ARE WE ALIVE WHEN ISLAMIC BANKS DOMINATE?: CASE STUDY IN INDONESIA
ABSTRACT: Islam promotes
justice in every aspect of life including in banking and finance. Shariah has
to be the foundation for any banking transactions to ensure that any single
party is not being unfairly treated or exploited. Interest based bank is
certainly create unfairness and exploitation. In any cases only single party
which get a lot of benefit. Hence islamic banking industry need to be developed
so that its market share will increase significantly until it can reach the
domination of the national banking assets. This paper aims to forecast when
such condition will occur. Adopting a popular forecasting tool such as double
exponential smoothing, this study will inform us when islamic banking market
share will reach 50% out of total banking asset. The monthly data examined
starts from January 2004 to may 2011. We use a single time series data which is
islamic banking market shares whereby it is calculated from the islamic banking
asset divided by total banking asset. the structure of this paper is as
follows: after the introduction which describe the history and performance of
Indonesian islamic bank, it discusses about the data and method used in this
paper. Next section is on the description and analysis on the result obtained.
Lastly is the conclusion where it recommends some policies required from the
obtained result in which the optimist scenario would say that the domination of
Islamic banks may occur in our grandchild generation
Penulis: Raditya Sukmana, Heri
Kusworo
Kode Jurnal: jpmanajemendd120720
