Sharia Oikonomia Law Journal
Vol. 4 No. 2 (2026)

DEVELOPING A CRISIS MANAGEMENT MODEL FOR SHARIA BANKING BASED ON ISLAMIC JURISPRUDENCE

Siti Mahmudah (Universitas Islam Kadiri Kediri)
Ahmed Al Fahad (King Saud University)
Fatimah Al Rashid (King Abdulaziz University)



Article Info

Publish Date
18 Apr 2026

Abstract

Increasing uncertainty in the global financial environment has intensified the need for effective crisis management frameworks capable of strengthening institutional resilience and ensuring sustainable organizational performance. Sharia banking institutions face unique challenges during crises because operational decisions must comply not only with regulatory requirements but also with Islamic legal and ethical principles. Existing crisis management models are predominantly derived from conventional management theories and often provide limited guidance regarding the integration of Islamic jurisprudential principles into crisis preparedness, response, and recovery processes. This study aims to develop and validate a crisis management model for Sharia banking institutions based on Islamic jurisprudence. A mixed-methods research design was employed using an exploratory sequential approach. Qualitative data were obtained through expert interviews and analysis of Islamic jurisprudential sources, while quantitative data were collected from 320 professionals working in Islamic banking institutions. Structural Equation Modeling was utilized to evaluate the proposed framework. Findings reveal that Sharia compliance governance significantly enhances crisis preparedness, ethical decision-making, stakeholder protection, organizational resilience, and recovery capacity. Ethical decision-making emerged as a critical mediating factor linking jurisprudential principles to resilience outcomes. Results further indicate that concepts such as maslahah, darurah, amanah, and harm prevention provide practical guidance for crisis management within Islamic banking contexts. The study concludes that Islamic jurisprudence offers a comprehensive foundation for developing resilient, ethical, and stakeholder-oriented crisis management systems capable of strengthening governance quality and long-term institutional sustainability in Sharia banking.

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Journal Info

Abbrev

solj

Publisher

Subject

Description

The Sharia Oikonomia Law Journal explores various aspects of Sharia economic law and the evolving economic challenges. Its primary focus includes the impact of digital transformation on Islamic finance, such as fintech and blockchain, as well as the role of Sharia financial instruments (zakat, waqf, ...