Indonesia Conference Directory

Corresponding Author
Lina Marlina

Institutions
a) Researcher at Sharia Economic Applied Research & Training (SMART) Indonesia. aamsmart[at]gmail.com
b) Lecturer at Siliwangi University. Also Phd student at UIN Sunan Gunung Djati Bandung Indonesia. linamarlina[at]unsil.ac.id

Abstract
Every single effort or process taken by Islamic bank to maximize output should also uphold Islamic values, so that maqashid sharia (maslahah-sharia objectives) would be authomatically achieved. There were some research conducted to measure Islamic bank performance using maqashid sharia framework. However, these studies were not explicitly addressing the issue of cost-saving strategies within the framework of efficiency measurement. It is therefore this paper aims to have financial and social efficiency in one assessment framework that is social-financial efficiency quadrant (SFEQ). Hence, in order to measure efficiency level of Islamic Banking Industry this study use Data Envelopment Analysis (DEA) and Free Disposal Hull (FDH) method and employ Banxia Frontier Analyst 3.1 for data analysis. Within the SFEQ framework, the study revealed that Sharia Panin Bank and Sharia Bukopin Bank are excellent since both are within the first quadrant.Whereas Sharia Maybank, and BCA Sharia are considered good at the second quadrant; Bank Sharia Mandiri (BSM), Bank Muamalat, Bank Rakyat Indonesia Sharia (BRIS), Bank Negara Indonesia Sharia (BNI) and Mega Sharia are fair at the third; and Victoria Sharia, and Bank Jabar Banten Sharia (BJB) are poor at the fourth sequentially. It is urge for Islamic bank that are in low level of social efficiency to have a critical policy to keep in line with the five factor of maqashid sharia apart of having efficiency in order to reach maslahah.

Keywords
Financial Efficiency, Social Efficiency, DEA, FDH, Social-Financial Efficiency Quadrant (SFEQ), Islamic Bank

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/H3LWr2k7qaDp

Corresponding Author
Dyah Titis Kusuma Wardani

Institutions
Department of Development Economics, Faculty of Economics and Business, Universitas Muhammadiyah Yogyakarta, Jalan Brawijaya, Tamantirto, Kasihan, Bantul, Daerah Istimewa Yogyakarta, Indonesia 55183

*dyahtitis.wardani[at]gmail.com

Abstract
We examine specialization and comparative advantage of top ten main actors in the OIC countries, including Indonesia and Turkey. We use product definitions based on the Standard International Trade Classification (SITC), products are grouped with SITC Rev 2 with 3 digits. Data are taken from the UN-Comtrade. We are using the data of OIC top ten main actor trade in goods (export and import) to the world. To see the catch up process, among top ten main actors of OIC member countries, we employ product mapping analysis that is the combination of Revealed Symmetric Comparative Advantage (RSCA) and Trade Balance Index (TBI). This product mapping was developed to examine the competitiveness and trade specialization, where this paradigm tries to explain the phenomenon of industrial development in catching up with the economy. RSCA as an indicator of comparative advantage and the TBI as an indicator of export and import activities. In addition, TBI is used to analyze whether a country specializes in exports (as a net exporter) or in imports (as a net importer) for a certain group of products (SITC). Based on product mapping analysis, results shows that there has been a changing pattern of Empirical Trade statistics Analysis (ETA) Code of product group A to group E including 3 digits unclassified product group related to top twenty product in their competitiveness and specialization (commodity and country based) in 1996, 2006 and 2016 of ten main actors of OIC countries including Indonesia and Turkey.

Keywords
Specialization; Comparative advantage; RSCA index; OIC countries

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/XAtDguRjvYGL

Corresponding Author
Amimah Oktarina

Institutions
a) Lecturer, Faculty of Islamic Economic and Business, IAIN Bengkulu, Indonesia,
*amimahoktarina[at]iainbengkulu.ac.id
b) Post Graduate Student, Faculty of Economic and Business, University of Bengkulu, Indonesia,
email: yongkee8[at]gmail.com

Abstract
The growth of Islamic banks in Indonesia is very rapid because the majority of Indonesias population is Muslim so that the development of business in Islamic banking institutions has an inherent attraction for consumers in enjoying their services. The purpose of this study is to analyze the strategy of human resource development that manages Islamic banking in order to be able to compete globally in the digital era. The accuracy of the placement of human resources and IT capabilities is one indicator that is measured to determine the extent to which the ability of Islamic banking to respond to the digital era. The research method used is descriptive qualitative by obtaining factual data to be used as an analytical tool in this study. The expected results are a strategy for developing human resource that is oriented towards improving the competency of sharia banking human resource in the IT world but still has the characteristics of sharia values ranging from recruitment, placement, to evaluation of human resource performance.

Keywords
Strategy, Human Resource, Sharia Banking, Digital Era

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/y6jQmwh8YEPr

Corresponding Author
Achsania Hendratmi

Institutions
Faculty of Economics and Business, Universitas Airlangga

Abstract
The poverty line in urban areas amounted to Rp. 323,779 per person. Addressing the problem, about 52.9% of woman entrepreneur In Indonesia has a micro-business that contribute Rp 443 trillion to GDP. But They are still susceptible to the social symptoms. So, Bina Usaha Ekonomi Keluarga Aisyiyah (BUEKA) will empower them to improve their sustainable livelihoods. Sustainable livelihoods is a persons ability in dealing with the social. Qualitative approach used to observe the strategy with case study on BUEKA. Analytical techniques used in this research is the categorical analysis. The results of this research found that the human capital of entrepreneur needed an increase in internal development programs, external development and implement Islamic personality. Then, to improve social capital of micro enterprises can be done by observing the basic value of networking and using path of networking. As for helping the financial capital of the micro enterprises can be done by finding other sources of liquid resources, formal, and informal resources. Thus, the woman entrepreneur can maintain its business sustainability so that it can contribute to the economy of the family and the national economy.

