TY - JOUR
T1 - Sukuk market liquidity determinants
T2 - A case study on Sovereign Sukuk in Indonesia
AU - Ariyana, Farah Rizky
AU - Arundina, Tika
AU - Kasri, Rahmatina Awaliah
N1 - Publisher Copyright:
© 2020, Faculty of Economics and Administration. All rights reserved.
PY - 2020/7
Y1 - 2020/7
N2 - This study examines factors that significantly affect the sovereign sukuk market liquidity in Indonesia. The study uses panel regression to determine how macroeconomic factors and sukuk market characteristics influence sukuk market liquidity. The result shows that sukuk’s issuance amount and the Jakarta Interbank Offered Rate have positive impacts while the inflation level, Jakarta Islamic Index and yield to maturity have negative impacts on sukuk market liquidity. In contrast, the Consumer Confidence Index, openness of the economy, and remaining maturity are not significant determinants of sukuk market liquidity. This study contributes to filling the gap of empirical studies regarding sukuk market liquidity determinants in Indonesia.
AB - This study examines factors that significantly affect the sovereign sukuk market liquidity in Indonesia. The study uses panel regression to determine how macroeconomic factors and sukuk market characteristics influence sukuk market liquidity. The result shows that sukuk’s issuance amount and the Jakarta Interbank Offered Rate have positive impacts while the inflation level, Jakarta Islamic Index and yield to maturity have negative impacts on sukuk market liquidity. In contrast, the Consumer Confidence Index, openness of the economy, and remaining maturity are not significant determinants of sukuk market liquidity. This study contributes to filling the gap of empirical studies regarding sukuk market liquidity determinants in Indonesia.
KW - Islamic financial market
KW - Macroeconomic factors
KW - Sovereign Sukuk
KW - Sukuk characteristics
KW - Trading volume
UR - http://www.scopus.com/inward/record.url?scp=85088953223&partnerID=8YFLogxK
M3 - Article
AN - SCOPUS:85088953223
SN - 2232-1640
VL - 12
SP - 65
EP - 89
JO - Institutions and Economies
JF - Institutions and Economies
IS - 3
ER -