The determinants of murabaha margin income in Islamic banking companies in Indonesia

Musaroh Musaroh; Naning Margasari; Nindya Nuriswati Laili; Mahendra Ryansa Gallen Gagah Pratama

doi:10.14710/dijb.3.2.2020.123-130

DOI: https://doi.org/10.14710/dijb.3.2.2020.123-130

The determinants of murabaha margin income in Islamic banking companies in Indonesia

Musaroh Musaroh, Naning Margasari, Nindya Nuriswati Laili , Mahendra Ryansa Gallen Gagah Pratama

Universitas Negeri Yogyakarta, Indonesia

Citation Format:

Abstract

This research was conducted to examine the effect of the operational costs, third-party funds, murabaha financing volume, Bank Indonesia’s interest rate and inflation on murabaha margin income at Islamic commercial banks in Indonesia. The period used in this research is 3 years, from 2016 to 2018. This study's population were 14 Islamic commercial banks that have been and are still registered with the Financial Services Authority from 2016 to 2018. The sampling technique used was purposive sampling and obtained a sample of 9 Islamic commercial banks. The data analysis technique used is multiple linear regression. Before conducting the multiple linear regression analysis, a classic assumption test was carried out to ensure that the model did not have normality, heteroscedasticity, autocorrelation, and multicollinearity. The results show that partially operational costs have a positive and significant effect on murabaha margin income, third-party funds have a negative and significant effect on murabaha margin income, murabaha financing volume has a positive and significant effect on murabaha margin income, while the Bank Indonesia’s interest rate and inflation do not influence on Murabaha margin income.

Fulltext View|Download

Keywords: Operational Costs, Third Party Funds, Murabahah Financing Volume, Bank Indonesia Interest Rates, Inflation, and Murabahah Margin Income

Article Metrics:

Article Info

Section: Articles

Language : EN

In Vol 3, No 2 (2020)

Recent articles

Back matter Front matter The impact of cultural tourism experience on electronic word-of-mouth (e-WOM) and destination image The effect of entrepreneurial orientation, use of information technology, and innovation capability on SMEs' competitive advantage and performance: evidence from Indonesia The effect of brand equity dimensions on repurchase intention More recent articles

Africa, L. A. (2020). Determinasi Pembiayaan Murabahah Berbasis Analisis Resiko Pada Bank Umum Syariah di Indonesia. Jurnal Riset Akuntansi & Perpajakan (JRAP), 7(01), 43-52
Alfarda, W. N., (2018). Pengaruh BI 7-Day (Reverse) Repo Rate Dan Penempatan Dana Pada Bank Indonesia Terhadap Tingkat Likuiditas Pada Bank Umum Syariah Dan Unit Usaha Syariah. Undergraduate thesis on IAIN Tulung Agung
Ali, Z. (2008). Hukum Perbankan Syariah. Jakarta: Sinar Grafik Allen, L. (1988). The determinants of bank interest margins: A note. Journal of Financial and Quantitative analysis, 231-235
Al‐Najjar, B., & Belghitar, Y. (2011). Corporate cash holdings and dividend payments: Evidence from simultaneous analysis. Managerial and decision Economics, 32(4), 231-241
Angbazo, L. (1997). Commercial bank net interest margins, default risk, interest-rate risk, and off-balance sheet banking. Journal of Banking & Finance, 21(1), 55-87
Antonio, M. S. (2001). Bank Syariah: Dari Teori ke Praktik. Jakarta: Gema Insani Press
Aydemir, R., & Guloglu, B. (2017). How do banks determine their spreads under credit and liquidity risks during business cycles?. Journal of International Financial Markets, Institutions and Money, 46, 147-157
Aydemir, R., Guloglu, B., 2015. "How do banks determine their spreads under credit and liquidity risks during business cycles?" Journal of International Financial Markets, Institutions & Money
Chen, S. H., & Liao, C. C. (2011). Are foreign banks more profitable than domestic banks? Home-and host-country effects of banking market structure, governance, and supervision. Journal of Banking & Finance, 35(4), 819-839
Demirguc-Kunt, A., & Huizinga, H. (1998). Determinants of commercial bank interest margins and profitability: some international evidence (No. 1900). The World Bank
Fara, (2018). Analisis Dana Pihak Ketiga, Non-Performing Financing, dan Financing to Deposit Ratio dalam Pembiayaan Murabahah pada Bank Mandiri syariah, Jurnal Fakultas Ekonomi, Universitas Gunadarma, 1-13
Greuning, H. V. & Iqbal, Zamir. (2011). Analisis Risiko Perbankan Syariah. Jakarta: Salemba Empat
Gujarati, D. (2003). Ekonometri Dasar. Terjemahan: Sumarno Zain. Jakarta: Erlangga
https://databoks.katadata.co.id/datapublish/2019/04/15/berapa-dana-pihak-ketiga-perbankan-syariah-indonesia#:~:text=Dana%20Pihak%20Ketiga%20(DPK)%20perbankan,)%20Rp%2016%2C51%20triliun, accessed on 21st August 2021
Indriantoro. & Supomo. (2002). Metodologi Penelitian Bisnis untuk Akuntansi dan Manajemen. Yogyakarta: BPFE-Yogyakarta
International Financial Services Board Report (IFSB) (2017), "Islamic financial services board", Available at: https://doi.org/10.1109/IHMSC.2011.82
Iqbal Z, Mirakhor A (2007). An Introduction to Islamic Finance: Theory and Practice. John Wiley & Sons (Asia), Singapore. Prospectus
Janwari, Y. (2015). Lembaga Keuangan Syariah. Bandung: Remaja Rosdakarya Offset
Karim, A. (2010). Analisis Fiqih dan Keuangan Bank Islam. Jakarta: PT Raja Grafindo Persada
Kuncoro, M. (2012). Manajemen Perbankan: Teori dan Aplikasi. Yogyakarta: BPFE
Linda, S. (2019). Analysis of The Effect of Third-Party Fund, Murabahah Non-Performing Finance, And Inflation on Murabahah Financing in Sharia Commercial Banks in Indonesia. Jurnal Manajemen Perbankan Syariah
Mardani. (2011). Ayat-Ayat dan Hadis Ekonomi Syariah. Jakarta: Rajawali Pers
Muhammad. (2002). Manajemen Bank Syariah. Yogyakarta: UPP STIM YKPN
Otoritas Jasa Keuangan. (2018). Indonesia Sharia Banking Statistics. Jakarta
Prabowo, B. A. (2012). Aspek Hukum Pembiayaan Murabahah pada Perbankan Syariah. Yogyakarta: UII Press
Rahmawati, F. A. & Rokhman W. (2015). Analisis Faktor yang Mempengaruhi Penetapan Margin pada Pembiayaan Murabahah di BMT Se-Kabupaten Jepara. Equilibrium, 3, 238-253
Republik Indonesia. (2008). Undang-Undang No. 21 Tahun 2008 tentang Perbankan Syariah. Jakarta: Sekretariat Negara
Riyadi, Slamet, (2006). Banking Assets And Liability Management. Jakarta: Lembaga Penerbit Fakultas Ekonomi Universitas Indonesia,
Saeed, A. (1998). Idealism and pragmatism in Islamic Banking: The application of shari'ah principles and adjustments. Journal of Arabic Islamic and Middle Eastern Studies, 4, 89-111
Sri, (2018). Analysis of Factors that Influence Murabahah Financing in Islamic Banking, Jurnal Fakultas Ekonomi Universitas Pandanaran Semarang, 2-14
Sulhan, M. dan Ely Siswanto. (2008). Manajemen Bank : Konvensional dan Syariah. Malang : UIN-Malang Press
Usmani, M.T. 2003. Murabaha an online Publication by Accounting.com