Keywords
Sustainable livelihoods, human capital, social capital, financial capital, woman entrepreneur

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/pcMjWzHdJ6Ga

Corresponding Author
FATHULA AMINUDIN AZIZ

Institutions
IAIN PURWOKERTO

Abstract
In the reality of life, accounting management has many variables related to social aspects by identifying basic behavioral assumptions according to the Islamic world. The rule used in this approach is "maintaining good old things and taking new things better". Accounting management ideally must be built and practiced based on social values. Thus the information emitted is also social in nature. Ultimately, economic decisions taken by top management and managers are based on social values that encourage the creation of economic and business realities that lead to social piety who are prosperous and fair.

Keywords
Accounting Management, Management Accounting Sharia, Social Aspect

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/C7GNyzwEXg9T

Corresponding Author
Suci Ekawati Nurcahya

Institutions
(a1) Fakultas Ekonomi dan Bisnis - Universitas Airlangga
(A2) Fakultas Ekonomi dan Bisnis - Universitas Trunojoyo Madura
disertasidita[at]gmail.com

(b) Fakultas Ekonomi dan Bisnis - Universitas Airlangga

Abstract
The aim of this study is to obtain an in-depth description of the spiritual concept of Islamic capital with mudharabah aiming to achieve common prosperity (maqashid sharia) for the employees and members of BMT UGT Sidogiri – East Java. The approach used in this study is the phenomenology of Islam. This study explores events / phenomena, organizational culture and business cooperation with mudharabah contract between BMT UGT Sidogiri with its business partners. This method helps to uncover how to implement spiritual capital values in BMT UGT Sidogiri and the problems occur in the Islamic business with mudharabah contracts to achieve maqashid sharia. The study shows the forms of their achievement in maqashid Sharia in Mudharabah financing agreement in BMT UGT Sidogiri. The forms of the fulfillment of five ultimate goals of Islamic law according to Al-Syatibi, namely the need to protect the religious (ad-din), soul (an-nafs), intellect (al-aqli), descent (an-nasl) and treasure (al-maal).

Keywords
Maqashid sharia; mudharabah; Baitul Maal wat Tamwil; business partners; islamic phenomenology

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/DtCXTVE9aHw2

Corresponding Author
Yuli Utami

Institutions
(a) Universitas Airlangga Surabaya-Indonesia
(b) Universitas Muhammadiyah Yogyakarta

Abstract
This study aims to analyze the low level of understanding of cash waqf and what factors influence the level of consideration of Muhammadiyah citizens in Yogyakarta City. In this study, the data used were primary data based on the answer from the questionnaires given to the members of Muhammadiyah Yogyakarta City who had NBM (Nomor Baku Muhammadiyah). The sample takes from 100 respondents who have different backgrounds from any Muhammadiyah Charity Business. The method used in this study is quantitative descriptive with the Multiple Linear Regression technique analyzed by SPSS 25. The results expected can be shown from the variables of involvement in socio-religious organizations, mass media access and technological finance, religious compliance, and institutional access those have influences the significant level of understanding to the cash waqf of Muhammadiyah citizens. It means that cash waqf is understood and the Muhammadiyah community is ready to participate in the success of cash waqf in Yogyakarta.

Keywords
Cash Waqf, involvement in socio-religious organizations, mass media access and technological finance, religious compliance, institutional access

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/xgnDArLYJmXh

Corresponding Author
Istis Baroh

Institutions
Faculty of Agruculture, Universitas Muhammadiyah Malang

Abstract
This study aims to analyze the competitiveness of Indonesian cocoa and its several derivate products from 2006 to 2015 in two importing countries. Germany and The USA are chosen as the representative of the international markets because of three reasons. First, those two countries are the most prospective markets of cocoa products. Second, they consume large amount of cocoa processing products for their Industries. Third, as the core players of trade, they always import processed cocoa producs from Indonesia in the pastdecade. We use Revealed Comparative Advantage (RCA) approach to analyze the competitiveness of processed cocoa products, followed by Revealed Symmetric Comparative Advantage (RSCA) approach to avoid upward-biased problems from the previous steps. RSCA enables us to manipulate the RCA index to be symmetrical with interval values between -1 and +1 (Prasad, 2004). The results showed that in Germany, cocoa paste products and cocoa butter the two products that have high competitiveness, whereas cocoa powder was not competitive. In the USA, Indonesian cocoa butter was competitive while cocoa paste and cocoa powder were not competitive. Indonesia should focus on cocoa paste and cocoa butter to maintain their competitiveness through picing, contract negotiations, and trade relations.

Keywords
Cocoa; Competitiveness; International market

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/Hv9pGBN7grwV

Corresponding Author
Amanda Amanda

Institutions
Universitas Muhammadiyah Yogyakarta

Abstract
The research explains the regional economy in Indonesia that is the analysis of regional economy in Indonesia by including total population, infrastructure, PDRB, regional investment, and level of inflation variables. The estimation method in the research was by conducting panel data estimation. The data were collected from credible sources namely Bank Indonesia (BI) and Badan Pusat Statistik (BPS – Central Bureau of Statistics) year 2010 through 2016. The data were analyzed using STATA package program in order to obtain the estimation result of economy analysis model parameter of regional economy in Indonesia that matches the statistical and economic theory criteria. The variables included in the research were Pendapatan Domestik Regional Bruto (PDRB – Gross Regional Domestic Income), Panjang Jalan (PJLN – Road Length), Rupiah Rate toward US Dollar, Indeks Pembangunan Manusia (IPM – Human Development Index), Belanja Daerah (BD – Regional Expenditure), Penanaman Modal Dalam Negeri (PMDN – Domestic Investment), Penanaman Modal Asing (PMA – Foreign Investment), Jumlah Penduduk (JP – Total Population) dan Indeks Pembangunan Manusia (IPM). After a series of econometric tests namely heterocedasticity, multi colinearity, Chow and Hausman, the estimation of empirical findings of PMA, PMDN, BD, Currency Rate, IPM and PJLN have significant and positive effects toward PDRB. Meanwhile, JP variable does not have any effects toward PDRB.

