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Does Financial Performance of Islamic Banking is better? Panel Data Estimation

Author

Listed:
  • Irma Setyawati
  • Sugeng Suroso
  • Tulus Suryanto
  • Dini Siti Nurjannah

Abstract

The global financial crisis has had a negative impact on the banking sector, especially the banking sector in Indonesia. Many studies suggest that Islamic banking is not affected by the global crisis, due to differences in the business nature.The purpose of this study was to analyze the internal and external factors affecting the performance of Islamic banking in Indonesia. This study will also analyze the effect of the global crisis on the financial performance of Islamic banks.This research resulted in the finding that the performance of Islamic banks is significantly affected by non-performing finance and inflation. In addition, the performance of Islamic banks have relatively better after crisis.

Suggested Citation

  • Irma Setyawati & Sugeng Suroso & Tulus Suryanto & Dini Siti Nurjannah, 2017. "Does Financial Performance of Islamic Banking is better? Panel Data Estimation," European Research Studies Journal, European Research Studies Journal, vol. 0(2A), pages 592-606.
  • Handle: RePEc:ers:journl:v:xx:y:2017:i:2a:p:592-606
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    References listed on IDEAS

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    More about this item

    Keywords

    financial performance; Islamic banking; global crisis; business; Indonesia;
    All these keywords.

    JEL classification:

    • E44 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Financial Markets and the Macroeconomy
    • G01 - Financial Economics - - General - - - Financial Crises

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