Islamic Microfinance and Grassroots Economic Resilience in Indonesia A Longitudinal Analysis of Koperasi Syariah Benteng Mikro Indonesia Mohammad Fahreza, Shofwan Azhar
DOI:
https://doi.org/10.32670/jim.v17i2.60Abstract
This study examines how an Islamic microfinance cooperative can sustain grassroots economic resilience during Indonesia's post-pandemic recovery and subsequent normalization. The analysis focuses on Koperasi Syariah Benteng Mikro Indonesia (Kopsyah BMI), a community-based cooperative whose services are closely connected to the everyday financial needs of microenterprises and lower-income households. Using a longitudinal descriptive-analytical design, the study reconstructs a standardized year-end series for 2021-2025 from Kopsyah BMI's official December performance reports and interprets the institutional trajectory within Indonesia's macroeconomic context. The evidence reveals a non-linear pattern rather than a simple expansion story. Between 2021 and 2025, member savings increased by 58.01%, villages served by 58.00%, members by 24.54%, and cumulative financing distribution by 66.80%. Over the same period, assets increased by only 4.62% after peaking in 2024, capital decreased by 6.12%, effective financing declined by 1.10%, and third-party borrowings decreased by 44.07%. The turning point became more visible in 2025, when assets declined by 16.33%, effective financing by 11.89%, employees by 10.95%, and SHU after tax by 29.85%, even as savings rose by 8.06% and villages served by 8.66%.
Keywords: economic resilience; financial inclusion; Islamic microfinance.
References
Abu Wadi, R., Bashayreh, A., Khalaf, L., & Abdelhadi, S. (2022). Financial sustainability and outreach in microfinance institutions: Evidence from MENA countries. Journal of Sustainable Finance & Investment, 12(1), 238-250. https://doi.org/10.1080/20430795.2021.1964814
Ali, M. M., Devi, A., Furqani, H., & Hamzah, H. (2020). Islamic financial inclusion determinants in Indonesia: An ANP approach. International Journal of Islamic and Middle Eastern Finance and Management, 13(4), 727-747. https://doi.org/10.1108/IMEFM-01-2019-0007
Ascarya. (2022). The role of Islamic social finance during COVID-19 pandemic in Indonesia's economic recovery. International Journal of Islamic and Middle Eastern Finance and Management, 15(2), 386-405. https://doi.org/10.1108/IMEFM-07-2020-0351
Ascarya, & Masrifah, A. R. (2023). Strategies implementing cash waqf system for Baitul Maal wat Tamwil to improve its commercial and social activities. International Journal of Islamic and Middle Eastern Finance and Management, 16(1), 130-153. https://doi.org/10.1108/IMEFM-10-2020-0504
Ascarya, & Sakti, A. (2022). Designing micro-FinTech models for Islamic micro financial institutions in Indonesia. International Journal of Islamic and Middle Eastern Finance and Management, 15(2), 236-254. https://doi.org/10.1108/IMEFM-05-2020-0233
Ascarya, Sukmana, R., Rahmawati, S., & Masrifah, A. R. (2023). Developing cash waqf models for Baitul Maal wat Tamwil as integrated Islamic social and commercial microfinance. Journal of Islamic Accounting and Business Research, 14(5), 699-717. https://doi.org/10.1108/JIABR-09-2020-0267
BPS-Statistics Indonesia. (2022a, February 7). Indonesia GDP annual growth rate 5.02 percent (y-on-y) in the fourth quarter of 2021. https://www.bps.go.id/en/pressrelease/2022/02/07/1911/
BPS-Statistics Indonesia. (2022b, January 3). The inflation rate in December 2021 was 0.57 percent. https://www.bps.go.id/en/pressrelease/2022/01/03/1856/
BPS-Statistics Indonesia. (2023a, February 6). Indonesia GDP growth rate 5.31 percent (2022). https://www.bps.go.id/en/pressrelease/2023/02/06/1997/
BPS-Statistics Indonesia. (2023b, January 2). The year-on-year inflation in December 2022 was 5.51 percent. https://www.bps.go.id/en/pressrelease/2023/01/02/1949/
BPS-Statistics Indonesia. (2024a, February 5). Indonesia's GDP growth rate in Q4-2023 was 5.04 percent (y-on-y). https://www.bps.go.id/en/pressrelease/2024/02/05/2379/
BPS-Statistics Indonesia. (2024b, January 2). The year-on-year inflation in December 2023 was 2.61 percent. https://www.bps.go.id/
BPS-Statistics Indonesia. (2025a, February 5). Indonesia's economic growth 2024 was 5.03 percent (c-to-c). https://www.bps.go.id/en/pressrelease/2025/02/05/2408/