Keywords
Regional Economy, Fixed Effect, Economic Wealth, Multiplier effect

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/LZnTYJ4zDtjR

Corresponding Author
Anis Rahmawati

Institutions
Universitas Sebelas Maret;
School of Environment and Society, Tokyo Institute of Technology

Abstract
Lightweight concrete interlocking H-brick is an innovation wall material which is barely using cement as an adhesive between bricks. The presence of lip elements on the lightweight concrete interlocking H-brick allows bricks to be paired permanently and automatically interlocked and symmetrical, making the brick has interlock ability. The H-brick is more resistance to the earthquake, produce a better facade, also rapid installation process. This research used the lightweight concrete interlocking H-brick prepared with food packaging styrofoam waste and fly ash as material addition. The aim of this article was to compare the economic value of material needs of the lightweight concrete interlocking H-brick wall with two others wall material that was currently widely used, namely red brick and square lightweight concrete. The calculation of economic value was applied to a 98 type of housing. The calculation of material requirements and economic value in accordance with the Basic Unit Price and Unit Price of Principal Activity Building Construction Work and Residential of Surakarta City for the year 2018. The analysis results obtained the economic value of red brick, square lightweight concrete, and lightweight concrete interlocking H-brick was Rp. 36.649.718,82, Rp. 36.174.326,95, and Rp. 34.705.783,93, respectively. The results showed that lightweight concrete interlocking H-brick prepared with waste materials used in this research gain the cheapest material among the other two materials.

Keywords
219

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/VycqaFBAMkjv

Corresponding Author
Syadan Ismail

Institutions
Universitas Pembangungan Jaya, Tangerang
Email: Agustine.dwianika[at]upj.ac.id; Agustine.dwianika2017[at]gmail.com

Abstract
Abstract This study is to address a current issues about how important of audit quality for supporting firm-s performance, due still there a research gap from previous literatures about the effects of audit quality on earnings management. The purpose of this paper is to illustrate and examine the effect of audit quality on the relationship of tax planning rates and leverage on earnings management, based on evidence in Indonesia. This research is a quantitative study using secondary data obtained from the companys annual report. The research population is LQ-45 companies listed on the Indonesia Stock Exchange in 2013-2017 as many as 45 companies. The sampling technique in this study used purposive sampling. Samples that met the criteria in this study were used by 12 companies. The data analysis technique used was multiple linear regression analysis using SPSS 22 for Windows. The results of this study indicate that tax planning and leverage affect earnings management. While audit quality as a moderating variable strengthens the relationship between tax planning and leverage on earnings management. This research provides futher evidence of earnings management related about audit quality, tax planning and leverage separately for academically side. For practitioners, it can be used as a consideration in making investment decisions, that there is a connection between the things that become variables in this study. Keywords: Audit Quality, Tax Planning, Leverage and Earnings Management JEL Classification: A12-Relation of Economic to Other Diciplines

Keywords
Keywords: Audit Quality, Tax Planning, Leverage and Earnings Management

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/7g8h6ULCvMxH

Corresponding Author
Lukmanul Hakim

Institutions
a) Sekolah Tinggi Ilmu Manajemen dan Ilmu Komputer ESQ Jalan TB Simatupang Kav. 1 Menara 165 Lantai 19, Cilandak, Jakarta Selatan 12560, Indonesia
*lukmanul.hakim[at]esqbs.ac.id

Abstract
Prior studies show that the use of country of origin is commonly used by global companies to show the level of good reputation and product quality. However, there is a shift perspective in the eyes of consumers from certain generations compared to previous generations. The purpose of this study is to determine the effects of country of origin on the purchase intention of Indonesian Generation Z customers. And also, it is conducted to know what key factors of Indonesian generation Z customers are looking when they see a smartphone. Data collection method is determined using a questionnaire to be distributed to 116 Gen Z customers from two major cities in Indonesia, namely Jakarta and Surabaya. A quantitative method is conducted using some classical assumptions tests to obtain the relationship value of the variables observed. The results indicate that the relationship between country of origin in smartphone manufacturers on purchase intention of generation Z customers has a positive effect on the customer purchase intention, but relatively small. They preferred product that have durability and also comfort for them. Finally, it can be indicated that the approach of country of origin is no longer relevant to be used for Z generation customers.

Keywords
Country of origin; Purchase intention; Gen Z

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/xEjuLUn4vk2Q

Corresponding Author
Zakik Zakik

Institutions
(1) Universitas Trunojoyo Madura, Indonesia
kikaz76[at]gmail.com

(2) Universitas Airlangga, Surabaya, Indonesia

(3) Universitas Airlangga, Surabaya, Indonesia

Abstract
The objective of this study is to analyze the influence of dry land governance on peoples welfare in Madura Island in Islamic perspective. This study uses a quantitative approach which strengthened bysyari qualitative analysis and kasyf analysis. The objects of this study are 4 districts in Madura Island which is selected by using non probability sampling technique. The samplesare Bangkalan,Sampang, Pamekasan, andSumenep. Theanalysis technique used in this study is Partial Least Square (PLS). The result of the study shows that dry land governance has a negative and significant effect on peoples welfare in Madura Island.Whereas the Agricultural productivity has a positive and significant impact on peoples welfare in Madura Island. This study also proves that the multidisciplinary and dynamic modification model of Ibn Khladun has been applied to the activity of dry land agriculture in Madura Island, along with that, Zadjuli theory about line of poverty and prosperity can be applied to measure the level of welfare in Madura Island, so it can be said that Dry Land Governance is not yet kaffa according to Islamic law. Based on intuitive or kasyf analysis, proved that Dry Land Governance in Madura Island has been unsuitable to Koran Al A-raf verse 56-57 but the low rainfall level in Madura Island as the shadow of rainfall in East Java mainland is suitable to Koran Al Baqarah verse 265.

