THE OBSTACLES AND SOLUTIONS OF SHARIA MUNICIPAL BOND ISSUANCE FROM AN INDONESIAN LEGAL PERSPECTIVE
Abstract
According to the Law No. 23 year 2014 on the Local Governance, The Local
Government has opportunities to obtain the loan from the public through Municipal
Bond Issuance in order to enhance their Local Development. However, Municipal
Bond Issuance contradict with Sharia Principles due to Municipal Bond not containing
Sharia Compliance. In addition, there are many obstacles faced by the Local
Government with the issuance of Sharia Municipal Bond, either during the preparation
of Pre-Registration Statement of the Sharia Municipal Bond Issuance or the preparation
of Public Offering of Sharia Municipal Bond in the Capital Market. The problems that
discussed in this research are: (1) What are the obstacles of Local Government in terms
of Sharia Municipal Bond? and (2) What are the solutions from the Related Parties in
order to Synchronize and Harmonize the regulation related to Sharia Municipal Bond
Issuance? This thesis use secondary data taken from the documents or archives that
related to the problem discussed. The approach of thesis is juridical normativeempirical
research. The best solutions for this obstacles may be provided by the Related
Parties such as Ministry of Finance, Ministry of Local Affairs, Otoritas Jasa Keuangan
(OJK), Majelis Ulama Indonesia (MUI), Komisi Pemberantasan Korupsi (KPK), and
Badan Pemersika Keuangan (BPK) to revise the technical regulation regarding Sharia
Municipal Bond Issuance, both in the outlook of preparation and in the scope of the
registration statement by synchronizing and harmonizing the current technical
regulation with Law of Sharia Sovereignty Bond and Law of the Financial Examiner
Body. The recommendation in this thesis are Revise the Capital Market Law, add the
provision of Sharia Municipal Bond Issuance in the legislation that related, and create
the law regarding Government Procurement of goods and services.
Collections
- Law [2308]