The Effect of Fiscal Independence, Private Investment, Zakat and Economic Growth on Islamic Human Development Index (IHDI) In Jambi Province Indonesia

Fathiyah Fathiyah(1*), Amri Amir(2), Siti Hodijah(3), Zamzami Zamzami(4), Erni Achmad(5),

(1) Universitas Jambi
(2) Universitas Jambi
(3) Universitas Jambi
(4) Universitas Jambi
(5) Universitas Jambi
(*) Corresponding Author

Abstract


Human development can be measured using the Islamic Human Development Index (IHDI) indicator for countries with a majority Muslim population. Variables that affect IHDI include fiscal independence, private investment, zakat performance and economic growth. However, there is still not much literature on IHDI and its application in Indonesia, especially in Jambi Province. This study aims to analyse the partial and simultaneous effects of fiscal independence (FI), private investment (PI), zakat performance (ZP) and economic growth (EG) on IHDI in Jambi Province. The data used is panel data in the form of time series data for 5 years, namely 2017-2022 and cross section data on 11 regencies / cities in Jambi Province. The data analysis used is descriptive analysis and panel data regression analysis with an econometric model approach using the Eviews 8 programme. The results showed that simultaneously FI, PI, ZP and EG had a significant effect on IHDI. Partially, there is a significant effect of FI, ZP and EG on IHDI.  The integration of key factors, studies in the Islamic context, measurement of the impact on IHDI, the use of econometric models and contributions to public policy are novelty in this study

Keywords


Fiscal independence, Investment, Islamic Human Development Index, economic growth, Jambi Province, zakat

References


Abidillah, A.F., Ayuningtyas, R.D., Cheumar, M. (2022). Measuring IHDI in Indonesia and How the Impact of Investment and Government Expenditure. FITRAH: Jurnal Kajian Ilmu-ilmu Keislaman, 8(2), 207-222. doi:https://doi.org/10.24952/fitrah.v8i2.5931

Al-Awad, M. (2015). Fiscal policy and human development in Islamic economies. Journal of Islamic Economics, Banking and Finance, 11(3), 99-114

Al-Malkawi, H.A.N. & Javaid, S. (2018). Corporate social responsibility and financial performance in Saudi Arabia: Evidence from Zakat contribution. Managerial Finance, 44(6), 648-664. Al Ghazali, Ihya Ulumuddin, (1954), Beirut

Amir, Amri , Junaidi dan Yulmardi, 2009. Metodologi Penelitian Ekonomi dan Penerapannya. Bogor. IPB Press

Amir, A., Rafiqi, Amri, AD & Alissa, E. (2022). Determinants of human development index and Islamic human development index regency/city of Jambi Province 2016 - 2020. International Journal of Science and Research Archive, 5(2), 018–031. https://doi.org/10.30574/ijsra.2022.5.2.0055

Anto, M. Hendrie. (2009). Introducing an Islamic Human Development Index(IHDI) to Measure Development in OIC Countries. Islamic EconomicStudies, 19 (2): 1410-1420.

BAZNAS. (2020). Annual Report 2020. Badan Amil Zakat Nasional (BAZNAS)

BPS Jambi Province. (2024). Jambi Province in Figures 2024. BPS Jambi Province

Emako, E., Nuru, S., & Menza, M. (2023). The effect of foreign direct investment on capital accumulation in developing countries, Development Studies Research, 10:1, 2220580, DOI: 10.1080/21665095.2023.2220580

Farida, Nur., Suman., Agus & Sakti, RK (2021). Fiscal Decentralization, Economic Growth and Regional Development Inequality in Eastern Indonesia. Journal of Indonesian Applied Economics, 9(2): 1-9

Ghozali, I. (2005). Multivariate Analysis with SPSS Program. Diponegoro University Publishing Agency: Semarang

Ghozali, I. (2011), Advanced Multivariate Analysis with SPSS Program. Semarang: Diponegoro University Publishing House

Ghozali, I. (2013). Multivariate Analysis Application with IBM SPSS 21 Update PLS Regression Program. Semarang: Diponegoro University Publishing Agency

Hasbi, M. Z. (2023). The Relevance of The Human Development Index from an Islamic Perspevtive to Macroeconomic and Zakat : A Measure of the Development of the world's Muslim Community

Huda, M. Arsyad, I. Susilo, A. Fajaruddin, A. & Indra, F. (2020). Conceptualizing Waqf Insan on I-HDI (Islamic Human Development Index) through Maqasid Syariah. 2286206

Khan, N.H., Ju, Y., & Hassan, S.T. (2018). Modeling the impact of economic growth and terrorism on the human development index: collecting evidence from Pakistan. Environmental science and pollution research international, 25(34), 34661–34673

Khan, N.H., Ju, Y., & Hassan, S.T. (2018). Modeling the impact of economic growth and terrorism on the human development index: collecting evidence from Pakistan. Environmental science and pollution research international, 25(34), 34661–34673.

