<![CDATA[Islamic banking plays an important role in supporting national economic development through its activities of collecting and distributing funds to the public. In carrying out this intermediation function, Islamic banks face various risks, one of which is financing risk reflected in the Non-Performing Financing (NPF) ratio. A high level of NPF may adversely affect banking performance by reducing profitability, liquidity, and the overall stability of Islamic financial institutions. Therefore, it is important to understand the factors that may influence changes in NPF, particularly macroeconomic variables such as inflation, the BI Rate, and the exchange rate. This study aims to examine the effect of inflation, the BI Rate, and the exchange rate on the NPF of Islamic banks in Indonesia during the period 2021–2025. The research employed a quantitative approach using monthly secondary data obtained from the Financial Services Authority (OJK) and Bank Indonesia (BI). Multiple linear regression analysis was applied with the assistance of SPSS software. The results indicate that, individually, inflation has no significant effect on NPF, as evidenced by a significance value of 0.053. In contrast, both the BI Rate and the exchange rate significantly affect NPF, with each variable recording a significance value of 0.000. Collectively, inflation, the BI Rate, and the exchange rate significantly affect NPF, as indicated by a significance value of 0.000. Furthermore, the coefficient of determination (R²) of 0.808 indicates that these three variables explain 80.8% of the variation in NPF, while the remaining 19.2% is attributable to other factors not included in the research model.]]>
