Documente Academic
Documente Profesional
Documente Cultură
Personal and Educational background Born in Sukabumi Indonesia, May 12 1967 Converted from Christianity to Islam in the end of 1980s Graduated from Faculty of Shariah University of Jordan (1990), Islamic Studies Program Al-Azhar University Cairo (1990), Master of Economics International Islamic University, Malaysia (1992), Doctorate in Micro Finance University of Melbourne,Australia (2004) ). Responsibilities Board of Islamic Banking Expert, Central Bank of Indonesia Board of Commissioner Bank Shariah Mega Indonesia Board of Shariah Bank Shariah Mandiri Advisor to Board of Director Bank Muamalat Indonesia Board of Shariah Takaful Islamic Insurance Board of Shariah PNM Holding (state-owned company) Chairman of Tazkia Group Chairman of Batasa Tazkia Consulting
Published 9 books Bank Syariah dari Teori ke Praktek (Islamic bank from theory to practice) Bank Syariah Wacana Ulama dan Cendekiawan (Islamic bank: a discourse of scholars & jurists) Bank Syariah bagi bankir dan Praktisi (Islamic banks for banker and financial practitioners) Bank Syariah untuk Umum (Islamic bank for public) Wawasan Ekonomi Islam (Horizon of Islamic economics) Arbitrase Islam di Indonesia (Islamic arbitration in Indonesia) Zakat Kaum Berdasi (Zakat of Muslim professionals) Apa dan Bagaimana Bank Islam (What and How Islamic Bank is) Sistem Operasional Bank Islam (Operational System of Islamic bank)
Way of Belief
Way of Worship
Way of Life
a
Shahadah Khitan Nikah Wafat
b c
Shahadah Khitan Nikah Wafat
Ibadah Other Rituals Practising Muslim (santri)
A+B
Business & Economy Politics & Laws Family & Social Life Cultural & Entertainment Thought & Education Holistic Muslim (kaafah)
Economy Social
Cultural
Politics
Education
Individualism
Art w Dignity
Success f IQ/EQ/SQ
A True Muslim
ECONOMIC SYSTEM
SOCIALISM
ISLAMIC ECONOMICS
CAPITALISM
MARXIST PARADIGM
SHARIAH PARADIGM
MARKET PARADIGM
Philosophical foundation
Materialism Dialectic
Philosophical foundation
Individual as His vicegerent in this world
Philosophical foundation
Individual utilitarian with laissez faire
FEED BACK
SECTOR
TIJARI SECTOR
(Private Sector)
IJTIMAI SECTOR
(Social Welfare Sector)
o o o
Maintenance of law, order, justice and defence Promulgation and implementation of economic policies Management of properties under state ownership Economic Intervention as necessary
o o
POSSIBLE INSTITUTIONS
o o
o o
Public-Sector Entities: Bait al-Maal Bait al-Zakah Private-Sector Entities: Charitable Organizations Individuals
Various Government Administration Laws: Company Laws Commercial Laws Land Laws Mining Laws Taxation Laws
Various Fiqh al-Muamalat Laws Al-Mudharabah Al-Musharakah Al-Bai Al Murabahah Al-Ijarah Al-Rahn Al-Kafalah
Academic
Corporate
Business
Bureaucrat
Community
ISLAM AQIDAH
SHARIAH
AKHLAQ
IBADAH MAHDLAH
SOCIAL
CULTURE
ETC
Ford Volvo
BMW
Suzuki
Honda
Timor
Toyota
Ruling of international and national Fiqh Academy The development of Islamic financial industry
Deposit with fixed rate of return 2 O.I.C. Council of Fiqh Academy Bank interest and dealing with banks
Permissible
Chaired by T? ant? aw
2003
Prohibited
Committee
1985
Prohibited
Committee
1986
Bank interest
Prohibited
Ibn Bz
1979
Bank interest
Prohibited
1999
Fatw of Leading Islamic Organizations in Indonesia Concerning the Issue of Rib and Bank Interest
Organization Year and Place of Fatw 1968 (Sidoardjo) 1927 (Surabaya) Fatw Explanation The fatw is applies to state-owned bank only. Lajnah Bahsul Masail was not able to reach a consensus. Instead it presented three contradictory opinions during the meeting. No concessus. No concessus. The fatw is more specific on credit interest of cooperatives. Return on bank deposits. Interest on compulsory savings and administrative costs of cooperatives. Three (3) contradictory opinions on bank interest. Interest is riba of any kind, and at any rate. For political reason, MUI was reluctant to provide decisive fatw on the issue. MUI was not able to reach an agreement regarding the issue but recommended the establishment of Islamic banks as an alternative solution. Dewan Syariah Nasional Komisi Fatwa
1937 (Surabaya) 1938 (Menes) 1939 (Magelang) 1971 1987 (Cilacap) 1992 (Bandar Lampung) 1991 (Bandung) 1975-1990 (Jakarta) 1990 (Cisarua)
h? all h? all
shubhat shubhat
h? all
h? arm h? arm
shubhat
shubhat
2000 haram 2003 haram Source: Field work data, Antonio PhD Dissertation.
