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Published November 30, 2021 | Version v1
Journal article Open

Sharia Principle Compliance Model Between Islamic Financial Performance and Social Performance Evidence from Indonesia

  • 1. Doctoral Student, Economics at Jambi University, Jambi, Indonesia
  • 2. Lecturer, The Faculty of Economics and Business, Jambi University, Jambi, Indonesia.
  • 3. Lecturer, The Faculty of Economics and Business, Jambi University, Jambi, Indonesia
  • 1. Publisher

Description

This study aims to explain the effect of compliance with sharia principles on sharia financial performance and its implications for Islamic social responsibility. This type of research is descriptive verification. The data used is the annual report of Islamic commercial banks in Indonesia. Data analysis using SEM PLS. The results of the study indicate that compliance with sharia principles has an effect on sharia financial performance and Islamic social responsibility. Through sharia financial performance, compliance with sharia principles has an effect on Islamic social responsibility. Islamic financial performance has an effect on Islamic social responsibility. The results of the study prove that Islamic commercial banks in carrying out their operational activities absolutely must be based on sharia because Islamic commercial banks are not only responsible to the owner but to Allah SWT. The compliance of sharia commercial banks with sharia principles fosters public trust in sharia commercial banks.

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Is cited by
Journal article: 2277-3878 (ISSN)

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ISSN
2277-3878
Retrieval Number: Retrieval Number
Retrieval Number: 100.1/ijrte.D65601110421