Evaluation of Islamic Commercial Bank Financial Performance Using Sharia Maqashid Index (SMI): The Role of DPS and Islamic Financing id Index (SMI) Pada Bank Umum Syariah Tahun 2018-2021

Meidy Sesaria Putri (Accounting Study Program, Faculty of Economics and Business, Universitas Negeri Semarang, Semarang, Indonesia.)
Agung Yulianto (Islamic Economics and Finance Study Program, Faculty of Economics and Business, Universitas Negeri Semarang, Semarang, Indonesia)
Zahwa Nur Alya (Islamic Economics and Finance Study Program, Faculty of Economics and Business, Universitas Negeri Semarang, Semarang, Indonesia)

Islamic Economics and Finance Journal
Vol. 1 No. 1 (2025)

The effect of the number of DPS members, DPS education level, DPS meeting frequency, profit-sharing financing, and qardh financing on the performance of maqashid sharia at Islamic Commercial Banks in Indonesia in 2018–2021. A quantitative approach was used with panel data from 11 Sharia Commercial Banks registered with the OJK during 2018–2021. The sample was selected using purposive sampling with 44 analysis units. The independent variables include the number of DPS members, DPS education level, DPS meeting frequency, profit-sharing financing, and qardh financing. The dependent variable is the performance of maqashid sharia as measured using the Sharia Maqashid Index (SMI). Data were obtained through documentation and analyzed using panel data regression through EViews 10. Based on the Chow and Hausman test, the best model used was the Fixed Effect Model (FEM). The results show that the number of DPS members, DPS education level, profit-sharing financing, and qardh financing do not significantly affect the performance of maqashid sharia. Only the frequency of DPS meetings has a significant positive effect on the performance. Therefore, Islamic banks need to increase the intensity of DPS meetings to strengthen the supervisory function and support achieving maqashid sharia objectives.