IMPLEMENTATION OF GOOD GOVERNANCE BUSINESS SHARIA (GGBS) IN ISLAMIC BANKING IN INDONESIA

In the development of Islamic banking with the merger of several Islamic banks to become Bank Indonesia Syariah (BIS), it is hoped that it can progress very rapidly, as is the case of Islamic banking in Indonesia which has grown significantly. The development of Islamic banking must be accompanied by good governance so that sharia is not only a tag line for Islamic financial institutions. Islamic banking SOPs must be carried out properly based on sharia principles. Therefore, Bank Indonesia issued Bank Indonesia Regulation No. 11/33 / PBI 2009 concerning Implementation of Sharia Business Governance (G G BS) for Sharia Commercial Banks and Sharia Business Units. The five principles are: Transparency, Accountability, Responsibility, Professionalism and Fairness or equality. GGBS is a banking management system designed to improve compliance with the prevailing moral ethics laws and regulations. According to Chapra, the implementation of Good Corporate Governance is a requirement for Islamic banks to develop properly and in accordance with sharia compliance. The implementation of GGBS in Islamic banking is expected to create a business that is healthy, conducive, transparent and efficient and a blessing. Keyword : GGBS, Islamic Banking, Implementation At-Tijaroh: Jurnal Ilmu Manajemen dan Bisnis Islam Vol. 7 (2), 2021: 158 176


Introduction
Indonesia is a country that has very high economic potential, a potential that is starting to be noticed by the international community. The world bank predicts the Indonesian economy will grow by 5.1 percent in 2019 and then increase to 5.2 percent in 2020. (Liputan 6.com, 2019). This projection is supported by private consumption, which is expected to continue to increase as inflation remains low and the labor market is strong. One Islamic banks. Islamic banks must be able to provide optimal benefits for society and the roles and responsibilities of Islamic banks as Islamic financial institutions are not only limited to the financial needs of various parties, but the most important thing is the certainty of all activities carried out by Islamic banks in accordance with sharia principles ( Hameed, 2004: 2) Bank Indonesia explained that in encouraging the practice and performance of sharia banking that is sound and financially resilient and always refers to sharia principles and protects the interests of stakeholders, Islamic banks are expected to implement the principles of Good Corporate Governance (GCG) in the form of transparency, accountability, responsibility, professionalism, reasonableness and must comply with sharia principles (syaria compliace) .14 Governance issues in Islamic banking are very different from conventional banks. Islamic banks have an obligation to comply with the principles of sharia (sharia compliance) in running their business. 15 Bank Indonesia realizes that the implementation of GCG for Islamic banks cannot only be based on GCG principles but must also be guided Sharia Good Governance Business (GGBS) is an important element in maintaining the sustainability of business growth. And in Islamic banking is a way to increase economic dynamics and hence improve the overall performance of the Islamic economy. Businesses that are run with good governance will tend to be more sustainable and can run well. According to the National Committee on Governance (KNKG), the ability to maintain business continuity is very important in order to benefit all interested parties. The implementation of GGBS by Islamic Banks in Indonesia can be illustrated by the achievement of the GGBS Application Index.
In the context of implementing Good Corporate Governance in Islamic banks, Islamic bankers must strictly adhere to the principles and values of Islamic economics and business that have been applied by the Prophet. If not, don't become a practitioner of sharia bankers, because it can be feared that it can damage the image of "holiness" of sharia in the future.
When compared with conventional bankers, Islamic bankers should be superior and foremost in implementing Good Corporate Governance in banking institutions, because Islamic banking brings its name to business institutions. Strictly speaking, Islamic bankers are able to play their role as enforcers of Good Corporate Governance in banking institutions. If sharia bankers commit irregularities, they will not only implement these institutions, but also affect the image of sharia. Even though the public knows that mistakes were made by certain individuals, people will still quickly judge that even Islamic institutions have committed irregularities, let alone conventional institutions.
The implementation of Sharia Good Governance Business (GGBS) in accordance with applicable regulations will make investors respond positively to company performance and the market value of companies that measure the performance of institutions that operate based on sharia principles, of course different from other companies, especially in terms of orientation. As an institution that operates based on sharia principles, Islamic banks certainly have different characteristics from other companies in their performance orientation.
Meanwhile, if using the RGEC method which covers risk profile factors (Risk Profile), Good Corporate Governance (GCG), Profitability (Earning), and capital (Capital), emphasizes the quality of management. Based on the explanation above, performance measurement using CAMELS and RGEC analysis is not able to reveal the social function of  If it is concluded from the above definition, Sharia Bank is a banking financial institution that operates in accordance with Islamic principles, the company's products and mechanisms must be in accordance with sharia principles (sharia compliance ). In Sharia Banking Operations, there is also a need to apply the same GCG principles as conventional banks in general, the external and internal situation of Islamic banking which is increasingly complex is also accompanied by increasingly diverse levels of risk in Islamic  "........... And do not hide your testimony, because whoever hides it, really, his heart is dirty (sinful). Allah knows best what you are doing. " Transparency contains elements of disclosure ( disclosure ) and the provision of adequate and easily accessible information for stakeholders. Transparency is needed so that sharia business actors conduct business in an objective and healthy manner. Islamic business actors must take the initiative to disclose not only the problems implied by laws and regulations, but also important things for decision making in accordance with sharia provisions. Therefore; 1) Sharia business actors must provide timely, adequate, clear, accurate, comparable information and easily accessible to all stakeholders according to their rights; 2) Information that must be disclosed includes, but is not limited to, the vision, mission, business objectives and organizational strategy, financial condition, management composition, ownership, risk management system, internal supervision and control system, system and implementation of GGBS ( Sharia Business Good Governance . ) as well as the level of compliance, and important events that may affect the In applying the principle of accountability, Islamic banks as institutions and officials who have the authority must be accountable for their performance in a transparent and accountable manner. For this reason, Islamic banks must be managed in a healthy, measured, and professional manner by taking into account the interests of shareholders, customers and other stakeholders (KNKG (National Committee for Governance Policy ), 2012). Accountability is a prerequisite needed to achieve sustainable performance. Therefore; Sharia business actors must define the details of the duties and responsibilities of each organ and all employees clearly and in line with the vision, mission, values, and sharia business strategy. Sharia business actors must believe that all elements of the organization and all employees have ability in accordance with the duties, responsibilities, and roles in the implementation of GGBS ( Sharia Business Good Governance ).
Responsibility, In connection with the principle of responsibility ( responsibility ), businesses must comply with sharia laws and the provisions of Islamic finance, as well as carry out responsibility for society and the environment. Responsibility for human actions is carried out both in this world and in the hereafter, all of which are recorded in a note that will be examined later. As Allah says in Qs. Al Isra: 14: "Read your book, it is enough for yourself this day to count yourself." With this accountability, the sustainability of the Islamic business entity can be maintained in the long term and gain recognition as a good corporate citizen . Therefore; 1) Sharia business actors must adhere to the principle of prudence and ensure compliance with sharia business provisions and laws, articles of association and internal regulations for sharia business actors ( by-laws ); 2) Sharia business actors must carry out the contents of the agreement made including but not limited to fulfilling the rights and obligations agreed upon by the parties; 3) Sharia business actors must carry out social responsibility, among others, by caring for the community and environmental sustainability,  there is a rule derived from the words of Rasullulah SAW, al-kharaj bidh-dhaman, which means that effort is proportional to the results to be obtained, or it can also be understood as a risk which is directly proportional to return . In carrying out its activities, it must always pay attention to the interests of all, based on the principles of fairness and equality. So because of that; 1) Sharia business actors must provide opportunities for stakeholders to provide Banking in transactions so that shows the difference can be seen in the table below:

