cover
Contact Name
Putri Swastika
Contact Email
ijie@metrouniv.ac.id
Phone
+6281274267972
Journal Mail Official
ijie@metrouniv.ac.id
Editorial Address
Jalan Ki Hajar Dewantara 15A, Iringmulyo, Metro Timur, Kota Metro, Lampung.
Location
Kota metro,
Lampung
INDONESIA
International Journal of Islamic Economics
ISSN : 26862131     EISSN : 26862166     DOI : https://doi.org/10.32332/ijie.v1i02
Core Subject : Economy,
Focus and Scope International Journal of Islamic Economics (IJIE) is an Islamic Economics journal published by the Postgraduate of IAIN Metro Lampung Indonesia. FOCUS This journal focused on Islamic economics, finance, and management studies through the publication of articles, research reports, and book reviews. SCOPE IJIE specializes in Islamic economics, finance, and managament related studies and is intended to communicate original research and current issues on the subject. This journal welcomes contributions from scholars of related disciplines.
Articles 44 Documents
Islamicity Indices: A Moral Compass for Reform and Effective Institutions Hossein Askari
Jurnal Internasional Ekonomi Islam Vol 1 No 01 (2019): International Journal of Islamic Economics
Publisher : The Postgraduate of Institut Agama Islam Negeri Metro Lampung

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.32332/ijie.v1i01.1574

Abstract

“Islamicity Indices” are based on the Islamic teachings of the holy Qur’an and the Hadiths. Islam’s foundational teachings are summarized; the rules that follow are deduced; and then the important institutions that these teachings and rules indicate are identified.These rules and institutions are in turn then used to construct indices for measuring the degree of Islamicity—the reflection and manifestation of these teachings in a community or a country.The purpose of “Islamicity Indices” is to provide a compass for fundamental economic, social and legal reforms—a compass that embodies quantifiable goals and targets that can be negotiated, results that can be monitored and assessed and policies that can be modified to achieve the set targets. Importantly, these indices can open up a debate among Muslims about the deeper meaning of their religion and going well beyond its more mechanical requirements andsuch a debate, based on quantified Islamic teachings, cannot be easily dismissed by those in power.When non-Muslim and Muslim countries are compared, the indices indicate that New Zealand, Australia, Canada and the countries of Northern Europe occupy the top ten positions in adopting Islamic rules for their foundation. These are countries that are generally regarded as the most successful socio-economic countries. Thus the problem is not with Islam but with Muslims as they do not uphold the rules, which translate into institutions, recommended in Islam. The results of these indices since 2000 show the failure of most Muslim countries and the urgent need for sustained reform.
A THEMATIC LITERATURE REVIEW ON SUKUK Fareiny Morni
Jurnal Internasional Ekonomi Islam Vol 1 No 02 (2019): International Journal of Islamic Economics
Publisher : The Postgraduate of Institut Agama Islam Negeri Metro Lampung

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.32332/ijie.v1i02.1803

Abstract

Although there has been extensive research being done in the field of Islamic finance, literature on sukuk are inadequate. This paper intends to present a thematic review of this subject matter. Through a thematic and chronological review, this paper is divided into the following themes; the first two sections are general i.e. we begin with an overview on the structure and nature of a sukuk contract, and the theories that have been adopted in sukuk research. While the remaining sections are separated according to the type of research i.e. a comparison between sukuk and bonds and investors’ perception of sukuk, and the impact of sukuk on economic growth. Besides providing a summary of the main points covered in current literature, this paper also highlight trends and issues on sukuk research and provide insight on limitation of current research as well as suggest future research directions.
The Efficacy of Monetary Transmission Mechanism: The Case of the United States Alaa Alaabed
Jurnal Internasional Ekonomi Islam Vol 1 No 01 (2019): International Journal of Islamic Economics
Publisher : The Postgraduate of Institut Agama Islam Negeri Metro Lampung

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.32332/ijie.v1i01.1575

Abstract

This paper empirically investigates the effectiveness of monetary policy transmission in the United States from 1975-2010 using the Long-Run Structural Modelling (LRSM) and the techniques of error correction and variance decompositions. The results indicate that the domestic credit and exchange rate channels are relatively effective in influencing the real GDP per capita, and so is inflation-targeting, while the interest rate channel does not appear to play an important role as a monetary transmission mechanism, bearing in mind the interlinkages between the channels. The empirical analysis suggests that policy measures and structural reforms must be targeted accordingly in order to promote the effectiveness of monetary transmission mechanisms in the US and similar countries.
CONTROVERSY ON RIBA PROHIBITION: MAQASHID SHARIAH PERSPECTIVE Muhammad Iqbal Fasa; Itsla Yunisva Aviva; Yayan Firmansah; Suharto Suharto
Jurnal Internasional Ekonomi Islam Vol 1 No 02 (2019): International Journal of Islamic Economics
Publisher : The Postgraduate of Institut Agama Islam Negeri Metro Lampung

