Title: The Relationship Between Sharia Banking Activities, Sharia Insurance Activities and Economic Growth in Indonesia
Author: Maulidah Atha Mukhlifah
Affiliations : Master of Economics Program, Faculty of Economics and Business, Universitas Airlangga Surabaya, Indonesia
Publisher: Universitas Airlangga
Abstract
This research aims to find a relationship between sharia banking activities, sharia insurance activities and economic growth. This study uses VECM to process data. The data used is data from 2009 to the second quarter of 2019. The results of this research show a relationship between sharia insurance activities and sharia banking activities. Sharia banking activities influence sharia insurance activities in a granger manner and sharia insurance activities positively influence sharia banking activities in the short term. Apart from that, a relationship was found between sharia insurance and economic growth. The Granger Causality Test and VECM show that economic growth affects sharia insurance. On the other hand, sharia insurance does not affect economic growth. Another finding in this research is that economic growth in Indonesia is not affected by sharia financial institutions.
Keywords: Sharia Bank, Sharia Life Insurance, Sharia General Insurance, Economic Growth, VECM, Indonesia
