The Effect of The Sharia Capital Market Sector on Financial Deepening in Indonesia

Abstract

This study aims to determine the effect of the Islamic capital market on financial deepening in Indonesia. The variables used are State Sukuk and corporate sukuk. This study is a quantitative study, using data from 2010-2019 published by the OJK and Bank Indonesia. The analysis method used is regression analysis. The results of this study indicate that the State sukuk variable has a significant effect on financial deepening in Indonesia, as evidenced by the t-test result of 2.369 > t table 2.353 with a significance of 0.05. Meanwhile, the corporate sukuk variable does not have a significant effect on financial deepening in Indonesia, as evidenced by the hypothesis test results of t count 1.588 < t table 2.353 with a significance of 0.156.