Keywords
dry land governance; peoples welfare; maqashid al syariah; Islamic law

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/krHZpPfX3Atv

Corresponding Author
MOCHAMMAD FAHLEVI

Institutions
School of Business, Kusuma Negara Business School, Jakarta, Indonesia.
fahlevi[at]stie-kusumanegara.ac.id

Abstract
Research on the sharia bank financial performance level was first conducted by SudinHaron (1996), then similar research was conducted by Anna P.I. Vong(1997), M. Kabir Hassan (2002), Abdel-Hameed M. Bashir (2003), Samy Ben Naceur (2003), Muhammad Farhan, Khizer Ali and ShamaSadaqat (2011), and Nor Hayati Ahmad (2011). Macroeconomic factors and internal factors are variables that have an effect on sharia banking. These factors are GDP, inflation, and interest rates, FDR, OER which can affect directly or indirectly the financial performance of sharia banks in Indonesia. The result has shown GDP has a significant positive effect on ROA, it is match with several previous research, Inflation has no significant and negative effect on ROA, because when inflation central bank will give policy to increase BI rate, and sharia bank doesn-t effect with interest rate because interest is riba, interest rate has no significant effect on ROA because sharia bank doesn-t effect with the interest but use profit and loss sharing to financing, so in macroeconomic the result only GDP has significant and positive effect on ROA. The result has shown FDR has no significant effect on ROA, but has positive effect and the result match with previous research in relationship FDR and ROA, OER has negative significant effect on ROA and match with previous research (Sianturi, 2013).

Keywords
GDP, Inflation, Inreterest Rate, FDR, ROA

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/pwxQHjhW8NZU

Corresponding Author
Muji Astuti

Institutions
Sekolah Tinggi Ilmu Manajemen dan ilmu Komuter (STIMIK) ESQ, Jakarta radhi.hartono95[at]gmail.com mujiastuti[at]esqbs.ac.id

Abstract
Many activities have been developed by the government, institutions, and communities in alleviating poverty. Zakat, as one of the instruments to overcome poverty conducted by Badan Amil Zakat (BAZ) and Lembaga Amil Zakat (LAZ), approximately close to IDR286 trillion or equal to 2.4% of GDP. LAZ Al-Azhar Peduli Ummat designed programs that fit to the vision and mission of prospering the mustahik. One of them is Sejuta Berdaya as part of the economic empowerment by delivering qardhul hasan financing. This research uses descriptive method through quantitative and qualitative approach, using secondary and primary data to strengthen the explanation related to the concept of empowerment. Data collecting technique was elaborated by interview and observation to Kelompok Swadaya Mandiri (KSM) in Mekarjaya, District Pacet, Bandung Regency, West Java. Statistical instruments applied are the correlation test and simple linear regression analysis test. LAZ Al-Azhar Peduli Ummat distributes about 96.15% of the cash receipt directly to the eligible programs. Beside it were statistically showed the contribution of qardhul hasan financing to increase revenue is 14.5%. This study implies that there is effect of financing on the increasing of the mustahik revenue in LAZ Al-Azhar Peduli Ummat at the Sejuta Berdaya program. The suggestion that can be submitted by the author is LAZ Al-Azhar Peduli Ummat needs to maximize the distribution of zakat funds for the purpose to prosper the community through various empowerment programs.

Keywords
Sejuta Berdaya Program, Qardhul Hasan Financing, Mustahik Revenue

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/2hQcTRqBn7F8

Corresponding Author
Muji Astuti

Institutions
(1)Liverpool John Moores University, Liverpool, reza_hariyadi[at]hotmail.com
(2) Sekolah Tinggi Ilmu Manajemen dan Ilmu Komputer (STIMIK ESQ), Jakarta, mujiastuti[at]esqbs.ac.id

Abstract
Disclosure of sustainability reporting can perceive accountability and increase company value for stakeholder decision making. The phenomenon of indifference to social, environmental and other non-financial elements requires that governments and international institutions form additional standards and regulations as guidelines for reporting company performance. Sustainability reporting is an additional standard for representing a companys overall performance by incorporating the companys environmental, social and economic aspects. This study aims to examine the effect of continuous reporting on financial performance applying quantitative methods with multiple linear regression which tests several independent variables on one dependent variable. This study uses secondary data in the form of financial statements of 17 companies listed in the Jakarta Islamic Index 2014-2016. The sampling technique was determined by the purposive sampling method. The research hypothesis is whether sustainable reporting influences financial performance as measured by asset management ratios, profitability ratios, liquidity ratios and market ratios. The normality test explains that all variables meet the assumption of normality. The Kolmogorov-Smirnov significance value is greater than 0.05. There is no autocorrelation and heteroscedasticity in all variables. The statistical t-test and determination test show different percentages for each variable. The conclusion of this study concludes that sustainability reporting has no effect on asset management ratios, due to the limited reporting of intangible assets in Indonesia. In addition, sustainability reporting affects six variables of profitability ratios, liquidity ratios and market ratios. These results indicate that companies listed on the Indonesia Stock Exchange and regularly reported in the Jakarta Islamic Index have adopted sustainability reporting properly.

Keywords
sustainability reporting, asset management ratio, profitability ratio, liquidity ratio, market ratio

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/4h6Yvu72WtgH

Corresponding Author
Khalifany Ash Shidiqi

Institutions
(a) Universitas Muhammadiyah Yogyakarta
(b) Universitas Muhammadiyah Yogyakarta

Abstract
In Indonesia, there exist an interesting trend from manufacturing sector in which the growth of employment is getting higher every year. It indicates that many people who have pursued education and graduated are competing in this sector. This research aims to provide evidence about the effect of educational attainment on wage rate in Indonesian manufacturing sector. The model employed is the Mincer Earnings Model that explains wage is a function of schooling and experience. The data of this research is obtained from IFLS (Indonesian Family Life Survey) wave 5 with 1.868 number of observations. The multiple regression analysis with robust standard error is used for the estimation. Empirically, we expect that educational attainment and work experiences have a strong statistical relationship on wage positively.