Implementation of Corporate Governance in IIFS, IFS should develop a
comprehensive governance policy framework that establishes the strategic roles and functions of each company organ and mechanismto balance IIFS 'responsibilities to various stakeholders. IIFS will be able to identify effectively the strategic roles and functions of each corporate organ and mechanisms to balance their accountability to various stakeholders. Also consider various elements of legislation, self-assessment , voluntary commitments and common business practices in a particular country's business environment, reflecting their needs and culture, enhancing technical expertise and in-depth knowledge of IIFS in relation to business operations. Adherence to a governance policy framework that refers to best practice will also allow the public to assess their compliance with national or internationally recognized corporate governance in a comparable manner.
Given the importance of adherence to the principles of good governance, IIFS must continuously strive to improve their corporate governance and must not hesitate to exceed society's expectations to achieve a strong competitiveness and reputation. In the context of the systemic stability of the financial system, IIFS good governance plays a roleimportant in maintaining public trust . ( www.ifsb.org ).
IIFS must follow governance standards that are recognized internationally as the first reference, namely OECD (Organization for Economic Co-operation and Development) and BCBS (Basel Committee on Banking Supervision) . And comply with the compliance circular / directive issued a supervisory authority, further following the guiding principles of complying with the rules and principles of Islamic Sharia. In this case the same as the implementation of corporate governance in Indonesia, which refers to the OECD and GGBS ( Good Governance Business Sharia) which refers to the principles of Shariah compliance ( shariah compliance ).
Each IIFS can adapt its corporate governance policy framework to suit its business model and does not neglect internationally recognized best practices (OECD) or in its own region / country (GGBS). The Board of Directors must establish a corporate governance committee to coordinate and integrate the implementation of the corporate governance policy framework. The corporate governance committee consists of; Audit Committee Members; Sharia Bachelor / Sharia Supervisory Board (DPS); and Non-executive director (selected based on experience and ability to contribute to the process).
The corporate governance committee is empowered to Supervise and monitor the implementation of the governance policy framework in collaboration with management, the Audit Committee and the Sharia Supervisory Board; Provide reports and recommendations to Directors based on their findings in carrying out their duties.
The roles and functions of the Corporate Governance Audit Committee (GCG) should not duplicate or overlap. Considering that the Audit Committee has a very demanding mandate and is burdened by its main responsibilities, avoiding getting involved with internal conflicts , the Corporate Governance Audit Committee should focus on its company. A Corporate Governance Committee must have relevant skills and experience in the area of their responsibility.
IIFS ( Institutions offering only Islamic Financial Services ) must recognize the right of the IAH ( Investment Account Holder ) to monitor investment performance and associated risks , and implement adequate means to ensure that these rights are observed and implemented. In developing their investment strategy on behalf of IAH, IIFS must carefully consider the return investment by having a know-your-customer mechanism.
The IAH right to monitor their investment performance should not be mistaken as the right to interfere in investment management by IIFS. IIFS is always aware of their responsibility to IAH in ensuring that investment accounts are managed according to the parameters of the given mandate (mudharabah principle). Because of the large responsibility, the IIFS has internal guidelines that regulate and establish; Eligibility for IIFS employees who

