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Article
Publication date: 25 May 2022

Masrizal, Raditya Sukmana, Bayu Arie Fianto and Rifyal Zuhdi Gultom

This paper aims to examine the relationship between economic freedom and Islamic rural banks' efficiency in the case of Indonesia.

Abstract

Purpose

This paper aims to examine the relationship between economic freedom and Islamic rural banks' efficiency in the case of Indonesia.

Design/methodology/approach

The study covers 40 Islamic rural banks in 34 Indonesian regions from 2014 to 2020. Tobit regression is utilized to expose the impact of economic freedom on the efficiency of Islamic rural banks, and nonparametric frontier data envelopment analysis is used to acquire banks' technical efficiency.

Findings

The findings reveal that overall economic freedom has a strong favorable impact on the efficiency of Islamic rural banks. The study’s breakdown components suggest that business freedom, government spending and investment freedom are favorable indicators, whereas government integrity and tax burden are negative indicators, and all indicators agree with previous studies.

Practical implications

This research can serve as a guideline for Islamic rural bank management in terms of maintaining financial efficiency. The government should think about the ramifications of financial sector liberalization and reforms, according to these findings. When financial intermediaries operate in a less constrained environment, they are more likely to pursue competitive practices that increase their operating rate and other efficiency metrics. Finally, academics might utilize this information to investigate the economic flexibility of Islamic rural banks.

Originality/value

The novelty of this study is in using data envelopment analysis and Tobit regression to identify economic freedom and Islamic rural banks' efficiency. To the best of the authors' knowledge, the study of the role of economic freedom in Islamic rural bank's efficiency is limited, particularly in the context of Indonesia.

Details

International Journal of Productivity and Performance Management, vol. 72 no. 9
Type: Research Article
ISSN: 1741-0401

Keywords

Article
Publication date: 4 August 2021

Masrizal, Raditya Sukmana, Muhammad Ubaidillah Al Mustofa and Sri Herianingrum

This study aims to examine the relationship between the Indonesian Islamic capital market, the country's risk and macroeconomic factors.

Abstract

Purpose

This study aims to examine the relationship between the Indonesian Islamic capital market, the country's risk and macroeconomic factors.

Design/methodology/approach

This study uses the Johansen cointegration test and the vector error correction model (VECM) on monthly data from January 2003 to March 2016 to examine the variables that influenced the Islamic capital market proxied by the Jakarta Islamic Index (JII).

Findings

The findings indicate the existence of short-term and long-term cointegrations between country risk (political, economic and financial risks), macroeconomic variables (industrial production index, inflation and oil price) and JII. In the long run, financial risk positively affects the JII, whereas economic risks and inflation are negatively related. In the short run, only inflation affect negatively the JII.

Practical implications

The study emphasizes the critical role of financial risk in affecting the Islamic capital market. Investors negatively respond to higher financial risk and react positively to more increased economic threats. The variable of financial risk has the highest coefficient, indicating that the investors favour a conducive financial environment in deriving JII.

Originality/value

This study extends the previous literature with an attempt to empirically examine the influence of Indonesia's country risk on the Islamic stock market through VECM.

Details

Journal of Islamic Accounting and Business Research, vol. 12 no. 7
Type: Research Article
ISSN: 1759-0817

Keywords

Article
Publication date: 7 June 2022

Masrizal, Raditya Sukmana, Budi Trianto and Annisa Masruri Zaimsyah

The potential of waqf is so great in Indonesia but has not been optimized. This paper aims to offer a model for waqf institutions to adopt financial technology for developing…

2048

Abstract

Purpose

The potential of waqf is so great in Indonesia but has not been optimized. This paper aims to offer a model for waqf institutions to adopt financial technology for developing productive and social waqf. The authors cunduct an assesment of the Technology Acceptance Model (TAM3), Unified Theory of Acceptance and Use of Technology (UTAUT2) in seeing to the crowdfunders’ behavior.

Design/methodology/approach

This study adopted a structural equation using the partial least square approach to test the hypotheses. Based on purposive sampling, the spread of questionnaires through online surveys throughout Indonesia consists of all islands. A total of 297 respondents collected the questionnaires.

Findings

Based on the findings, acceptance models have a positive and significant impact on the behavioral intentions of crowdfunders, while Unified Theory of Acceptance and Use of Technology have no significant effect.

Research limitations/implications

The sample of this study involved potential crowdfunders from all over the islands in Indonesia, but these results cannot be generalized because of limitations in terms of the sampling technique used. However, the results of this study can be used as an illustration of how crowdfunders behave in donating money using financial technology.