Keywords
Wage, Manufacture Sector, Educational Attainment, Experience, IFLS

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/UVDuWTfAjpx4

Corresponding Author
Dyah Titis Kusuma Wardani

Institutions
a) International Program for Islamic Economics and Finance (IPIEF), FEB, UMY. Postgraduate Building Ground Floor, Universitas Muhammadiyah Yogyakarta
Kampus Terpadu UMY. Jl. Brawijaya, Kasihan, Bantul, Yogyakarta 55183.
*resty.tamarautami[at]gmail.com

b) Department of Development Economics, FEB, UMY
Jl. Brawijaya, Tamantirto, Kasihan, Bantul, Daerah Istimewa Yogyakarta 55183

Abstract
This study investigates the impacts of Free Trade Agreements (FTA) which focuses on analyzing trade flows, intensity of bilateral trade and export performance between OIC-member states and US Trade Investment Framework Agreement (TIFA). Using a Gravity Model, the model is estimated on a panel data set of 20-OIC member states and US as partner country of OIC countries covered a period of 15 years from 2002 until 2016. Using aggregated bilateral export data of 20 OIC-countries and US obtained from World Bank Database and UNCOMTRADE. The data was taken to evaluate the factors affecting the bilateral trade volume. The factors influence on trade flows which are studied in this study, as in: GDP, Political Stability, Exchange Rate, GDP, population, distance and language in further will be process with multiple linear regressions. It estimated result expected that inflation, exchange rate, GDP and distance has whether the significant or insignificant impact on the trade flows in bilateral trade. Beside that, this study also need an annual data to be used in analyzing Trade Intensity Index to find out the intensity of bilateral trade and Constant Market Share to see export performance of OIC-US countries. By analyzing the factors that affect trade performance this study expect to investigate trade performance between OIC-US is effective and efficient.

Keywords
OIC; Trade flows; Gravity model; Trade Intensity Index

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/VKTYxRCWMhnz

Corresponding Author
Yusvita Nena Arinta

Institutions
Faculty of Islamic economy and bussiness
State Islamic Institute of Religion in Salatiga
nena[at]iainsalatiga.ac.id

Abstract
This study aims at analyzing the impact of Islamic Corporate Governance variables on Sustainable variables in Indonesia Islamic Banking. The variable used in this research are Sharia Supervise Board (SSB) which consist of quantity, quality, and number of meeting as proxy of Islamic corporate governance, while proxy of Sustainable Islamic Bank consist of Corporate Social Responsibility for aspect environment and financial performance for aspect finance. The data used in this study is secondary data from annual report of Islamic banking publications in Indonesia from 2014-2017. Sample use sensus method with the number of samples are 11 Islamic banks. Analysis of data testing use path analysis. The results of the research showed that Quantity of SSB, Quality of SSB, Meeting of SSB has a significant impact on CSR, while Quality of SSB significant influence on financial performance. In contras Quantity and Meeting of SSB Board have no significant impact on financial performance. The Sustainable Business Islamic bank in Indonesia can be seen from sharia compliance by SSB

Keywords
Islamic Corporate Governance, Sustainable Bussiness Report, Sharia Supervisory Board, Corporate Social responsibility

