Determination of Profit Falah Based on Sharia Financing at Sharia Commercial Banks in Indonesia

Abstract

The purpose of this study is to examine the factors that influence Profit Falah in the Islamic banking industry in Indonesia. The population in this study is all Islamic banking industries in Indonesia that issued financial statements between 2017 – 2020. The sample method used is a purposive sampling method that does not lose, with the number of selected samples as many as 60 sample data.  Data was collected from the website of Bank Stariah in Indonesia. The results of the t-test calculation show mixed findings on the variables of the principle of profit sharing, murabahah financing, and the principle of ijarah to Profit Falah. Variable profit-sharing financing and Murabahah have a significant positive influence on Profit Falah,. However, the principle of ijarah, which involves lease transactions, shows an in significant negative influence on Profit Falah.