Spin-off Strategy for Sharia Business Units of Conventional Commercial Banks in Indonesia Post-P2SK Law (Omnibus Law)
Published:
2026-07-30Abstract
The spin-off of Sharia Business Units (UUS) from conventional commercial banks is
a strategic policy to strengthen the Islamic banking industry in Indonesia. The
enactment of the Financial Sector Development and Strengthening Law (UU P2SK)
has shifted the spin-off policy approach from a mandatory one to a more flexible one
based on institutional readiness. This change emphasizes that the success of a spin-off
is no longer determined solely by regulatory obligations, but rather by the ability of
each UUS to prepare its institutional aspects comprehensively. Thus, the main
challenge shifts to how to formulate an appropriate, realistic, and sustainable spin-off
strategy in accordance with the internal and external conditions of the institution. This
study aims to identify factors influencing the spin-off process and formulate the most
appropriate strategy within the post-UU P2SK policy framework. The approach used
is a quantitative exploratory approach using the Analytic Network Process (ANP)
method to analyze the interrelationships between factors and determine optimal
strategic priorities. The results indicate that the most dominant factors in determining
the success of a spin-off are the commitment of controlling shareholders and
management. This factor is followed by capital and asset readiness, human resource
quality and readiness, regulatory support, information technology capabilities, and
market and industry conditions. Given the limited institutional capacity, particularly at
Regional Development Bank (BPD) UUS, a spin-off strategy through a Bank Business
Group (KUB) scheme is the most realistic option for institutional strengthening.
Meanwhile, a full spin-off into a Sharia Commercial Bank (BUS) remains the long-term
goal once all necessary preparations are optimally met.
Keywords:
Spin-Off Sharia Business Unit P2SK Law Institutional Strategy Analytic Network ProcessReferences
Abdillah, W, & Hartono, J (2015) Partial Least Squares (PLS): Alternative Structural Equation Modeling
(SEM) in Yogyakarta Andi's business research.
Afandi, MA, Ali, K., & Imantoro, J. (2023). The Effect of Spin-Off Policy on the Profitability of Islamic
Commercial Banks in Indonesia. Fidusia: Journal of Finance and Banking, 6(1). doi:
https://doi.org/10.24127/jf.v6i1.1403
Al Arif, MN, & Dewanti, EP (2017). Spin-off method and profitability level: a study of spin-off Islamic
commercial banks. iqtishadia, 10(1). doi: http://dx.doi.org/10.21043/iqtishadia.v10i1.2316
Alvarez, S. A., & Barney, J. B. (2017). Resources-based theory and the entrepreneurial firm. In Strategic
entrepreneurship: Creating a new mindset (pp. 87–105). Willey Online Library.
Amin, M. (2022). Spin-Off & Conversion of Islamic Banks: Opportunities and Challenges. Zahir
Publishing.
Barney, J. B., & Arikan, A. M. (2005). The resources-based view: origins and implications. In The Blackwell
handbook of strategic management (pp. 123–182).
Chemmanur, T. J., & Yan, A. (2004). A theory of corporate spin-offs. Journal of Financial Economics,
72(2), 259–290.https://doi.org/10.1016/j.jfineco.2003.05.002
Fasano, F., La Rocca, M., Cariola, A., & Passarelli, M. (2023). Banking relationships and research spin-offs'
life cycle: The Italian experience. Research in International Business and Finance, 65,
101973.https://doi.org/10.1016/j.ribaf.2023.101973
Fici, L., Malyzhenkov, P.V., Piccarozzi, M., & Meleshina, E.S. (2016). Spin-off design as an organizational
practice: A methodological approach. Бизнес-информатика, 3(37), 7–14.
Gübeli, M. H., & Doloreux, D. (2005). An empirical study of university spin-off development. European
Journal of Innovation Management, 8(3), 269–282.https://doi.org/10.1108/14601060510610153
Hrebiniak, L. G. (2013). Making strategy work: Leading effective execution and change. Ft Press.
McAdam, D. (1995). 'Initiator' and 'Spin-off'. In Movements: Diffusion Processes in Protest Cycles (pp.
217–239).
Najih, RA (2023). Questioning the implementation of tadrij in the PPSK Law (analysis of LKS spin-off
obligations). UNES Law Review, 5(4), 3566–3580.
Nasution, MS, & Jakfar, AT (2024). Maqashid al-Syariah in Perspective. Rajawali Pers.