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/MCA6TLqE7uxK

Corresponding Author
Mohamad Fany Alfarisi

Institutions
Faculty of Economics
Universitas Andalas

Abstract
In conjunction with the development of Islamic finance industry, Islamic economics and finance courses have been introduced since the last two decades in Indonesia. To train the talents for Islamic finance industry, a number of institutions have held and training sessions in the phase of Islamic finance development. We assigned a number of criteria to choose the sample namely, faculty of economics and business students in public university with the lenght of study period at least three semesters. To collect primary data, 421 sets of self-administered Islamic financial literacy questionnaire had been distributed to the target respondents. From the total distributed questionnaire, 300 of them were completed and included in the sample. Therefore the respond rate is 71.3%. 145 respondents are in the category of low Islamic financial knowledge, while 155 are in the category of sufficient. From 145 respondents with low Islamic financial knowledge 79 (66) have (not) taken (any) Islamic economics and finance courses. From 155 respondents with sufficient financial knowledge 114 (41) have (not) taken (any) Islamic economics and finance courses. Using Pearson Chi-Square (cross-tabs), the p value is less than 0.05. Therefore, we do not have enough evidence to accept the null hypothesis that there is no difference between the two groups regarding their profiency in Islamic financial knowledge. In view of this, it can be inferred that Islamic economics and finance courses have significant impact upon Islamic financial knowledge of public university students in Padang. INTRODUCTION There has been an increasing trend of the Islamic finance industry in Indonesia since the last two decades. Despite experiencing positive improvement in terms of a number of institutions, assets, revenues, and customers, Indonesian Islamic finance industry so far has not reached its optimum level. One factor that has led to such condition is the low score of Islamic financial literacy index. The latest survey conducted by the OJK of financial literacy finds that Islamic financial literacy of Indonesian consumer is 8.11% (Otoritas Jasa Keuangan, 2017). Moreover, the finding of the survey informs that student-s Islamic financial literacy index is among the lowest compared to other consumer group based on the profession category. Owing to this condition, the phenomenon needs to be observed thoroughly, particularly the current state of students- Islamic financial literacy index. RESEARCH METHOD This study explains the impact of Islamic economics courses on Islamic financial literacy of university students. Additionally, it intends to compare Islamic financial literacy of those who have taken Islamic and finance courses and those who have not. With respect to the approach, the current study will use a quantitative approach to explain the linkage between the two variables. The population of the present study is all currently enrolled faculty of economics students from public universities in Padang notably Universitas Andalas, Universitas Negeri Padang and Universitas Islam Negeri Imam Bonjol. The target respondents of the present study are students of faculty of economics and business with the study period at least three semesters. The sampling technique used is the purposive sampling method. A self administered questionnaire will be used to collect primary data from university students in Padang. To avoid confusion and any unnecessary errors during the survey, pretesting will be conducted to limited number of respondents. Pretesting is another type of pilot test that focuses on data collection activities, for instance using questionnaires (Cooper & Schindler, 2008). Having passed the pretesting stage, the next step is to distribute the questionnaires directly to the potential respondents. Completed questionnaires, therefore will be inputted to statistical software for further examinations. Variables Definition Measurement Islamic economics courses All related Islamic economics courses such as Islamic bank, Islamic capital market, fiqh muamalah Yes or No Islamic Financial knowledge Stock of knowledge specifically related to Islamic finance concepts and products (Azmi & Chong, n.d.) Multiple choice question, 1 score for correct answer and 0 otherwise. Islamic Financial behavior Financial decision making (Mandell & Klein, 2009) Likert scale Islamic Financial attitude How consumers attitude in certain financial experience Likert scale RESULTS AND DISCUSSION From the table 4.1, it can below observed that most respondents can answer the question correctly in question number two that asking about example of ribawi transaction (98%) and question number three about the element of akad (contract) in a transaction (83.7%). Meanwhile, question on akad for Islamic bank saving account (6) and characteristic of Islamic mutual funds (7) are the most questions that could not be answered correctly (13.7% both). Distribution of Responses to Islamic Financial Knowledge Questions No Question Responses Incorrect (%) Correct (%) 1 Meaning of riba 59.7 40.3 2 Example of ribawi transaction 2.0 98.0 3 Element of akad 16.3 83.7 4 The right akad for a transaction 67.0 33.0 5 Negative element of a transaction 38.7 61.3 6 Akad for Islamic bank saving account 86.3 13.7 7 Characteristic of Islamic mutual funds 86.3 13.7 8 Takaful 43.3 56.7 9 Sukuk 61.7 38.3 10 Mudharabah 85.0 15.0 CONCLUSION From the findings of present study it can be conclude that many respondents put more emphasize on syariah-compliant status of financial products prior putting their wealth in any Islamic investment schemes. Islamic bank saving account is the most chosen Islamic finance products in the present time as well as in the future time. With respect to the level of Islamic Financial Knowledge, most respondents can be categorized as sufficient knowledge. The present study finds that attending the formal Islamic Economics and Finance courses can positively contribute to a greater level of Islamic Financial Literacy. REFERENCES Abduh, M. (2016). Foundation of Islamic Finance. Kuala Lumpur: IIUM Press. Atkinson, A., & Messy, F.-A. (2011). Assessing Financial Literacy in 12 Countries (No. 01/2011-014). Azmi, M., & Chong, R. (n.d.). Financial Literacy : An Exploratory Review of the Literature and Future Research. BAYER, P. J., BERNHEIM, B. D., & SCHOLZ, J. K. (2009). the Effects of Financial Education in the Workplace: Evidence From a Survey of Employers. Economic Inquiry, 47(4), 605–624. https://doi.org/10.1111/j.1465-7295.2008.00156.x Blue, L., Grootenboer, P., & Brimble, M. (2014). Financial literacy education in the curriculum: Making the grade or missing the mark? International Review of Economics Education, 16(PA), 51–62. https://doi.org/10.1016/j.iree.2014.07.005 Conference, I. (2016). Proceeding of the 3, 2016(November), 277–287. Cooper, D. R., & Schindler, P. S. (2008). Business Research Methods (Internatio). New York: McGraw-Hill/Irwin. Furqani, H. (2017). Country Reports: The Current Situation oF Islamic Economics. Istanbul. Retrieved from http://www.ikam.org.tr/en/publications/the-current-situation-of-islamic-economics-in-indonesia Hung, A. A., Parker, A. M., & Yoong, J. K. (2009). Defining and Measuring Financial Literacy (Labor and Population No. WR-708). Iqbal, Z., & Mirakhor, A. (2011). An Introduction to Islamic Finance: Theory and Practice (Second edi). Singapore: John Wiley & Sons Ltd. Lee, N. (n.d.). What is financial literacy , and does financial literacy education achieve its objectives ? Evidence from banks , government agencies and financial literacy educators in England. London. Lusardi, A., Mitchell, O. S., & Curto, V. (2009). FINANCIAL LITERACY AMONG THE YOUNG : EVIDENCE AND IMPLICATIONS FOR CONSUMER POLICY (No. 15352). Cambridge. Mandell, L., & Klein, L. S. (2009). The Impact of Financial Literacy Education on Subsequent Financial Behavior, (206), 15–24. Moore, D. L. (2003). Survey of Financial Literacy in Washington State: Knowledge, behavior, Attitudes, and Experiences. Washington State Univer- sity Social and Economic Sciences Research Center Technical Report 03-39. https://doi.org/10.13140/2.1.4729.4722 OJK. (2018). Laporan Triwulan (Triwulan I-2018). Jakarta. Otoritas Jasa Keuangan. (2017). Survei Nasional Literasi dan Inklusi Keuangan 2016. van Rooij, M., Lusardi, A., & Alessie, R. J. M. (2007). Financial literacy and stock market participation (No. 2007/27). Frankfurt.

Keywords
Islamic financial literacy; Islamic economics; university students

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/GK8qeJhRtuvF

Corresponding Author
Susilo Nur Aji Cokro Darsono

Institutions
a) Department of Economics, Faculty of Economics and Business, Universitas Muhammadiyah Yogyakarta, Yogyakarta, Indonesia
b) College of Management, Asia University, Taiwan
c) International Program for Islamic Economics and Finance, Universitas Muhammadiyah Yogyakarta, Indonesia
*susilonuraji[at]gmail.com

Abstract
Inequality in income distribution is one of the economy problems that faced by most developing countries and Indonesia is one of them. In order to reduce the income gap, Islam proposes an instrument as the solution to solve this problem, such as Zakat. Zakat is not only an obligation for the Muslim but also has the goals to improve the economy condition in society. There is the movement of wealth from high income society to low income society in zakat, so the income will not be distributed in certain society. Zakat distribution can support to achieve one of the Sustainable Development Goals (SDGs) such as goals number 10 which is reduced inequalities. This research aims to analyze the effect of productive zakat on reducing the income inequality among Mustahiq. Survey by using questionnaire was applied in this research to find the data from Mustahiq population in Yogyakarta City. Lorenz Curve, Gini Ratio Index and World Bank Inequality Criteria were applied to analyze the inequality of income distribution. This research found that distribution of productive zakat was decreased the inequality of income among mustahiq as shown on the decreasing of area in Lorenz curve. Besides, Gini Ratio was also reduced from 0,37 to 0,30 which shows the decreasing of income inequality among mustahiq. Then, the proportion of income in 40% low income society increased from 16,65% to 21,36%.

