This paper analyses the performance and strategy of Islamic banks after the spin-off and establishment of a full-fledged Islamic bank (separated from the parent bank). Siswantoro (2012) stated that one good strategy was to acquire a good conventional bank then convert it into a full-fledged Islamic bank. The research methodology used is descriptive with graph analysis (a) after spin- off and (b) after September 2010. The sample in this research is eight Islamic banks that were recently established as full-fledged Islamic banks. Most Islamic banks that have been converted in the full-fledged scheme could optimize some source of funding such as capital injection and increasing temporary investment deposit. Murabahah (selling activity) still dominated their loan due to low risk and fixed income.
Keywords: Islamic bank; spin-off; full-fledged; performance; accounting
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