ITQAN: Journal of Islamic Economics, Management, and Finance
Vol. 4 No. 2 (2025): ITQAN: Journal of Islamic Economics, Management, and Finance

Strengthening Islamic Finance through the Merger of Two Sharia Banking Entities

Junaedi, Edy (Unknown)
Maulana, Irwan (Unknown)



Article Info

Publish Date
20 May 2025

Abstract

Acquisitions are critical for banks seeking to increase their market presence in the evolving Islamic financial landscape. This study examines the strategic potential of Bank B Syariah's acquisition of Bank V Syariah. Then this study focuses on market expansion, product innovation, and operational efficiency. This study uses a mixed method. Data are derived from financial reports, industry trends, and regulations of the Financial Services Authority in Indonesia. The results show that the acquisition expanded Bank B Syariah's network by 25%, added 15 new Sharia-compliant products, and increased efficiency through economies of scale. In addition, there are significant challenges: post-merger risk management, aligning the Islamic compliance framework, and integrating different technology infrastructures. As an implication, three main strategies must be carried out: a gradual consolidation process to align organizational culture, strengthening Sharia governance through an independent supervisory board, and adopting digital technology to support integration and improve customer service. This study contributes to understanding the complexity of mergers in Islamic banking.

Copyrights © 2025






Journal Info

Abbrev

itqan

Publisher

Subject

Decision Sciences, Operations Research & Management Economics, Econometrics & Finance

Description

ITQAN: Journal of Islamic Economics, Management, and Finance (E-ISSN: 2810-0700) is a scientific journal which focuses on the field of business. The scope of the journal is in the fields of Economics, Management, and Islamic Finance with sub-themes including Business Management, ZISWAF Management, ...