The Influence of Exchange Rate, Inflation, For the Results of the Development Assets of Islamic Banks

Abstract

This study aims to determine how much influence the exchange rate, inflation, for the results of partial and simultaneous influence on the development of the assets of islamic banks in Indonesia. This study using the technique of regression analysis of panel data, i.e. using data pooling cross section and time series, where this research was conducted by using test specifications model common effect and fixed effect using the test chow test and hausman. The population and sample of this research is financial statement quarter 10 sharia commercial banks and sharia business units that exist in Indonesia. The Model chosen in this study is the Fixed Effect Model (FEM). The results showed that the partial variable exchange rate and inflation have a positive but not significant to the development of the assets of islamic banks, while the variable for the result and significant positive effect on the development of the assets of islamic banks. While simultaneously the variables of exchange rate, inflation, and for the results and significant positive effect on the growth of assets of islamic banks.