Last update:

No citation recorded.

Last update:

No citation recorded.

Author(s) Rights

In order for Diponegoro International Journal of Business (DIJB) to publish and disseminate research articles, we need publishing rights (transferred from author(s) to publisher). This is determined by a publishing agreement between the author(s) and DIJB. This agreement deals with the transfer or license of the copyright of publishing to DIJB, while authors still retain significant rights to use and share their own published articles. DIJB supports the need for authors to share, disseminate and maximize the impact of their research and these rights, in any databases.

As an author, you have rights to a large range of uses of your article, including use by your employing institute or company. These Author rights can be exercised without the need to obtain specific permission. Authors publishing in DIJB has wide rights to use their works for teaching and scholarly purposes without needing to seek permission, including:

use for classroom teaching by Author or Author's institution and presentation at a meeting or conference and distributing copies to attendees;
use for internal training by the author's company;
distribution to colleagues for their research use;
use in a subsequent compilation of the author's works;
inclusion in a thesis or dissertation;
reuse of portions or extracts from the article in other works (with full acknowledgement of final article);
preparation of derivative works (other than commercial purposes) (with full acknowledgement of final article);
voluntary posting on open web sites operated by author or author’s institution for scholarly purposes,

(but it should follow the open-access license of Creative Common CC-by-SA License).

Authors/readers/third parties can copy and redistribute the material in any medium or format, as well as remix, transform, and build upon the material for any purpose, even commercially, but they must give appropriate credit (the name of the creator and attribution parties (authors detail information), a copyright notice, an open-access license notice, a disclaimer notice, and a link to the material) and provide a link to the license.

Authors/readers/third parties can read, print and download, redistribute or republish the article (e.g. display in a repository), translate the article, download for text and data mining purposes, re-use portions or extracts from the article in other works, sell or re-use for commercial purposes, remix, transform, or build upon the material, they must distribute their contributions under the same license as the original Creative Commons Attribution-ShareAlike (CC BY-SA).

Copyright Transfer Agreement for Publishing (Publishing Right)

The authors submitting a manuscript do so on the understanding that if accepted for publication, the copyright for publishing (publishing right) of the article shall be assigned/transferred to the Department of Management, Faculty of Economics and Business, Universitas Diponegoro as the publisher of DIJB.

Upon acceptance of an article, authors will be asked to complete a 'Copyright Transfer Agreement for Publishing (CTAP)'. An e-mail will be sent to the Corresponding Author confirming receipt of the manuscript together with a CTAP form by the online version of this agreement.

DIJB, the publisher, and the editorial board make every effort to ensure that no wrong or misleading data, opinions or statements be published in the journal. In any way, the contents of the articles and advertisements published in DIJB are sole and exclusive responsibility of their respective authors and advertisers.

Remember, even though we ask for a transfer of copyright for publishing (CTAP), our journal Author(s) retain (or are granted back) significant scholarly rights as mentioned before.

The Copyright Transfer Agreement for Publishing (CTAP) Form can be downloaded here