Al-Iqtishad : Jurnal Ilmu Ekonomi Syariah (Journal of Islamic Economics)
Vol. 8 No. 1 (2016)

Efficiency and Profitability in The Indonesian Islamic Banking Industry

Hosen, Muhammad Nadratuzaman (Unknown)
Rahmawati, Rafika (Unknown)



Article Info

Publish Date
10 Jan 2016

Abstract

The aims of this study are to know the level of efficiency and profitabilityamong Islamic full pledge Banks in Indonesia. Using parametric approach namelyStochastic Frontier Approach (SFA) to calculate efficiency and using ROA’s ratioto calculate profitability. The result showed that the BMS was the greatest level ofefficiency among Islamic Banks in Indonesia which influence the input and outputlevel of efficiency of BMS are personnel expenses, cost-sharing expenses, and totalfinancing which owned. Besides, the result showed that it was the greatest levelof profitability which factors influencing of profitability of BMS is BOPO’s ratio.The result also showed that the BMI had low efficiency but sufficient profitability.It has sufficient efficiency and high profitability, the BMS have sufficient efficiencyand profitability, the BRIS have low efficiency and profitability, and the BSB havehigh efficiency and low profitability.DOI: 10.15408/aiq.v8i1.2507

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Journal Info

Abbrev

iqtishad

Publisher

Subject

Religion Economics, Econometrics & Finance Social Sciences

Description

This journal focused on Islamic law on economics and finance studies and present developments through the publication of articles. Specifically, the journal will deal with topics, including but not limited to Islamic law on Islamic Banking, Islamic Marketing, Islamic Human Resources, Islamic ...