The Influence of Sharia Finance Principles and Sharia Financial Literacy on The Financial Performance of MSMEs in Kamanre District

Nurfadillah R Nurfadillah R (Muhammadiyah University of Palopo)
Jumawan Jasman (Muhammadiyah University of Palopo)
Samsul Bachri (Muhammadiyah University of Palopo)

Journal of Applied Business, Taxation and Economics Reseach
Vol. 5 No. 5 (2026)

Study This aim For analyze is impact from principles finance sharia and understanding literacy finance sharia to results performance Micro , Small, and Medium Enterprises (MSMEs) finance in the District Kamanre . The methodology applied is approach quantitative with type studies associative . Subject study covers all MSME actors in the District Kamanre which numbered 307 units business , with amount sample A total of 75 respondents were determined use formula Slovin . The data analysis process was carried out through The Partial Least Squares Structural Equation Modeling (PLS-SEM) method is used SmartPLS4 application . Findings study indicates that principle finance sharia as well as literacy finance sharia own positive and significant impact​ to performance MSME finance . Principles finance sharia contribute to efficiency and sustainability business , whereas literacy finance sharia functioning in taking decision appropriate finances​ with sharia . Implications from studies This show that strengthening principles and literacy finance sharia can become step effective strategy​ in advance performance MSME finances in general sustainable and harmonious with values held by society​ Kamanre .