Methods
The methodology of this research is a descriptive qualitative approach from secondary data and collection techniques from literature studies with the following stages:

Compliance with Sharia Principles and Rules
IIFS must have a proper mechanism in place to get decisions from Sharīah scientists, Thus , sharia compliance is a form of compliance with Islamic banks in fulfilling sharia principles in their operations (Siti Maria Wardayati, 2011). Islamic bank is an Islamic financial institution that operates in accordance with the principles of Islamic sharia, the procedures for muamalat in Islam. Applied in the contracts used in Sharia Bank products to be issued and how the Islamic bank operates.Implementation of sharia compliance in Islamic Banks: 1. There is no usury in bank transactions; Riba literally means additional. The meaning of added in the context of usury is additional money on capital obtained in a way that is not justified by syara ' , whether the additional amounts to a little or a lot. Riba is often translated by people in English as usury, which means the act of lending money at an exorbitant or illegal rate of interest , while fiqh scholars define usury as excess assets in a muamalah with no compensation (Muhammad, 2002 (Muhammad Rawas, et al, 1988in Akhmad Faozan, 2015. Islamic banks are considered trustworthy if they explain the acquisition price of goods and the profit desired in murabahah financing, ask for profit sharing from customers according to actual income in mudharabah and musyarakah financing and report their financial reports to depositors 6. The Bank manages zakat, infaq, and shadaqah according to syar'i provisions ; Zakat is part of the assets that must be issued by taxpayers ( muzakki ) for delivery to zakat recipients (mustahiq) (Rizal, et al, 2014). Meanwhile, infaq is the giving of wealth to others because they need help or don't need it (Muhammad, 1988in Akhmad Faozan, 2015. The shadaqah is a gift expecting a reward or reward from Allah (Muhammad, 1988 in Akhmad Faozan, 2015). Infaq and sadaqah referred to in benevolence funds are all types of infaq and sadaqah, both for which the allocation is determined specifically by the giver of infaq and sadaqah or not (Rizal, et al, 2014). international institution headquartered in Kuala Lumpur, Malaysia, which focuses its activities as an international standard setting institution in the field of regulation and supervision of Islamic finance, especially in preparing prudential and transparency standards for international Islamic financial institutions which include banking, markets capital, and Islamic insurance.

Islamic Financial Service Board
General approach to governance of the IFSB ( Islamic Financial Service Board ).
The corporate governance system is a system that is used to direct and control the company's activities, regulate the distribution of duties of the rights and obligations of stakeholders. To create added value for company stakeholders and create a level of public trust. IFSB (Islamic Financial Services Board), which is an international institution that aims to formulate Islamic finance infrastructure and standard Islamic financial instruments, focuses its activities as an International Standard Agency in the field of regulation and supervision of Islamic finance, especially in preparing prudential and transparency standards for financial institutions sharia, which includes Banking, Capital Market, and Sharia Insurance.
This IFSB principle guide can be used as a benchmark or guideline for Islamic Banking in Indonesia in implementing good and effective corporate governance. The following is a comprehensive governance policy framework that defines the strategic role and function of each organ of corporate governance and mechanisms to balance accountability to stakeholders: ( www.ifsb.org ) Within the governance policy framework, the IIFS must establish : 1. The strategic role and function of each company organ, including the Board of Directors, 5 (five) Committees, Executive Management, SSB, Internal and External Auditors; 2. The mechanism for balancing the accountability of each company organ to various stakeholders.