Kuncoro, M. (2013). Ekonomika Pembangunan: Masalah, Kebijakan, dan Politik (5 ed.). Yogyakarta: Erlangga.

Mardianto, D. (2023), Determinan Islamic Human Development Index di Negara-negara Anggota Organisasi kerjasama Islam (OKI), Islamic Economic and Business Journal, Vol.5, No. 1 tahun 2023

Miftahussalam, M. & Rofiuddin, M. (2021). The Influence of PDRB, Human Development Index and Zakat on Poverty in Central Java Province. Journal of Economics and Policy Studies, 1(1), 40-54. doi : 10.53088/jerps.v1i1.63

Mirakhor, A (2007). “A Note on Islamic Economics,‛ Islamic Research and Training Institute, IDB Lecture Series No.20. Islamic Development Bank

Noman, A., & Haider, Z. (2010). The impact of foreign direct investment on poverty reduction. International Research Journal of Finance and Economics, 47, 122-135

Nurhalim, A., Mawani, L., Fitri, R. (2023). The Influence of Zakat and Islamic Human Development Index on Poverty in Central Java 2017–2020. AL-MUZARA'AH, 10 (2): 185-196

Osano, H. M., Koine, P. W. (2016). Role of foreign direct investment on technology transfer and economic growth in Kenya: a case of the energy sector. Journal of Innovation and Entrepreneurship. 5(31): 1-25. DOI 10.1186/s13731-016-0059-3

Prakasa, S., Liana, W. (2022). Direct Foreign Investment Development From Exchange Rate Andgdp In Asean Plus Three Countries. International Journal of Economics, Business and Accounting Research (IJEBAR), 6(4): 2-10

Purbasari, Titian, L., & Hazami, MF (2023). Post Pancemic On Islamic Human Development Index; Study Case In Indonesia. Journal of Businessnand Political Economy, Vol. 5 No. 1 Tahun 2023

Putri, R. M & Mintaroem, K. (2019). Determinants of the Islamic Human Development Index (Ihdi) of East Java Province 2001-2016. Journal of Islamic Economics Theory and Application, 6 (7): 1410-1420

Rafsanjani, Haqiqi. (2014). Islamic Human Development Index in Indonesia, UM Surabaya Publishing.

Rukiah, Nuruddin, A., Siregar, S. (2019). Islamic Human Development Index in Indonesia ( A Maqhasid Syariah Approach), Journal of Islamic Law and Economics, Vol. 18. No. 2 p. 233 - 422.

Rukiah. (2020). Analysis of Relationship Between Economic Growth, Fiscal Policies, and Demographics to Islamic Human Development Index In Indonesia, Jurnal Kajian Ilmu-ilmu Keislaman, 6 (1)

Sadeq, AM (2000). The Islamic zakat and poverty alleviation: A case study of Bangladesh. Journal of Economic Cooperation Among Islamic Countries, 21(1), 85-110

Siddiqui. (2008). Current Financial Crisis and Islamic Economics, Aligard. India

Stewart, Frances, Ranis, G., & Saman, E. (2018). Advancing Human Development ; Theory and Practice, Oxford University Press

Sugiono, 2011, Metode Penelitian Bisnis. Cetakan Kedelapan. Bandung. Alfabeta

Susilo, D. (2018). The Impact of Foreign Direct Investment on Economic Growth (a Causal Study in the United States). BISE: Journal of Business and Economic Education, 4(1): 72-85

Widarjono, Agus, (2013), Econometrics: Theory and Application for Economics and Business. Yogyakarta: Ekonesia FE Islamic University of Indonesia




DOI: http://dx.doi.org/10.33019/ijbe.v9i3.1115

Article Metrics

Abstract view : 1 times

Refbacks

  • There are currently no refbacks.


Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.

Creative Commons License

Integrated Journal of Business and Economics is licensed under a Creative Commons Attribution 4.0 International License.