BPS-Statistics Indonesia. (2025b, January 2). The year-on-year headline inflation in December 2024 was 1.57 percent. https://www.bps.go.id/en/pressrelease/2025/01/02/2397/
BPS-Statistics Indonesia. (2026a, February 5). Indonesia's economic growth in 2025 was 5.11 percent. https://www.bps.go.id/en/pressrelease/2026/02/05/2546/
BPS-Statistics Indonesia. (2026b, January 5). The year-on-year headline inflation in December 2025 was recorded at 2.92 percent. https://www.bps.go.id/en/pressrelease/2026/01/05/2527/
Cull, R., Demirguc-Kunt, A., & Morduch, J. (2009). Microfinance meets the market. Journal of Economic Perspectives, 23(1), 167-192. https://doi.org/10.1257/jep.23.1.167
Datta, S., & Sahu, T. N. (2022). How far is microfinance relevant for empowering rural women? An empirical investigation. Journal of Economic Issues, 56(1), 97-112. https://doi.org/10.1080/00213624.2022.2019552
Demir, A., Pesque-Cela, V., Altunbas, Y., & Murinde, V. (2022). FinTech, financial inclusion and income inequality: A quantile regression approach. The European Journal of Finance, 28(1), 86-107. https://doi.org/10.1080/1351847X.2020.1772335
Diamond, D. W. (1984). Financial intermediation and delegated monitoring. The Review of Economic Studies, 51(3), 393-414. https://doi.org/10.2307/2297430
Dorfleitner, G., Forcella, D., & Nguyen, Q. A. (2022). The digital transformation of microfinance institutions: An empirical analysis. Journal of Applied Accounting Research, 23(2), 454-479. https://doi.org/10.1108/JAAR-02-2021-0041
Hermes, N., & Lensink, R. (2011). Microfinance: Its impact, outreach, and sustainability. World Development, 39(6), 875-881. https://doi.org/10.1016/j.worlddev.2009.10.021
International Monetary Fund. (2026). Indonesia: 2025 Article IV consultation - Press release; staff report; and statement by the Executive Director for Indonesia. IMF Staff Country Report No. 2026/010. https://www.imf.org/en/publications/cr/issues/2026/01/21/indonesia-2025-article-iv-consultation-press-release-staff-report-and-statement-by-the-573330
Koperasi Syariah Benteng Mikro Indonesia. (n.d.-a). Institutional website. https://kopsyahbmi.co.id/
Koperasi Syariah Benteng Mikro Indonesia. (2021). Laporan bulan Desember 2021: Perkembangan kinerja dan neraca 31/12/2021. https://kopsyahbmi.co.id/images/laporanpdf/2021/laporan_des2021.pdf
Koperasi Syariah Benteng Mikro Indonesia. (2022). Laporan bulan Desember 2022: Perkembangan kinerja dan neraca 31-12-2022. https://kopsyahbmi.co.id/images/laporanpdf/2022/laporan_des2022%20rev.pdf
Koperasi Syariah Benteng Mikro Indonesia. (2023). Laporan bulan Desember 2023: Perkembangan kinerja dan neraca 31-12-2023. https://kopsyahbmi.co.id/images/laporanpdf/2023/laporan_des2023.pdf
Koperasi Syariah Benteng Mikro Indonesia. (2024). Laporan bulan Desember 2024: Perkembangan kinerja dan neraca 31-12-2024. https://kopsyahbmi.co.id/images/laporanpdf/2024/laporan_des2024.pdf
Koperasi Syariah Benteng Mikro Indonesia. (2025). Laporan keuangan Desember 2025: Perkembangan kinerja dan neraca 31-12-2025. https://kopsyahbmi.co.id/images/laporanpdf/2025/laporan_des2025.pdf
Lusardi, A., & Messy, F.-A. (2023). The importance of financial literacy and its impact on financial wellbeing. Journal of Financial Literacy and Wellbeing, 1(1), 1-11. https://doi.org/10.1017/flw.2023.8
Lwesya, F., & Mwakalobo, A. B. S. (2023). Frontiers in microfinance research for small and medium enterprises (SMEs) and microfinance institutions (MFIs): A bibliometric analysis. Future Business Journal, 9, Article 17. https://doi.org/10.1186/s43093-023-00195-3
Mohamed, H. A., & Otake, T. (2025). The role of Islamic FinTech in digital financial inclusion and sustainable development post COVID-19: Cross-country analysis. International Journal of Islamic and Middle Eastern Finance and Management, 18(3), 649-671. https://doi.org/10.1108/IMEFM-02-2024-0100
Mubarok, F. K., & Kurnia, A. S. (2025). The relevance of the implementation of Maqashid Shariah and sustainable development goals in Islamic microfinance institutions. Qualitative Research in Financial Markets, advance online publication. https://doi.org/10.1108/QRFM-01-2024-0008
Mujiatun, S., Trianto, B., Cahyono, E. F., & Rahmayati. (2023). The impact of marketing communication and Islamic financial literacy on Islamic financial inclusion and MSMEs performance: Evidence from halal tourism in Indonesia. Sustainability, 15(13), Article 9868. https://doi.org/10.3390/su15139868