2.
3. 4. 5. 6. 7.
8.
Promoting Halal oriented business More elastic with profit n loss sharing Partnership cooperation Promoting Efficiency Moral and Value Driven More equity and less loan Strong commitment to small and micro enterprises Wider Participation & Distribution
18
Capital Market
Bank Muamalat Islamic Branch of Bank Syariah Mandiri Conventional Bank Bank Tugu BNI JABAR SUMUT Danamon Aceh Niaga BRI Permata Kalsel Bukopin BTN IFI NTB BII
Dana Reksa Mutual Fund PNM Asset Management BATASA Shariah fund
Insurance
Rural Bank
86 BPRS
Micro-Fin House
2000 5000 BMT
Islamic Cooperative
228 T
720 T
Floating customers
12 T
Total Asset & Share of Islamic Bank v.v. Total National Bank
Miliar Rp. 10,000 9,000 8,000 7,000 6,000 5,000 4,000 3,000 2,000 Tw IV/02 Tw I/03 Tw II/03 Tw III/03 Tw IV/03 Jan-04 0.3% 0.2% 0.8%
BPRS BPRS
BMT
BPRS
ICB
BPRS
BMT
BMT
BMT
Various Dept
Dept Of Finance
BI
Dept Of Coop
BEPPENAS
LOCAL NGOs
INTL NGOs
Financing
Financing Financing Processing Distribution Support
users of funds
Regulator institution
BANKING
House hold
House hold
proceed
expense
FINANC. INTERMED.
enterpri se
Private Equity
CAPITAL MARKET
Asset Securitization
enterp rise
Enterprises expense
JSX - SSX
PAYMENT SYSTEM
Credit Card Company Debit Card Company
BANK INDONESIA
SWBI
Takaful
National Shariah Arbitration Body Indonesian Accountant Association
Transactioni Supervision Supervision, regulatory and licence
Notes * ** :
Shariah BPR
Non bank
Shariah Bank
DPS*
DPS
DPS
DPS
DPS
DPS: Dewan Pengawas Syariah (Shariah Supervisory Board) PUAS : Pasar Uang Antar-bank Syariah (Islamic inter bank money market)
*** IMA: Investasi Mudharabah Antar Bank (inter bank Mudharabah investment)
1. 2.
3.
Integrate into global financial markets or develop parallel system? Find immediate solutions or make long-term plans? Market-based or financial intermediary, institutionalbased?
6
Strategic suggestions
(Prof. Mahmoud El-Gamal)
recommend integration with supervision/monitoring 2. Short vs. long-term horizon for Islamic finance: recommend longterm planning 3. Market-oriented vs. institutionoriented (banking): recommend market-oriented
7
Regulation Islamic Financial Institutions: Why Necessary? 1. Maintaining financial stability and sustainability 3 Main Reasons for Banking Regulation 2. Public protection (esp. unsophisticated & small investors) 3. Optimizing Economic Efficiency
Regulation
VS
Competition is fundamental to efficiency We need: 1. Clear entry procedures/ licensing 2. Rules on Structure of Industry and competition on Islamic banking industry
We need: 1. Supervision System and Mechanism 2. Good corporate governance (incl. Role of DPS/DSN) 3. Legal Lending Limits 4. CAMEL Plus Rating System
10
3. Asymmetric Information
Moral hazard problems Incentive mechanisme We need: 1. Transparency regulation (Accounting and Auditing Standard incl. Reporting System) 2. Research on Incentive mechanism
11
4. Systemic instability
Issue too holy to be closed bank runs due to syariah compliance issue We need: 1. Liquidity Management, syariah financial market and instruments 2. Role of the lender of the last resort by central banks 3. Portfolio restrictions & guidance
12
Asset
Profit
Income
Technology
Pol leg
Economy
Soc Cul
Market
Value Supplier
COMPETITOR
Winner, Loser, Emerging
CUSTOMER
Committed, Lost, New
Value-decider
COMPANY
Existing-competence, Risk-attitude, Stretch-possibility
Choice
Source:Kottler,Kartajaya
Major Issues
Economics as an integrated part of Islamic Way of Life. The issue of ownership. The issue of riba and its consequence on financial life of Muslim.