Keywords
Income Inequality; Productive Zakat; Mustahiq

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/mFxjb6DaVwtM

Corresponding Author
zaini muchlis

Institutions
Muhammadiyah University of Yogyakarta

Abstract
This study aims to determine the knowledge and understanding towards academics staff about zakat and to know the impact of professional zakat on the behavioral lecturers of Muhammadiyah University of Yogyakarta. The objects of this study were lecturers at the economics and business faculties. This research was designed using qualitative descriptions while the variables studied were the impact of the mandatory zakat on the academic community in UMY. The data collection of this study through questionnaires, interviews and documentation. The research instrument is a list of questions that reveal the variables and rubric of self-reflection. The data validity uses content validity and data triangulation, while the technical data analysis is quantitative through percentage analysis. The results found were that the obligations of professional zakat bring positive and negative effects on the lecturers of Muhammadiyah University of Yogyakarta , especially in the Faculty of Economics and Business. However, the negative impact obtained is greater than the positive impact.

Keywords
Professional Zakat; Academic Community; UMY

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/HabLcN2q7PTz

Corresponding Author
Mohammad H. Holle Han

Institutions
IAIN Ambon

Abstract
The biggest problem that countries always face is poverty. There are always strategies and regulations issued to overcome poverty. One of them is financial inclusion. This is also indicated by G-20 countries that are committed to financial inclusion. This financial inclusion program is also carried out by the Indonesian Government through Banking institutions. Unfortunately this program has not been optimal in reducing poverty in Indonesia. Until 2017, the poverty rate in Indonesia still reached 10.12 percent or around 26.58 million people. Certainly a challenge. For that the author offers financial inclusion must target the mosque as a representative container for Muslims and appropriately alleviate poverty as well as a center for economic empowerment of the people. To ensure that mosques are very strategic in running financial inclusion programs in Indonesia, this study uses a case study approach. Because this study focuses on the case of "mosque-based financial inclusion", it is used singularly instrumental or that focuses only on one particular issue or problem which is then analyzed holistically. Judging from the case, the place of research, mosque-based financial inclusion research falls into the category of collective or multiple case studies. While the theory used to strengthen this case study approach is critical theory by Creswell. This study is not intended to draw conclusions in general or obtain generalizations, because it does not require populations and samples. For this reason, the two mosques that were the object of this research were the Jogokariyan Mosque in Yogyakarta, and the Al-Falah Mosque in Surabaya. Although limiting the locus of the two mosques, however, this study is expected to produce findings that can apply in other places (mosques or other places) if the characteristics and conditions are the same or similar to the place where the research was conducted, which is commonly referred to as transferability. The results of the study show that financial inclusion programs are very strategic at the mosque. Because mosques have more ethical values than other microfinance institutions, mosques have worshipers (customers) without looking for as do microfinance institutions, and various business units that can be used as a center for economic empowerment of the people, for example; baitul mal, cooperatives and other types of businesses that can be used as a forum for alleviating poverty in the community (pilgrims).

Keywords
Importance, Masjid, Financial Inclusion

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/G9krwj67XKWh

Corresponding Author
Fatkurrohman Fatkurrohman

Institutions
Tourism Major, Vocational College, Universitas Gadjah Mada

Abstract
This research aims to analyze influence of Islamic economy toward halal tourism in Indonesia. There are seven sectors of Islamic economy growing fast namely culinary sector, Islamic finance, insurance industry, fashion, cosmetics, pharmacy, entertainment and tourism. According to Pew Research Center, Muslim in the world in 2010 is 1.6 billion. This fact shows that Muslim as the second largest population in the world contributed in tourism industry especially in Indonesia. Effect of Islamic economy in developing halal tourism in Indonesia is very interesting to be learned. The development of halal tourism in Indonesia showed a significant development with the acquisition of 12 nominations in the event World Halal Tourism Awards in 2016 in Dubai, United Arab Emirates. To understand influence of Islamic economy toward halal tourism in Indonesia, I occupy a qualitative research which uses library method to collect the data. In addition, explorative method is used to explain how influence of Islamic economy toward halal tourism in Indonesia. The result shows that development of halal tourism in Indonesia is influenced by Islamic Economy. Indonesia winning in World Halal Tourism Awards 2016 became one of examples from desire of Muslim tourists to choose halal tourism than conventional tourism.

Keywords
influence; Islamic economy; halal tourism; and Indonesia

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/FUXYWn3MjkBH

Corresponding Author
Fatchul Wachid

Institutions
Islamic Economics and Finance, Sakarya University, Sakarya, Turkey

Abstract
A mechanism where the savings and wealth in the individuals transform into service in the community needs has been created through the waqf system. Waqf system reduce and even eliminate the gap between social classes. Where people who have capital will compete to serve the community to get closer to Allah. The Ottomans can be remembered today because of the waqf civilization was strong at the time. Various academic studies showed that waqf institution emerged as a third economic institution after the Ottoman central treasury and timar system. Therefore, research on the structure of the Ottoman economy and the function of the waqf institution is very important. The aim of this study is to explain the formation of cash waqf by analyzing the wakfiyah as the primary source. We also analyze the amount of profits obtained by cash waqf institution in Rumeli (Istanbul). Istanbul is the center of the Ottoman economy. Therefore, researching waqf institutions in Istanbul can help us to understand Ottoman financial condition generally. In addition, academic research on cash waqf institutions at Rumeli (Istanbul) is also very rare.

