{
    "success": true,
    "data": {
        "id": 1670502,
        "msgid": "lppi-islamic-banking-grows-public-literacy-remains-a-challenge-1775839842",
        "date": "2026-04-10 22:53:48",
        "title": "LPPI: Islamic Banking Grows, Public Literacy Remains a Challenge",
        "author": "",
        "source": "ANTARA_ID",
        "tags": "",
        "topic": "Banking",
        "summary": "The Director of the Indonesian Banking Development Institute (LPPI), Heru Kristiyana, highlighted that while Islamic banking in Indonesia has seen robust growth, with assets reaching approximately Rp870 trillion by the end of 2025 and a market share of 7.5%, public literacy remains a significant hurdle. He emphasised that societal perceptions often limit Islamic banking to religious connotations, overlooking its universal economic principles of stability, justice, and sustainability that align with modern ethical finance needs. This underscores the need for broader education to position Islamic finance as a rational, inclusive solution for the national economy.",
        "content": "<p>The greatest challenge we face in developing Islamic banking is not\nmerely on the regulatory or product side, but also on public\nperception.<\/p>\n<p>Jakarta (ANTARA) - The Director of the Indonesian Banking Development\nInstitute (LPPI), Heru Kristiyana, stated that public literacy remains a\nchallenge for Islamic finance amid the growth of Islamic banking.<\/p>\n<p>\u201cThe greatest challenge we face in developing Islamic banking is not\nmerely on the regulatory or product side, but also on public\nperception,\u201d said Heru during an event titled \u201cLPPI Virsem#107: Islamic\nBanking as a Solution for Inclusive and Sustainable Finance\u201d held\nvirtually in Jakarta on Friday.<\/p>\n<p>Heru explained that the total assets of Islamic banking have reached\napproximately Rp870 trillion by the end of 2025, with a market share of\naround 7.5% of the total national banking industry.<\/p>\n<p>The growth rate of this sector is also in the range of 9 to 12% per\nyear, higher than the overall banking industry growth.<\/p>\n<p>These achievements indicate that public interest in Sharia-based\nfinancial services continues to increase, while also signalling that\nIslamic banking increasingly plays a strategic role in strengthening the\nnational financial system that is inclusive and sustainable.<\/p>\n<p>However, some members of the public still view Islamic banking only\nas a religious system or merely a terminological change from the\nconventional system.<\/p>\n<p>\u201cIn fact, behind it, we know that there are universal economic\nprinciples that are highly relevant to anyone, both in terms of\nstability, justice, and sustainability,\u201d said Heru.<\/p>\n<p>In addition, there has been a shift in public assessment of the\nfinancial system, which now not only considers financial profit aspects\nbut also increasingly prioritises ethical values, transparency,\nsustainability, and the social impact of economic activities\nundertaken.<\/p>\n<p>In this context, the basic principles of Islamic finance, such as\nprofit-sharing, linkage to the real sector, and prohibition of excessive\nspeculation, become increasingly relevant to the needs of a more stable\nand sustainable modern economic system.<\/p>\n<p>\u201cTherefore, efforts to promote the development of Islamic finance\ncannot rely solely on regulations and products. We also need to build\nbroader understanding in society that Islamic finance is a rational,\ninclusive, and sustainable economic solution,\u201d he stated.<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/lppi-islamic-banking-grows-public-literacy-remains-a-challenge-1775839842",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}