Investment in Sharia Fintech to Develop Real Sector of SMEs

Abstract

Islamic finance continues to develop and more people are interested in and using Islamic financial instruments. Indonesia with the largest Moeslim population reaches 87 percent, makes Islamic finance much in demand. Various variations of Islamic financial products are increasing and continue to be developed to meet the needs of the community. Present there is an Islamic financial instrument in the form of Islamic fintech, which is a vehicle for investors. Through fintech sharia investors can invest according to sharia principles. Then Sharia fintech also becomes a vehicle for SMEs entrepreneurs to obtain funds. The purpose of this study is to determine the development of SMEs, as well as to find out the development of SMEs through investment in Islamic fintech. This type of research used in this research is qualitative research literature. Data collection techniques through searching from various media and data that has been presented. The data analysis technique used in this research is descriptive qualitative, which describes the development of SMEs through investments in Islamic fintech. The results of the study showed that there were developments in SMEs in 2018 from three types of businesses. The type of business that experienced the largest was medium business by 3.54 percent, and the largest portion of business was micro business by 9.86 percent. Investment through sharia fintech will provide benefits for investors in the form of investments according to Islamic principles, profits from investment funds, and can encourage the development of SMEs.