Practical implications

The results of this study provide a comprehensive perspective for policymakers, especially the Indonesian Waqf Board as the waqf authority that regulates waqf nazir to improve quality by adopting crowdfunding financial technology in collecting waqf funds. In addition, in terms of implications for the government, this waqf crowdfunding model will reduce spending and increase economic growth.

Originality/value

To the best of the authors’ knowledge, this paper is the first in looking at the waqf crowdfunding in Indonesia by looking at two reliable technology determinant models. Studies on cash waqf in Indonesia are many, but they do not look at the issue of crowdfunding, which has gained more attention recently. This paper aims to fill this gap, and this becomes the novelty.

Details

Journal of Islamic Marketing, vol. 14 no. 7
Type: Research Article
ISSN: 1759-0833

Keywords

Article
Publication date: 14 September 2010

Antoine G. Farhat and Talar M. Fossian

Lebanese meals rich in vitamin C are taken for granted to contain this vitamin without consideration of its losses during the cooking and storing processes. This paper aims to…

Abstract

Purpose

Lebanese meals rich in vitamin C are taken for granted to contain this vitamin without consideration of its losses during the cooking and storing processes. This paper aims to examine the impact of different cooking pots, refrigeration and conventional reheating or via microwaving (MWR) on vitamin C depletion.

Design/methodology/approach

Two samples of three meals rich in vitamin C (AB: Aadas Bhamoud made of lentils and Swiss chard; CS: cauliflower stew; ML: Meloukhieh made of Jew's mallow) were analyzed in triplicates when they were raw, cooked in double based stainless steel (DBSS) or pressure cookers (PCs), refrigerated at 4 C for 48 h, and when reheated in an open pot or in a microwave reaching 70 C. The titration with 2,6‐dichlorophenolindophenol method was used for vitamin C analysis.

Findings

Relative vitamin C losses throughout the processing stages were 37.64, 65.43 and 79.00 percent for ML, CS and AB, respectively. DBSS tended to deplete vitamin C less than PC. AB lost 34.4 and 49.2 percent vitamin C with DBSS and PC, respectively; CS lost 52.3 and 57.5 percent with DBSS and PC, respectively; and ML lost 16.3 and 27.4 percent with DBSS and PC, respectively. Vitamin C loss at refrigeration was significant for both cooking pots used for the meals AB and ML but not for CS. Reheating resulted in further significant losses across meals and reheating methods.

Practical implications

The study highlights the importance of avoiding unnecessary cooking practices to minimize vitamin C depletion and more accurately estimating its daily intake.

Originality/value

The study presents for the first time the quantification of vitamin C losses in Lebanese meals subjected to different processing types and stages.

Details

Nutrition & Food Science, vol. 40 no. 5
Type: Research Article
ISSN: 0034-6659

Keywords

Article
Publication date: 24 January 2023

Early Ridho Kismawadi

The purpose of this study is to examine the effect of Islamic banks (IBs) and macroeconomic variables on economic growth in Saudi Arabia, the United Arab Emirates, Kuwait…

1083

Abstract

Purpose

The purpose of this study is to examine the effect of Islamic banks (IBs) and macroeconomic variables on economic growth in Saudi Arabia, the United Arab Emirates, Kuwait, Malaysia, Qatar, Bahrain and Bangladesh.

Design/methodology/approach

Based on these criteria, 672 observations from 24 IBs in Saudi Arabia, the United Arab Emirates, Kuwait, Malaysia, Qatar, Bahrain and Bangladesh were chosen for further investigation. Time series analysis is a well-known method for determining if model variables are stationary and how long-term relationships function through cointegration analysis. This study uses impulse response function (IRF) and variance decomposition (VD) methodologies to demonstrate how each macroeconomic variable shock influences the short-term dynamic path of all system variables.

Findings

Islamic banking promotes economic growth, especially in Saudi Arabia, the UAE, Kuwait, Malaysia, Qatar, Bahrain and Bangladesh. The findings of the Islamic banking VDC test have a direct and long-term effect on economic growth.

Research limitations/implications

The literature on this topic can be improved in a number of ways, including by adopting a more robust method to analyze over a longer time frame. By researching specific financing in various areas of the economy, one can gain a deeper understanding of Islamic financing. This will enable the identification of sectors that contribute to economic expansion. Future research should examine combining nations with pure Islam and dual-banking systems to acquire sufficient data.

Practical implications

This paper has practice and research implications. It recommends adopting the nation’s successful experiment with the Islamic banking system as a model for attaining economic growth through Islamic financing. To replicate this successful experiment, government-based decision-makers and monetary policy experts must collaborate to make Islamic money flows simple and rapid through financial channels that enhance economic growth.

