Indonesia’s Global Islamic Banking Market Share Stands at 2%

Indonesia's market share in the global Islamic banking market is currently a mere 2%.

Why it Matters?

Iran with 28.6% and Saudi Arabia with 24.9% dominate the global Islamic banking market. Whereas Malaysia’s has a 11.1% share, with the United Arab Emirates 8.7% and Turkey 2.6% respectively. Bayu Endrasasana, Senior Supervisor, Information Technology Specialist Supervisory Group-Financial Services Authority, noted that Islamic banking in Indonesia faces structural challenges such as competitiveness, digital services, inequality in literacy and financial inclusion, and transformation of regulation and supervision.

Details

Indonesia's total Islamic financial assets excluding Shariah shares were IDR 1,922.9 trill...