Enhancing Economic Security through Sharia Fintech Regulation in Indonesia: Strengthening the Sharia Business Ecosystem

Abstract

The emergence of sharia fintech presents ongoing challenges for the government, particularly as it serves as a key pillar of economic security. Despite its potential, the development of sharia fintech in Indonesia faces numerous regulatory issues that must be addressed. This research is categorized as normative legal research and employs a statutory approach to examine primary legal materials, including laws and regulations relevant to sharia fintech and other financial sectors. The study reveals that the Islamic Economic Master Plan and the Indonesian Islamic Financial Architecture Master Plan fail to adequately represent the institutions and regulations necessary for the growth of sharia fintech as a vital sub-sector of Islamic finance. To strengthen the sharia fintech business ecosystem, it is essential for regulatory authorities to develop regulations that align with industry needs. Enhancing these regulations is anticipated to foster a robust and stable economy, thereby accelerating the advancement of Islamic finance nationally and positioning Indonesia as a financial hub in the Southeast Asian region and beyond.

Keywords

• economic security
• ecosystem
• sharia fintech