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.32332/ijie.v1i02.1804

Abstract

Riba is one of debated issues in modern times. Although the Qur'an forbids Riba, there are still Muslim scholars who are debated on the operational definition of Riba. Differences in opinion can be found in the repertoire of fiqh and tafsir al-Qur’an pre-modern and modern. Naturally, the debates are often influenced by the particular sociological context. There is existing view which distinguishes bank interest with usury, thus implies the permissibility interest rate in financial transactions. Prohibition of Riba, from the perspective of maqashid syariah, is based on moral considerations and humanity. It is because the essence of the prohibition is to eliminate of all forms of injustices and unfairness in economic practices. The method of this paper is based on literature review by reviewing in-depth the books, commentaries and writings on maqashid sharia, interest rate transaction, and usury.
Hyperbolic Discounting in Fiscal Policy: The Case of Malaysian Government Budget Putri Swastika; Azura Othman
Jurnal Internasional Ekonomi Islam Vol 1 No 01 (2019): International Journal of Islamic Economics
Publisher : The Postgraduate of Institut Agama Islam Negeri Metro Lampung

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.32332/ijie.v1i01.1571

Abstract

Thispaper examines the lag effect of interest payments on the national output represented by GDP. The lag effectimplies the observation of hyperbolic discounting in the fiscal policy. The idea is round-eyed;that the government takes on high debts to finance their spending while not factoring or placing less importanceon the cost of the interest payments. The concept of hyperbolic discounting of behavioral economics is used in this paper to explain this phenomenon in the present path of public policy which operates under an interest-based system. We conduct this analysis by examiningthe present fiscal model and its effect on the economy, wherein debt is preferredin fiscal policy framework.It appears from the findings that the trend in Malaysia’s fiscal policy shows the presence of hyperbolic discounting.Shifting the debt burden to future governments and spending above revenue capacity can be seen as a manifestation of the common pool problem. Two main policy recommendations can be made. Firstly, the fiscal policy structure has to move away from the current interest-based borrowing. This is because an intrinsic feature of the interest-based system is that the risks of a debt transaction are transferred from the lender to the borrower.Secondly, the current tax structure can be simplied to improve tax compliance so as to improve tax revenue collection.Both the above policy recommendations have the potential of reducing the effect of hyperbolic discounting. The first increases the interaction between the government and the public thus enhances the governance structure of the government. The government will have to be more transparent in its dealing as the public has a vested interest in the development projects. The second enhances the first effect by providing a potential increase in tax revenue which will reduce the stress on debt servicing and the need for borrowing.
BLENDING ISLAMIC MICROFINANCE AND PRODUCTIVE ZAKAT TO SUPPORT SDGS IN FISHERIES SECTOR Kevin Joan; Bambang Catur Pambudi; Dimas Putra Adjie
Jurnal Internasional Ekonomi Islam Vol 1 No 02 (2019): International Journal of Islamic Economics
Publisher : The Postgraduate of Institut Agama Islam Negeri Metro Lampung

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.32332/ijie.v1i02.1805

Abstract

This paper attempts to offer a viable alternative model to tackle credit distribution problems by using integration of the credit distribution strategy between the financial institutions and amil zakat institution based on kafalah contract. The extant literature on the (i) financing constraints faced by fishermen, and (ii) quadruple helix strategy have been reviewed critically and used in the attempt of proposing an alternative model. The paper has developed blending strategy of Islamic microfinance and productive zakat as a source of financing for fishermen in coastal areas. This model is expected to provide fishermen to meet their liquidity constraint in developing their business. The paper is based on conceptual explorations of literature in the area of Islamic microfinance and zakat. This is a conceptual paper, so it did not employ any empirical analysis. The findings of this paper will provide strategy to optimize fishermen’s business which will increase their prosperity.
Commanding Right And Forbidding Wrong: A Behavioral Investigation Using The Rowing Game Hazik Mohamed
Jurnal Internasional Ekonomi Islam Vol 1 No 01 (2019): International Journal of Islamic Economics
Publisher : The Postgraduate of Institut Agama Islam Negeri Metro Lampung