Nurohman, Y. A., Kusuma, M., & Narulitasari, D. (2021). Fin-Tech, financial inclusion, and sustainability: A quantitative approach of Muslims SMEs. International Journal of Islamic Business Ethics, 6(1), 54-67. https://doi.org/10.30659/ijibe.6.1.54-67
Offiong, U. P., Szopik-Depczynska, K., Cheba, K., & Ioppolo, G. (2024). FinTech as a digital innovation in microfinance companies - Systematic literature review. European Journal of Innovation Management, 27(9), 562-581. https://doi.org/10.1108/EJIM-04-2024-0462
OJK & BPS-Statistics Indonesia. (2024, August 2). OJK and Statistics Indonesia present National Survey on Financial Literacy and Inclusion 2024 findings. https://ojk.go.id/en/berita-dan-kegiatan/siaran-pers/Pages/OJK-And-Statistics-Indonesia-Present-National-Survey-On-Financial-Literacy-And-Inclusion-2024-Findings.aspx
Otoritas Jasa Keuangan. (2021). National strategy on Indonesian financial literacy 2021-2025. https://ojk.go.id/en/berita-dan-kegiatan/publikasi/Pages/National-Strategy-on-Indonesian-Financial-Literacy-%28SNLKI%29-2021---2025.aspx
Ozili, P. K. (2020). Contesting digital finance for the poor. Digital Policy, Regulation and Governance, 22(2), 135-151. https://doi.org/10.1108/DPRG-12-2019-0104
Pandey, A., Kiran, R., & Sharma, R. K. (2022). Investigating the impact of financial inclusion drivers, financial literacy and financial initiatives in fostering sustainable growth in North India. Sustainability, 14(17), Article 11061. https://doi.org/10.3390/su141711061
Saifurrahman, A., & Kassim, S. H. (2021). Islamic financial literacy for Indonesian MSMEs during COVID-19 pandemic: Issues and importance. Journal of Islamic Finance, 10, 45-60. https://journals.iium.edu.my/iiibf-journal/index.php/jif/article/view/526
Saifurrahman, A., & Kassim, S. H. (2023). Enhancing the MSME Islamic financial inclusion in Indonesia: An institutional theory perspective. Journal of Accounting and Finance, 23(2), 6-25. https://doi.org/10.33423/jaf.v23i2.6042
Saifurrahman, A., & Kassim, S. H. (2024). Regulatory issues inhibiting financial inclusion: A case study among Islamic banks and MSMEs in Indonesia. Qualitative Research in Financial Markets, 16(4), 589-617. https://doi.org/10.1108/QRFM-05-2022-0086
Shaikh, S. A. (2021). Using FinTech in scaling up Islamic microfinance. Journal of Islamic Accounting and Business Research, 12(2), 186-203. https://doi.org/10.1108/JIABR-10-2019-0198
Sharma, S. K., Ilavarasan, P. V., & Karanasios, S. (2024). Small businesses and FinTech: A systematic review and future directions. Electronic Commerce Research, 24(1), 535-575. https://doi.org/10.1007/s10660-023-09705-5
Tay, L.-Y., Tai, H.-T., & Tan, G.-S. (2022). Digital financial inclusion: A gateway to sustainable development. Heliyon, 8(6), Article e09766. https://doi.org/10.1016/j.heliyon.2022.e09766
Thakor, A. V. (2020). FinTech and banking: What do we know? Journal of Financial Intermediation, 41, Article 100833. https://doi.org/10.1016/j.jfi.2019.100833
Widiastuti, T., Cahyono, E. F., Zulaikha, S., Mawardi, I., & Al Mustofa, M. U. (2021). Optimizing zakat governance in East Java using analytical network process (ANP): The role of zakat technology (ZakaTech). Journal of Islamic Accounting and Business Research, 12(3), 301-319. https://doi.org/10.1108/JIABR-09-2020-0307
World Bank. (2022). Indonesia Economic Prospects, June 2022: Financial deepening for stronger growth and sustainable recovery. https://www.worldbank.org/en/country/indonesia/publication/indonesia-economic-prospects-iep-june-2022-financial-deepening-for-stronger-growth-and-sustainable-recovery
World Bank. (2025). Indonesia Economic Prospects, December 2025: Digital foundations for growth. https://documents1.worldbank.org/curated/en/099121525010013017/pdf/P513006-5a39c38f-b7cb-425f-966b-655852db27e7.pdf
Wulandari, P., & Kassim, S. H. (2026). Digital Islamic microfinance: Tailoring services for ultra-micro borrowers. Qualitative Research in Financial Markets, advance online publication. https://doi.org/10.1108/QRFM-04-2025-0097
Downloads
Published
Issue
Section
License
Copyright (c) 2026 Coopetition : Jurnal Ilmiah Manajemen
This work is licensed under a Creative Commons Attribution 4.0 International License.
