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Analysis of Muhammadiyah’s Policies in Using Islamic Banking Services in Indonesia

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  • Anton Hindardjo

    (Department of Islamic Bank, STEI SEBI)

  • Tiolina Evi

    (Department of Accounting, Perbanas Institituteerbanas Institute, Indonesia)

Abstract

Muhammadiyah with it’s thousands of AUM as the source of Persyarikatan has economic cooperation and bargaining with the conventional banks. With the decree No.37/KEP/1.0/C/2012 about islamic banking partner, then Persyarikatan funds must be moved entirely to the banking partners in cash management service. This study attempts to know the degree to which the policy of Muhammadiyah is in the use of islamic banking. Data is collected from interviews with Mr. Mukhaer Pakkanna S.E., M.M. as vice chairman of majelis economic and entrepreneurship outlined by using as well as several other sources outlined by using qualitative analysis descriptive. The results show that AUM has used islamic banking despite in the use of service cash management has not been reached optimal. This is caused by several factors, the are: obscurity of the content and policies sanctions and lack of socialization deeply to the implementors, AUM management, and members of muhammadiyah overall. In addition, the use of islamic banking is not yet optimal because the bureaucracy structure of AUM which is related to the government and other stakeholder

Suggested Citation

  • Anton Hindardjo & Tiolina Evi, 2022. "Analysis of Muhammadiyah’s Policies in Using Islamic Banking Services in Indonesia," International Journal of Research and Scientific Innovation, International Journal of Research and Scientific Innovation (IJRSI), vol. 9(4), pages 61-68, April.
    • Handle: RePEc:bjc:journl:v:9:y:2022:i:4:p:61-68
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    1. John H. Jackson, 1997. "The World Trading System, 2nd Edition: Law and Policy of International Economic Relations," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262600277, April.
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