Purpose: This study analyzes the contribution of exports and imports to Gross Domestic Product (GDP) from an Islamic economics perspective, using a comparative study between Indonesia and Malaysia (2019–2024). Methodology/approach: A quantitative approach using panel data regression analyzes annual secondary data from BPS, DOSM, and the World Bank through OLS, FEM, and REM, with the best model determined by the Hausman test. Results/findings: The study finds that exports and imports together significantly affect national income in both countries. The Random Effects Model (REM) is the most suitable, with an R² of 0.997. From an Islamic economic perspective, halal and productive exports are commendable as they reflect maslahah and ikhtiar, while productive imports are permissible but consumption-driven imports should be regulated to maintain istiqlal (economic independence). Conclusions: Simultaneous export and import activities significantly affect both countries’ national income, though individually insignificant. In Islamic economics, productive exports are encouraged, and productive imports are allowed as long as they do not undermine the ummah’s economic independence. Limitations: The study spans six years and two countries, limiting analytical significance, and excludes key variables such as investment, fiscal policy, and political stability. Contribution: This study enriches the literature by integrating empirical trade analysis with Islamic principles, providing insights for policymakers to develop value-based trade strategies that foster ethical growth and economic sovereignty.

Purpose: This study aims to analyze and compare the financial risks of Islamic Rural Banks (BPRS) and Conventional Rural Banks (BPR) in Indonesia, focusing on liquidity and credit risks. The objective is to provide a comprehensive understanding of risk management patterns and performance differences between these two types of banks. Methodology/approach: This study aims to analyze and compare the financial risks of Islamic Rural Banks (BPRS) and Conventional Rural Banks (BPR) in Indonesia, focusing on liquidity and credit risks. The data analysis used is time series analysis with the ARIMA method. Results/findings: The findings reveal that BPRS generally maintains higher liquidity ratios with lower liquidity risk compared to BPR, although both bank types exhibit credit risk above the recommended threshold. The forecasting results indicate that BPRS is likely to maintain its liquidity and reduce non-performing financing in the coming period, while BPR faces declining liquidity and persistent non-performing loan issues. Conclusion: Islamic and conventional rural banks show different financial risk profiles, with conventional banks facing higher liquidity and loan risks, while Islamic banks generally maintain stronger liquidity but remain exposed to financing risks. Limitations: This study is limited by its focus on quantitative indicators and historical data, without incorporating qualitative or macroeconomic factors. The use of ARIMA may not fully capture sudden structural changes or regulatory impacts. Contribution: The study offers insights for improving risk management and compares Islamic and conventional rural banks in a developing country.

Purpose: This study aims to analyze the effect of government spending, GRDP and investment on income inequality in Indonesia: The Islamic Economic Perspective Study on the area of Sumatra island in 2014-2023. Methodology/approach: The objective of this descriptive-verification quantitative study is to analyze cause-and-effect relationships and test the hypothesis of the effect of government spending, GRDP, and investment on income inequality (Gini ratio) in all provinces of Sumatra Island from 2014 to 2023. Result: That government spending and GRDP partially negatively influence income inequality in Indonesia, but investment does not affect income inequality in Indonesia. Conclusion: From an Islamic economic perspective, this inequality can be analyzed through the principles of distributive justice, social welfare, and Islamic economic instruments such as zakat, infaq, sadaqah, and waqf. Islamic economics emphasizes the principle of justice in income distribution and social welfare. Islam prohibits inequality and consistently emphasizes justice, as stated in the word of Allah in Surah Al-Hasyr verse 7, which states that Islam strictly forbids the concentration of wealth in the hands of only a few. Limitation: This research is only focused on the Sumatra Island region, which includes provinces such as Aceh, North Sumatra, West Sumatra, Riau, Riau Islands, Jambi, Bengkulu, South Sumatra, Bangka Belitung, and Lampung. Contribution: This research enriches the scientific literature in the field of development economics and Islamic economics by examining the relationship between government expenditure, Gross Regional Domestic Product (GRDP), and investment on income inequality, particularly in the Sumatra Island region during the period 2014–2023.