Pambuko, ZB, & Sriyana, J. (2023). Islamic banking spin-offs decisions: A bibliometric review. Cogent
Business and Management. Cogent OA. doi:https://doi.org/10.1080/23311975.2023.221249
Prokop, D. (2023). The academic spinoff theory of the firm. The International Journal of Entrepreneurship
and Innovation, 24(4), 233–243.https://doi.org/10.1177/14657503211066013
Pryor, M. G., Anderson, D., Toombs, L. A., & Humphreys, J. H. (2007). Strategic implementation as a core
competency: The 5P's model. Journal of Management Research, 7(1), 3–17.
Purba, J.T., Gumulya, D., Hariandja, E., & Pramono, R. (2023). Valuable, rare, inimitable, non-substitutable
of resources in building innovation capability for sustainable development: Evidence from creative
social enterprises. International Journal of Sustainable Development and Planning, 18(2), 429–
438.https://doi.org/10.18280/ijsdp.180211
Putra, AA, Qosim, AM, & Hakiem, H. (2019). Analysis of opportunities and challenges in implementing
the obligation to spin off Sharia Business Units into Sharia Commercial Banks. Al Amwal, 2, 1–12.
Ramadhan, M. (2016). The Legal Politics of Islamic Banking in Indonesia. In MIQOT: Journal of Islamic
Sciences (Vol. 40, Issue 2). books.google.com. https://doi.org/10.30821/miqot.v40i2.298
Ramadhan, M. (2018). Islamic Political Economy in the National Development Narrative. LKiS.
https://books.google.co.id/books?id=9GKPDwAAQBAJ
Rasmussen, E. (2011). Understanding academic entrepreneurship: Exploring the emergence of university
spin-off ventures using process theories. International Small Business Journal, 29(5), 448–
471.https://doi.org/10.1177/0266242610385395
Rusydiana, AS, Devi, A., Hasib, FF, & Rani, LN (2019). Spin-off policy of sharia bank: Is it profitable? Al-
Iqtishad: Journal of Sharia Economics, 11(2), 265–288.
Safaruddin, S., Hismendi, H., Dewi, N., Raihan, R., & Suip, M. (2022). Classification of Sharia Business
Units from conventional banks for spin-offs. Proceedings of the National Seminar of the
Lhokseumawe State Polytechnic, 6, 17–28.
Siregar, S., Fahlevi, R., Tarmuni, A., & Inayah, H. (2023). Spin-Off or Sharia Conversion?: Policy Study of
Spin-Off. Innovation, 20(1), 19–31.
Srisusilawati, P., Hardianti, PD, Erlianti, N., Pitsyahara, IR, & Nuraeni, SK (2022). Implementation of
maqashid sharia on sharia banking products. Al-Mustashfa: Journal of Sharia Economic Law
Research, 7(1), 1–11.http://dx.doi.org/10.24235/jm.v7i1.8409
Srisusilawati, P., Hardianti, PD, Erlianti, N., Pitsyahara, IR, & Nuraeni, SK (2022). Implementation of
Maqashid Sharia on Sharia Banking Products. Al-Mustashfa: Journal of Sharia Economic Law
Research, 7(1), 1-11. doi: http://dx.doi.org/10.24235/jm.v7i1.8409
Teece, D. J., Pisano, G., & Shuen, A. (1997). Dynamic capabilities and strategic management. Strategic
Management Journal, 18(7), 509–533.https://doi.org/10.1002/(SICI)1097-
0266(199708)18:7%3C509::AID-SMJ882%3E3.0.CO;2-Z
Ulfa, A. (2021). The impact of the merger of three Islamic banks in Indonesia. Scientific Journal of Islamic
Economics, 7(2), 1101–1106.https://doi.org/10.29040/jiei.v7i2.2680
Yafiz, M. (2015). Internalization of Maqâshid Al-Syarî'ah in Economics According to M. Umer Chapra.
103–110.
Yuspin, W., Harun, Ni'ami, M., & Zuhdi, S. (2023). Readiness of Sharia Business Units for Spin-Off
Regulations: Examining Challenges and Opportunities in the Era of Sharia Banking Capitalization.
ADAM Journal: Community Service Journal, 2(1).
License
Copyright (c) 2026 Trizkan Polem
This work is licensed under a Creative Commons Attribution 4.0 International License.
