Macroprudential Policy on Sharia Banking Financing: The Indonesian Experience

The locus of macroprudential policy persuading banks has recently attracted significant attention for such research. Whether and to what extent macroprudential policies established by Bank Indonesia against sharia banks have not researched yet in previous empirical studies. Gathering data during 200...

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Bibliographic Details
Main Authors: Eko Fajar Cahyono, Lina Nugraha Rani
Format: Article
Language:English
Published: IAIN Surakarta 2019-01-01
Series:Shirkah
Subjects:
Online Access:http://shirkah.or.id/new-ojs/index.php/home/article/view/185
Description
Summary:The locus of macroprudential policy persuading banks has recently attracted significant attention for such research. Whether and to what extent macroprudential policies established by Bank Indonesia against sharia banks have not researched yet in previous empirical studies. Gathering data during 2008-2016, this article examines the impact of macroprudential policy on credit risk-taking by sharia banks in Indonesia. This research approach uses dynamic panel data analysis technique to investigate the relationship between risk-taking of sharia bank credit and macroprudential policy for a bank in Indonesia good sharia banking. This research shows that there is the influence of Bank Indonesia's macroprudential policy toward murabaha financing in Indonesia.    Keywords: macroprudential policy, credit risk, sharia bank
ISSN:2503-4235
2503-4243