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.32332/ijie.v1i01.1576

Abstract

There have been many empirical investigationinto property rights and rule of law in economic development, they do not demonstrate how deep religious understanding in human behavior for mutually beneficial decision-making. This paper attempts to address this concern so as to understand religious beliefs in constructive actions. This paper investigates the degree of compliance of individual behavior to the Islamic commandment of 'commanding right and forbidding wrong', through a behavioral approach, to understand the pervasiveness of Islamic morality in our modern societies, and how Muslims actually behave as opposed to what the Qur'an prescribes for them. The methodology of this researchevaluates the actions of experiment participants (divided into religious affiliations) through a Rowing Game that was intended to test for the rule of 'commanding right and forbidding wrong'. “The game is a prototype of a social contract where it illustrates how 'mutual undertakings' create a psychological tension between individual rationality, group benefit and straightforward compliance to Allah's commandment” (Mohamed et al, 2018). The complex nature of this command and prohibition results from the varied understanding of who is responsible (and adept enough) to enforce it, during which time is appropriate to do so and by what means. In this particular experiment, Muslims and non-Muslims appear to perform the same, with negative priming effects on the Muslims and positive priming effects for the non-Muslims.
ANALYSIS OF THE FINANCIAL MANAGEMENT AND LITERATION INFLUENCE ON THE FAMILY WELFARE LEVEL (CASE STUDY ON MUSLIMAH WITH TEACHER'S PROFESSION IN SELONG DISTRICT) Diah Zikrina Mulyarti; Yaser Taufik Syamlan
Jurnal Internasional Ekonomi Islam Vol 1 No 02 (2019): International Journal of Islamic Economics
Publisher : The Postgraduate of Institut Agama Islam Negeri Metro Lampung

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.32332/ijie.v1i02.1806

Abstract

The purpose of this research is to determine wether the financial management variable and financial literacy affect family welfare of muslimah teachers at Selong. 221 repondents were used as the sample in this research. the answers of those respondents were submitted using questionnaire with multinominal logistic regression as the method used to process the data. this research use two independent variable which is financial management variable and financial literacy variable and one dependent variable which is family welfare. the result of this research stated that financial management variable (X1) affect family welfare of muslimah teacher at Selong sub-district while financial literacy variable (X2) wasn’t.
The Implementation of Wakalah Contract by Multifinance Companies in Indonesia Rachmawaty Rachmawaty; Kartika Dian Pandaya; Alshamma Jamal Mohammed Al Azab
Jurnal Internasional Ekonomi Islam Vol 1 No 01 (2019): International Journal of Islamic Economics
Publisher : The Postgraduate of Institut Agama Islam Negeri Metro Lampung

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.32332/ijie.v1i01.1577

Abstract

The purpose of this paper is to discuss Wakalah contract which is one of the Islamic banking contracts. Therefore, our main study is the implementation of Wakalah in Indonesia. Wakalah in Indonesia has special reference which is Multifinance company (MFC). MFC is an entity of non-bank financial institution conducts business activities to finance goods or services.Therefore, this research is going to discuss how Wakalah is practiced in Indonesia, where Islamic banks appoint MFC as an agent to do service for end user “customer” on behalf of the bank. Consequently, the objective of this paper is to discuss the implementation of Wakalah with Mudharabah and Wakalah with Murabahah by MFC in Indonesia in terms of operation, the potential risks that might be occur and shariah issues in terms of ownership and fee. However, there are particular areas in terms of operation that MFC should improve, as well as, banks have to be aware of its operational way of conducting agreement so banks mitigate any kind of risks or negligence.
MAQASID AL-SHARIAH PHILOSOPHY IN MONETARY REGIME TOWARDS INCLUSIVE SUSTAINABLE GROWTH Mohd Noor Omar; Norhanim Mat Sari
Jurnal Internasional Ekonomi Islam Vol 1 No 02 (2019): International Journal of Islamic Economics
Publisher : The Postgraduate of Institut Agama Islam Negeri Metro Lampung

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.32332/ijie.v1i02.1802

Abstract

This paper studies on the Maqasid al-Shariah philosophy with the aim establish an appropriate Islamic monetary regime in achieving the aspiration of Shariah that promote inclusive and sustainable growth of the ecosystem.From the analysis, this study shows that Islamic monetary mechanism and instruments as well as Islamic financial institutions (IFIs) operations are still exposed to the practice that are prohibited in Islam and also influenced by monetary policy tools and transmission channels set by the Central Bank. The study supports and affirms the establishment of an Islamic monetary system that transmits the monetary policy through channels with interest free and risk sharing Islamic instruments. For that, an equitable distribution of wealth for social Islamic justice as well as a balance inclusive and sustainable economic well-being would be attained.