The Sharia Banking Performance Based on Islamic Indices in the ASEAN Countries

Abstract

Islamic banking industry has been growth widely in the last few years related with the growth in the global economy. On the South East Asian (ASEAN), many countries which hold Islamic banks such as: Indonesia, Malaysia, Brunei, Singapore, Thailand, and Philippines. This paper aimed to compare the performance of Islamic banking on the ASEAN countries based on Islamic Indices which consists of Islamic Disclosure Index and Islamic Performance Index. The serial data financial reports from 2011 through 2014 obtained from the website of Islamic banking, the central bank, as well as capital markets in these objects. The results of this research indicate that the performance of Islamic banking in Indonesia has higher performance index compare with Malaysia, Brunei Darussalam, and Thailand. The implications of this research indicate that the performance of Islamic banking in Indonesia still has a great opportunity to be able to grow in the future, especially for the management of Islamic banking in Indonesia as well as the central bank (Bank Indonesia)as a regulator.