Keywords
Cash Waqf, Ottoman Waqf, Ottoman Cash Waqf, Islamic Finance

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/fYdQUmV6TGjB

Corresponding Author
Thalia Lintang Sekarsari

Institutions
Master of Sociology, Universitas Airlangga Surabaya

Abstract
Cultural of Occupational Health and Safety (OHS) is a program of the government and companies to protect employees of the company is currently conducting projects in the corporate environment with the participation of every element in the companys development projects are the responsibility of socially and legally on each executor. Implementation of this program is one of the factors is the value of professional companies in the construction project. Coal mining environment is very tempting for investors to invest given the value of the coal stocks are quite high in national and international markets. Activity coal mining project caused quite a risk and alacrity that reflect the performance of the employee for bringing good name and corporate responsibility. The purpose of this study was to analyze the factors that affect the health and safety culture, especially in mining projects, as well as identifying the cultural factors influence of occupational health and safety (OHS) to employee performance mining community. There are 120 employees in a coal mining community in accordance with the criteria in this study. Simple regression analysis was done through SPSS 20. The results of this study indicate that the influence of Occupational Health and Safety (OHS) to employee performance coal mining.

Keywords
Occupational Health and Safety (OHS), Employee Performance, Mining.

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/xqy7c2HnWkhE

Corresponding Author
Muhammad Zakiy

Institutions
Universitas Muhammadiyah Yogyakarta

Abstract
Abstract This study aims to identify the role of switching cost as a moderating variable in the influence of price and service quality on switching intention. This study attempts to answer the current state of Islamic bank customers in Indonesia by using Reinforcement Theory in the context of switching intention by determining whether price, service quality and switching cost variables play an important role in customer switching intention studies. The sample in this study consists of 239 customers from 5 sharia banks with the highest customer loyalty index in Indonesia. Data were collected through offline and online questionnaires and then analyzed using Moderated Regression Analysis (MRA). The results of this study proved that price and service quality is the main predictor of switching intention of sharia bank customers in Indonesia. In addition, switching costs successfully moderate the effect of service quality on switching intention. This study also discussed the relation to theoretical, methodological and practical issues.

Keywords
Islamic banking, Sharia compliance, switching intention in bank, CARTER, MRA

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/MwvJm4r7xYgz

Corresponding Author
Eni Istiyanti

Institutions
Departement of Agribusiness Universitas Muhammadiyah Yogyakarta

Abstract
Rising awareness toward the effects of chemical substance on public health and environment has led to the initiation and the development of organic farming system. This research aimed at analyzing the financial feasibility and technical efficiency of the development of organic and non-organic rice farming. The research was conducted in Imogiri Sub-district, Bantul District, which was purposively selected. The research utilized survey with 50 respondents which were selected using the method of simple random sampling. The analysis technique applied was descriptive and quantitative, using Cobb Douglass stochastic frontier production function. The result of the research visualizes that organic rice possesses higher level of income and profit than non-organic rice does. Financially, organic rice is feasible for further development with R/C value reaching 1.81 (>1). Furthermore, technically, organic rice shows promising efficiency with efficiency index reaching > 0.7. In conclusion, the development of organic rice in Bantul District shall be continued since it provides not only financial benefit but also environmental benefit.

Keywords
development, financial feasibility, organic rice, technical efficiency

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/wPqnvN3AfkQz

Corresponding Author
Hairunnas Hirunnas

Institutions
Department of Development Economics, Faculty of Economics and Business, Universitas Muhammadiyah Yogyakarta, Jalan Brawijaya, Tamantirto, Kasihan, Bantul, Daerah Istimewa Yogyakarta, Indonesia 55183
*dyahtitis123[at]gmail.com

Abstract
This study aims to analyze the impact of ICT Development on bilateral trade in the service sector between Indonesia and its trading partners in ASEAN countries. The sample is 4 ASEAN member countries that conduct trade in services with Indonesia. This study uses the gravity model framework of data panel from 1997 to 2007 with a random effect model. This research is continued with robustness check by comparing between random effects and MLE models. To overcome zero trade in the service trade, this study employs PPML semi-log model. Based on the regression analysis, this study is intended to investigate whether ICT has a positive and significant impact on Indonesias service trade to ASEAN countries. Other variables of ASEAN countries as Indonesia trading partners, such as RGDP, distance, population, language, openness index and real exchange rate are also expected to have an influence on Indonesia trade service. In addition, these results are expected to be strong enough for the specifications of alternative models and estimation methods. Based on these results, some expected policy implications can be formulated.

Keywords
Information and Communications Technology (ICT); Service trade; Gravity model

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/kmHdUMWwZBgQ

Corresponding Author
Agus Tri Basuki

Institutions
Universitas Muhammadiyah Yogyakarta and Universitas Sebelas Maret Surakarta

Abstract
This research aims at empirically proving the composition of local government expenditure (education, health, marine and fisheries, agriculture, and general allocation fund) on economic growth in 18 provinces in Indonesia from 2010 to 2015. The model used in this research is panel data regression. The research results indicate: Firstly, the government expenditure component for marine and fisheries has the greatest contribution in driving economic growth in Indonesia, and this just suits the shape of its territory with 2/3 of it consisting of waters. Secondly; the government expenditure component for agriculture give the second greatest contribution after marine and fisheries expenditure, which suits the employment absorption in Indonesia, i.e. 35 percent of them is absorbed in agriculture sector. Thirdly; the Government expenditures for education and foreign investment have no influence on local economic growth.

Keywords
economic growth, data panel, government expenditure, and fiscal policy.

Topic
International Conference of Islamic Economic and Financial Inclusion

Link: https://ifory.id/abstract/hGxpNCnjFBUR