines.