MODELING SUSTAINABILITY MODEL OF ISLAMIC MICROFINANCE INSTITUTIONS
Islamic microfinance institutions (IMFI) - such as the Baitul Maal wat Tamwil (with cooperative legal entities) that have been established in Indonesia - as part of the shariah-compliant financial industry sector (part of the halal sector) - need to be maintained their sustainability so as to encourage efforts to eradicate poverty and promote economic growth. In observing the sustainability of BMT, studies involving aspects of human quality that carry out internal activities are rarely examined in other studies. Therefore, the purpose of this stud is to create a model that is useful for predicting the sustainability of IMFI especially BMT based on variables that are considered important, namely; financing growth, Islamic human capital, fraud, and Islamic leadership. The model was analyzed using multiple regression analysis based on the stepwise method. Primary data (cross-sectional) taken in 2019 using questionnaires consisting of 105 respondents from the administrators and managers of BMTs in Semarang and Pekalongan Residency areas. We found that only two variables have a significant influence on the sustainability of Islamic microfinance institutions, these variables are financing growth and Islamic human capital. The results of the study can be used by practitioners to improve the performance of Islamic Micro Finance, especially BMT, through the distribution of funding in the context of economic improvement (especially micro-enterprise), spiritual strengthening for human resources owned, risk prevention, and appropriate leadership criteria.
JEL Classification: G21, J24, Q01
Keywords: Islamic microfinance, Human capital, Sustainability, Model
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