Originality/value

The study of the contribution of Islamic banking to economic growth in developing nations, particularly those with the highest total assets (TAs) and total deposits (TDs) in the world, remains of modest value. To the best of the authors’ knowledge, this is the first study to empirically assess the impact of IBs in developing nations, particularly those with the highest TAs and TDs in the world, on economic growth as measured by gross domestic product (GDP).

Details

Journal of Islamic Accounting and Business Research, vol. 15 no. 2
Type: Research Article
ISSN: 1759-0817

Keywords

Open Access
Article
Publication date: 11 October 2022

Wasanthi Madurapperuma

This study aims to examine the short- and long-term equilibrium relationship between All share price index (ASPI), macroeconomic variables and the economic crisis in Sri Lanka.

6938

Abstract

Purpose

This study aims to examine the short- and long-term equilibrium relationship between All share price index (ASPI), macroeconomic variables and the economic crisis in Sri Lanka.

Design/methodology/approach

Monthly time series data for inflation (CPI), industrial production (IP), an exchange rate (EX), an interest rate (TB), short-term interest rate (CD) and economic crisis were used from 2010 to 2021. The ADF test, the bound testing approach, the CUSUM test and the CUSUMQ test were used in this study.

Findings

The findings show a long-run stable relationship between stock price, macroeconomic variables and political crisis (i.e., CPI, IP, ER, TB, CD and economic crisis). The results of the Johansen cointegration test suggest that there is at least one cointegrating equation, indicating that there is a long-run equilibrium relationship between macroeconomic variables and stock prices in Sri Lanka.

Research limitations/implications

The vector error correction estimates show that the coefficient of the error correction term is significant with a negative sign, indicating that a long-run dynamic relationship exists between macroeconomic variables and stock prices. In the short term, economic crisis has had a big effect on stock prices suggesting that Sri Lanka’s domestic financial markets are linked to the stability of the country.

Originality/value

This research establishes the links between stock returns, macroeconomic variables and economic crisis. So far, research has been unable to establish the empirical nature of such links. The authors believe that this paper fills that gap.

Details

Journal of Money and Business, vol. 3 no. 1
Type: Research Article
ISSN: 2634-2596

Keywords

Article
Publication date: 20 July 2023

Saarce Elsye Hatane, Livia Sondak, Josua Tarigan, Hendri Kwistianus and Sany Sany

This paper aims to give broad insights into what components can significantly influence the adoption of Metaverse from the perspective of internal auditors and their firms in…

Abstract

Purpose

This paper aims to give broad insights into what components can significantly influence the adoption of Metaverse from the perspective of internal auditors and their firms in Indonesia.

Design/methodology/approach

This research used primary data from questionnaires. Relying on the empirical view of 202 internal auditors in Indonesia, this research’s framework is executed using structural equation model. Company’s intention in adopting the Metaverse technology intervenes in the influence of perception of external control and usefulness on the internal auditor’s intention to adopt that technology.

Findings

The perception of external control and perceived usefulness of Metaverse significantly influenced the adoption intention of Metaverse by internal auditors and their firms in Indonesia. This paper is helpful for practitioners who would like to know what factors are needed to make the internal auditors in Indonesia able to adopt Metaverse.

Research limitations/implications

Results might be varied from country to country as each country has different technology development. Therefore, upcoming research can compare similar studies in another country. This paper can contribute to further empirical development for the theory of acceptance model of the third version. Many researchers use the theory to study advanced technology adoption intention.

Practical implications

The paper is also essential for future research and could enhance companies' knowledge about staying updated in the market with the advanced technology that keeps developing.

Originality/value

This paper contributes to an integrated view of the intention of internal auditors and firms in Indonesia to adopt Metaverse. To the best of the authors’ knowledge, this topic is relatively new in Indonesia.

Details

Journal of Financial Reporting and Accounting, vol. 22 no. 2
Type: Research Article
ISSN: 1985-2517

Keywords

Article
Publication date: 3 October 2023

Ika Atma Kurniawanti, Djumilah Zain, Armanu Thoyib and Mintarti Rahayu

This study aims to investigate the effect of knowledge hiding on individual task performance and examine the moderating influence of transformational leadership.

Abstract

Purpose

This study aims to investigate the effect of knowledge hiding on individual task performance and examine the moderating influence of transformational leadership.

Design/methodology/approach

This study included 256 participants employed by financing companies in Indonesia. In addition, to analyze the data, descriptive statistics were computed using SPSS 25, and the structural equation model-partial least square (SEM-PLS) was used for hypothesis testing.

Findings

The findings revealed the negative effects of knowledge hiding on individual task performance and its potential consequences for individuals and organizations. However, it also suggested that transformational leadership may not be sufficient to reduce the negative effects of knowledge hiding on individual task performance.

Research limitations/implications

This study only focused on the context of a specific industry or country, which limited the generalizability of the findings.

