A Performance Measurement Model for Shariah Banks Based on Falah

<p><em>It is the financial ratio, risk, or capital ownership approach that dominates the performance of conventional and sharia banking. In order to evaluate the performance of sharia banking, a measurement model that is consistent with the principles of sharia economics is necessary, as the operational basis of sharia banks and conventional banks is significantly different. This model must not only evaluate the financial performance but also the normative side. All Muslim activities and behaviors on Earth are ultimately directed toward falah, as is widely recognized. As a result, the objective of this investigation is to develop a falah-based sharia bank performance measurement model and to evaluate the performance of ten sharia commercial banks in Indonesia. The Simple Additive Weighting Method is employed to accomplish weighting and aggregation in the falah approach to performance compilation, while the two-phase multiattribute decision-making approach is employed to determine ranking. The development of the performance measurement model of the Maqashid Syariah Index is designated as Falah in this study. According to the Falah approach, the performance evaluation of sharia institutions reveals that Bank TB Bukopin Syariah and BTPN Syariah exhibit flawless performance. At the same time, Bank Aladin Syariah, Bank Panin Dubai Syariah, Bank Aceh Syariah, Bank Muamalat, and BJB Syariah demonstrated exceptional performance. In addition, Bank Mega Syariah demonstrated satisfactory performance</em><em>.</em></p>

Authors

Publication Details

Journal
Equilibrium Jurnal Ekonomi Syariah
Published
2024-12-18
DOI
https://doi.org/10.21043/equilibrium.v12i2.29280
Primary Topic
Islamic Finance and Banking Studies
Type
article
Field-Weighted Citation Impact
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article

A Performance Measurement Model for Shariah Banks Based on Falah

Mursyid Mursyid, Dharma Yanti, Lamtana Lamtana, Wardatush Shufiah
1 links
Equilibrium Jurnal Ekonomi Syariah
Islamic Finance and Banking Studies
article

A Performance Measurement Model for Shariah Banks Based on Falah

Mursyid Mursyid, Dharma Yanti, Lamtana Lamtana, Wardatush Shufiah
article en

Abstract

<p><em>It is the financial ratio, risk, or capital ownership approach that dominates the performance of conventional and sharia banking. In order to evaluate the performance of sharia banking, a measurement model that is consistent with the principles of sharia economics is necessary, as the operational basis of sharia banks and conventional banks is significantly different. This model must not only evaluate the financial performance but also the normative side. All Muslim activities and behaviors on Earth are ultimately directed toward falah, as is widely recognized. As a result, the objective of this investigation is to develop a falah-based sharia bank performance measurement model and to evaluate the performance of ten sharia commercial banks in Indonesia. The Simple Additive Weighting Method is employed to accomplish weighting and aggregation in the falah approach to performance compilation, while the two-phase multiattribute decision-making approach is employed to determine ranking. The development of the performance measurement model of the Maqashid Syariah Index is designated as Falah in this study. According to the Falah approach, the performance evaluation of sharia institutions reveals that Bank TB Bukopin Syariah and BTPN Syariah exhibit flawless performance. At the same time, Bank Aladin Syariah, Bank Panin Dubai Syariah, Bank Aceh Syariah, Bank Muamalat, and BJB Syariah demonstrated exceptional performance. In addition, Bank Mega Syariah demonstrated satisfactory performance</em><em>.</em></p>

Equilibrium Jurnal Ekonomi SyariahVol. 12(2)
Openalex Percentile: Top 50%
Islamic Finance and Banking Studies
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A Performance Measurement Model for Shariah Banks Based on Falah — Mursyid Mursyid, Dharma Yanti, et al. · Equilibrium Jurnal Ekonomi Syariah (2024) | TGRS Research Map | TGRS