Ikonomika : Jurnal Ekonomi dan Bisnis Islam
Vol 8, No 1 (2023)

Determinant Analysis of The Role of Islamic Banking in Micro Small Medium Enterprises in The New Normal Period

Rahmayati Rahmayati (Universitas Muhammadiyah Sumatera Utara)
Siti Mujiatun (Universitas Muhammadiyah Sumatera Utara)
Fadhli bin Wan Mahmud Khairi (International Islamic University Malaysia)



Article Info

Publish Date
23 May 2023

Abstract

The purpose of this study was to identify and analyze the role of Islamic banking in MSMEs in the new normal period because Islamic banking is a financial intermediary institution that has a role in economic development and in this case the focus of research on MSMEs can drive economic activity. Problems in research due to this new normal period need to be studied whether MSMEs increase their income during the new normal period and whether Islamic banking has played a role. This research methodology was conducted using primary data obtained through a survey of 116 business actors engaged in the food business and other businesses located in the city of Medan. The results of this study indicate that MSMEs survive from their own capital in the form of assets and savings owned, even though the interest and desire of MSME actors is very dominant in wanting to transact to obtain assistance in the form of capital from Islamic banking, which is equal to 86%. 52.6% of MSMEs have capital problems in this new normal period. Thus it can be concluded that Islamic banking has not provided assistance to MSMEs in the new normal period and Islamic banking has the potential to increase its role as a financial intermediary institution in the future.

Copyrights © 2023






Journal Info

Abbrev

IKONOMIKA

Publisher

Subject

Economics, Econometrics & Finance

Description

IKONOMIKA: focused on primary studies: Islamic management, Islamic finance, Islamic Accounting, Islamic banks, and halal markets, has initiated the development of global economic advantages. Islamic based economics could not be seen as independent variable standing on side-by-side with conventional ...