Practical implications

This study enriches the understanding of the importance of addressing knowledge-hiding behaviors and investigating additional factors that can enhance task performance in organizations.

Originality/value

This study adds value to the existing literature by emphasizing the importance of investigating supplementary factors other than transformational leadership that have the potential to reduce the negative effects of knowledge hiding on organizational performance.

Details

Leadership & Organization Development Journal, vol. 44 no. 7
Type: Research Article
ISSN: 0143-7739

Keywords

Article
Publication date: 2 November 2022

Samira Haddou and Sawssen Mkhinini

This paper aims to explore the asymmetric effect of liquidity risk (LR) and Shariah board size on bank financial stability for a panel of Islamic banks (IBs) based in Gulf…

Abstract

Purpose

This paper aims to explore the asymmetric effect of liquidity risk (LR) and Shariah board size on bank financial stability for a panel of Islamic banks (IBs) based in Gulf Cooperation Council (GCC) and Southeast Asian countries over the 2006–2019 period.

Design/methodology/approach

This paper uses the asymmetric nonlinear autoregressive distributed lag (NARDL) error correction model insofar as it allows assessing not only whether IBs with large boards outperform their peers with reduced boardrooms but also unveiling the potential asymmetries between LR and stability.

Findings

The findings show that while increasing the number of the Shariah board members does not impact the financial stability of IBs in both the short and long runs its decrease appears to enhance their stability in the long run. The findings also show that a hike, as well as a fall in LR, significantly influences the stability in the long run, which underlines the role that LR plays in bank financial stability.

Research limitations/implications

A prominent line of future research may consist in extending the country sample to cover more representative full-fledged IBs based on different regions, which allows the breakdown of the sample into GCC-based and non-GCC-based IBs. Doing so is interesting in terms of governance implications. Another extension would consist in considering additional sources of risk to stability.

Practical implications

IBs should enhance their expertise, which helps them diversify their funding strategy and cater for liquidity solutions. They also must establish a better Shariah governance framework to contain their risk-taking behavior that ultimately contributes to achieving financial stability.

Originality/value

This paper contributes to the empirical literature in Islamic banking by performing a model that simultaneously accounts for both short- and long-run asymmetries in the relationship between the financial stability of full-fledged IBs, the LR and the size of the Shariah supervisory board.

Details

Journal of Islamic Accounting and Business Research, vol. 14 no. 4
Type: Research Article
ISSN: 1759-0817

Keywords

Article
Publication date: 16 April 2024

Nurhafihz Noor

The continued relevance of technologies in halal industries requires managers to understand the factors contributing to such technologies’ acceptance. The technology acceptance…

Abstract

Purpose

The continued relevance of technologies in halal industries requires managers to understand the factors contributing to such technologies’ acceptance. The technology acceptance model (TAM) is dominant in the literature that predicts user acceptance and behaviour towards technology. Despite the model’s significance, there has yet to be a systematic review of studies featuring halal sectors that use TAM. The purpose of this study is to systematically review the existing literature on TAM in halal industries to understand the research trends as well as TAM modifications and research opportunities in halal industries.

Design/methodology/approach

Guided by the preferred reporting items for systematic review and meta-analysis protocol, a framework-based review using the theories, contexts, characteristics and methods (TCCM) framework was conducted. The Scopus and Web of Science databases were used to retrieve English journal articles that investigated TAM in the context of halal markets. In total, 44 eligible articles were reviewed in terms of the developments and extensions of TAM in their studies across the halal industries.

Findings

The first study related to the use of TAM in the context of halal industries was published in 2014. The most prominent halal industry in the review, which used TAM, was Islamic finance. Indonesia was the leading economy in halal studies using TAM. Perceived usefulness was found to be a more significant factor than perceived ease of use for technology acceptance in TAM studies on halal industries. The significance of religiosity on TAM was inconsistent. Most research was done using quantitative surveys with consumers as the target sample.

Research limitations/implications

The studies in this review are based on the Scopus and Web of Science databases, which may be perceived as a study limitation. This study also only considered English journal articles and research in which the focus was on the use of TAM in halal industries rather than general industries with Muslim consumers.

Practical implications

Halal industries will continue to rely on technology for the provision of goods and services. With the rise of emerging technological innovations, this review will provide managers with an appreciation of technology acceptance across different contexts. Researchers can use the results of this review to guide future studies and contribute toward the development of this research area.

Originality/value

This review contributes to the Islamic marketing literature by being the first to comprehensively review the TAM model in the context of halal industries using the TCCM framework-based review approach. A research agenda is proposed to advance research on technology acceptance and TAM in halal industries.

Details

Journal of Islamic Marketing, vol. 15 no. 11
Type: Research Article
ISSN: 1759-0833

Keywords

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