This study examines the determinants of Islamic entrepreneurial intention among productive zakat scholarship recipients in Indonesia and Malaysia. Data from 142 respondents were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM) to assess the effects of university support, perceived organizational support, and self-efficacy. The results show that university support and perceived organizational support significantly enhance self-efficacy, indicating the importance of institutional support in strengthening entrepreneurial confidence. University support also positively influences Islamic entrepreneurial intention, while perceived organizational support does not have a direct effect on intention. Self-efficacy emerges as the strongest predictor of Islamic entrepreneurial intention, highlighting its central role in translating institutional support into entrepreneurial motivation. The multi-group analysis reveals differences between Indonesia and Malaysia: in Indonesia, perceived organizational support strongly strengthens self-efficacy, which subsequently drives entrepreneurial intention, whereas in Malaysia, university support improves self-efficacy but does not significantly translate into intention. These findings suggest that the impact of institutional support on Islamic entrepreneurial intention is context-dependent across countries. Universities and zakat institutions should complement financial assistance with mentoring, business incubation, and networking opportunities to strengthen entrepreneurial intention among scholarship recipients. The study contributes to the literature by providing comparative evidence from Indonesia and Malaysia on the role of institutional support in shaping Islamic entrepreneurial intention.
Financial stability is essential for sustaining economic systems, yet empirical evidence on Islamic banking stability remains heterogeneous across studies. This study aims to provide a comprehensive understanding of Islamic banking stability by emphasizing the conditionality of previous evidence. This study applies a systematic literature review under the PRISMA framework combined with bibliometric mapping based on Scopus-indexed publications to address the ambiguity and differences surrounding the determinants of Islamic banking stability. The fin dings reveal that the literature is dominated by panel data and dynamic estimation approaches, particularly GMM, while the Z-score remains the most frequently used stability proxy. The results also indicate that research is geographically concentrated in countries with well-developed Islamic financial systems. Furthermore, the study finds that empirical evidence on Islamic banking stability is heterogeneous, showing positive, negative, and mixed relationships depending on the choice of stability proxies, macroeconomic conditions, and research design. The findings suggest that Islamic banking stability is not inherently determined by its Islamic principles, but rather by the effectiveness of risk-sharing mechanisms within a supportive institutional and regulatory environment. This study contributes by providing a structured synthesis of fragmented literature and offers directions for future research to explore underexamined areas such as deposit contracts, Islamic window banks, and Islamic rural banks.
Islamic cooperative microfinance (BMT) operates on the principles of fiqh muamalah, prohibiting riba, gharar, and maisir while promoting contractual transparency, risk-sharing, and distributive justice. Despite their Islamic legal foundations, BMTs increasingly attract non-Muslims who perceive their ethical framework as legally predictable and financially equitable. This study examines non-Muslims’ intention to engage with BMTs, integrating Islamic economic laws literacy into an extended Theory of Planned Behavior (TPB). Analyzing survey data from 192 non-Muslim respondents in Indonesia, we demonstrate that attitude, subjective norms, perceived behavioral control, and knowledge of Shariah compliance collectively shape intention. These findings underscore how transparent implementation of Islamic economic law principles transcends religious boundaries, offering actionable insights for inclusive Shari’ah governance, cooperative regulation, and ethical financial inclusion.
Indonesia is home to the largest Muslim community on earth and to a zakat base estimated above IDR 327 trillion, yet the funds actually collected amount to less than fifteen percent of that ceiling. Digital zakat services have multiplied in recent years, but their take-up among muzakki remains patchy, and what actually motivates voluntary religious giving through online channels is still poorly mapped. The current research broadens the second-generation of Unified Theory of Acceptance and Use of Technology by adding three constructs that become essential once the technology mediates an act of worship rather than an ordinary purchase: zakat literacy, Islamic religiosity, and trust in zakat institutions. Employing a quantitative approach, explanatory devise, survey data were collected from 373 Indonesian Muslims via a purposive online questionnaire and analysed with Partial Least Squares Structural Equation Modelling in SmartPLS 4. The findings show that the exogenous constructs jointly and positively shape the intention to give zakat through digital means (p < 0.01), with effort expectancy, trust in zakat institutions, and facilitating conditions standing out as the leading drivers. Overall, the model accounts for a substantial share of the variance in behavioural intention, and discriminant validity is upheld under the Fornell-Larcker, cross-loading, and Heterotrait-Monotrait criteria. The contribution is a context-adjusted acceptance model showing that, for voluntary religious giving, technological readiness works in concert with, not separately from, spiritual conviction and institutional credibility. The discussion draws out implications for amil zakat bodies, fintech developers, and regulators aiming to build digital zakat ecosystems that are more trustworthy, easier to use, and demonstrably Sharia-compliant.
This study critically examines a systemic loophole in Indonesian Religious Courts where Western contractual formalism inadvertently legitimizes usury (riba) within Islamic economic disputes. Additionally, this study aims to propose a way out through Judicial Self-Assessment model for Indonesian Religious Courts. Employing doctrinal legal research, this study analyzes a recent Rahn Tasjily (fiduciary pawn) dispute to illustrate how judges, constrained by the procedural efficiency of the Small Claims Court (Gugatan Sederhana), rigidly apply the pacta sunt servanda doctrine. Consequently, they bypass their ex officio mandate to ensure substantive Sharia compliance. The core findings demonstrate that the judicially validated 4% daily penalty clause materially constitutes disguised Riba Nasi'ah rather than compensation for actual operational loss (Dharar al-Haqiqi). By calculating penalties proportionally to the principal debt and default duration, the court essentially sanctions the prohibited Time Value of Money. This approach facilitates risk-free capital accumulation for financial institutions and creates a systemic debt spiral for vulnerable micro-debtors. To resolve the tension between evidentiary challenges and the strict prohibition of usury, this research proposes a Judicial Self-Assessment model. By utilizing standardized court summon radius fees as an objective benchmark, judges can accurately quantify real loss. This mechanism empowers the application of the ex aequo et bono principle within strict Sharia corridors, effectively closing the judicial loophole that permits the legalization of riba.
