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Journal : Journal Of World Science

A Dynamic Study on the Market Share Growth of Islamic Banks in Indonesia Post Spin-off, Conversion, and Merger Mario Mubarok, Huzni; Mulatsih, Sri; Beik, Irfan Syauqi
Journal of World Science Vol. 4 No. 9 (2025): Journal of World Science
Publisher : Riviera Publishing

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.58344/jws.v4i9.1495

Abstract

This research aims to examine the impact of microprudential policies, specifically spin-offs, conversions, and mergers, on Islamic banks in Indonesia, both directly and indirectly through transmission variables, in relation to the growth of the Islamic banking market share. The method used in this study is the dynamic ARDL model, which was chosen for its ability to accommodate data stationarity, cointegration, and short- and long-term relationships. This study utilizes monthly time series data from Bank Umum Syariah (BUS) and Unit Usaha Syariah (UUS) in Indonesia, covering the period from January 2008 to December 2023, resulting in 192 observations for each variable. The data were processed using MS Excel and EViews 10. This research finds that only conversion has a significant direct impact on market share in both the short and long run, while mergers are significant only in the long run, and spin-offs are insignificant in both time frames. As for the transmission variables, DPK and ROA consistently drive market share growth in both the short and long run. NPF is significant only in the long-term simultaneous impact model, where its increase hampers market share growth, whereas FDR is significant only in the short-term simultaneous impact model, where its increase promotes market share. This study incorporates all three microprudential policies—spin-offs, conversions, and mergers—within a single equation model, accompanied by the use of a dynamic model that has not been employed in previous studies. This approach allows for the examination of both short-term and long-term effects.
Co-Authors . Nuva Abdullah, Zaki Adisono, Muhamad Tulodo ahmad yani Aji, Samudra Akhmad Fauzi ALI MUQODDAS Alla Asmara Anak Agung Gede Sugianthara Anisa Rahma, Anisa Annazah, Nur Siti Asfaruddin Asfaruddin Asfaruddin Asti Istiqomah Astuti, Dwi Anggun Ayu, Sakuntala Devi Ayuandari, Sarrah Bambang Juanda Boedi Tjahjono Carolin Lulik Tafsia Cinta, Mutiara Dedi Budiman Hakim Desyandri Desyandri Dewanto, Agung Dian Verawati Panjaitan Didy Sopandie Dina, Karina Farkha Eko Sri Wiyono Erika Devi Udayanti Faletehan, Faroby Farida Aryani Habibie, Badrun Faridz Hadikumara, Fikri Hanifah, Atikah Harianto Harianto Hariyadi, Hariyadi Hariyadi, nfn Hartoyo Hartoyo Hermanto Siregar Ida Nur Istina, Ida Nur Ignatius Purwanto Indah Kartika Murni Irfan Syauqi Beik Iwan Dwiprahasto Jabani, Burhan Asril Khalifah Muhamad Ali Khawa, Zenith Yufa Nafilah Komaruddin Idris Kusdiyantoro Kusumawati, Sri Ambar Lala M Kolopaking Laoli, Nilam Cahyani Br. Lestari Agusalim Lestari, Febby Lina Karlinasari Listiana, Yufita Lukytawati Anggraeni Mariana Mariana Mubarok, Huzni Muhammad Al-Jabri Muhammad Firdaus Muhammad Guntur, Muhammad Naafi Rizqi Rahmawati, Naafi Rizqi Ninik Umi Hartanti Nurhayati, Ely Nurjanah , Nurjanah . Oktasari, Rizki Omo Rusdiana Paripurna, Arbi Wardana Pini Wijayanti Pratama, Teguh Aditia PUDJO HAGUNG WIDJAJANTO, PUDJO HAGUNG PURWANTO, DIAN A.P R. Sapto Hendri Boedi Soesatyo Raden Arief Nugroho Rika Setiabudi Rini Dwi Lestari, Rini Dwi Risvan Anwar, Risvan Rita Mutia Rivan Danuaji Samodra Laya, Willie Santoso, Rika Setiabudi Serasiamy Ritonga, Serasiamy SITI AURELIA NURMALASARI, SITI AURELIA Soerjowardhana, Aloysius Soesanto, Iman Rahayu Hidayati SOETARYO -, SOETARYO Sofana, Nofi Fitria Sofyan Sjaf Sri Sri Rustianti Rustianti, Sri Rustianti Sri Wahyuni Sudirman Yahya Suhendarwan, Bhakti Sul, Suliamin Kasnar Sumardjo Suroyo Junior, Raden Sonny Susetyowati Sutaman Suyetno, Suyetno SUYONO Syartinilia . Tanti Novianti Teguh Triyono Utami, Neiva Cahya Valentina Widya Suryaningtyas, Valentina Widya Voltri, Fransisca WA’U, DAVID VICTORY Wahju Q. Mugnisjah Widada, Rasyid Widyanto, Adi Widyastutik Wilianto, Aris Wiwiek Rindayati Yeti Lis Purnamadewi Yudi Yudi Setiawan Yudo, Lukman Pranoto Yukiman Yuli Retnani Yuliani, Meida Z. Karim, Taufik