Global Economic Crisis: Challenges and Future Prospects of Islamic Banking Institutions

Introduction

The global economic crisis basically involves a prolonged significant decline in the economic activities of the country and worldwide due to various economic factors such as inflation, financial crisis, and an increase in interest rate. This crisis is known as the Economic Depression. Meanwhile, depression can become worse when hyperinflation hits the economy and resulted in an Economic Collapse.

The economic crisis has greatly affected the country with a slump in the Gross Domestic Product Index (GDP) due to a decline in economic activities such as manufacturing, product selling, and customer services that cause a mass shutdown of operations in businesse...