TEMPO.CO, Jakarta - Indonesia's Financial Services Authority (OJK) said the assets of the country’s Islamic finance, excluding sharia stocks, amounted to Rp2,375.84 trillion or US$151.03 billion as of December 2022.

“The Indonesian sharia finance industry has the potential and development that are recognized internationally. We can see from the State of Global Islamic Economy Report 2022 that Indonesia's sharia financial assets are recorded at US$151.03 billion,” said Friderica Widyasari Dewi, OJK’s Chief Executive for the Behavioral Supervisory of Financial Services Business, Education, and Consumer Protection, in a webinar of OJK Institute, on Thursday, February 16, 2023.

The figure, she informed, placed Indonesia in seventh position regarding the largest sharia financial assets in the world and in third position in global Islamic finance.

“Domestically, the Islamic finance industry keeps developing from year to year. Until the end of 2022, the sharia financial assets amount to Rp2,375.84 trillion, growing 15 percent from the previous year,” she added.

With this growth, Friderica revealed that the assets accounted for 10.69 percent of total conventional or general financial assets.

Friderica also said as a country with the world's largest Muslim population and a network of sharia financial industries spreading throughout the archipelago, Indonesia certainly has enormous potential to become the center of global sharia economy and finance.

“These achievements should make us more optimistic. However, we are still encountering a number of challenges, especially regarding low levels of sharia financial literacy and inclusion,” the OJK Chief Executive concluded.

HANIFAH DWIJAYANTI

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