The Implementation of Sharia Principles in Sharia Banking inDeveloping Micro, Smalland Medium Enterprises (MSMEs) in Southeast Sulawesi

This research is qualitative research to implement the principles of sharia in Islamic banking in Southeast Sulawesi. And the influence of Islamic principles in Islamic banking on MSMEs in Southeast Sulawesi. The data used are primary data and secondary data. The results showed that Islamic banking in Southeast Sulawesi against MSMEs in Southeast Sulawesi is implemented through financing with sharia principles consisting of Mudharabah principles, is financing the MSME sector with a profit-sharing process between PT BNI Syariah Kendari branch and the MSMEs who are customers, Musyarakat principle, is the principle of financing that is carried out to become working partners where MSMEs are willing to become partners of PT BNI Syariah Kendari branch and funds all business activities to achieve the desired results, and Murabahah principle is financing carried out in the form of buying and selling goods between PT BNI Syariah Kendari branch and MSME. Meanwhile, the principles of ijarah and ijarawah iqtina have not been applied due to a lack of knowledge and experience and the absence of a work program that underlies the principle of leasing in Islamic banking, which PT BNI Syariah Kendari implements. Through Islamic banking in Southeast Sulawesi, MSMEs have developed from year to year by showing the number of MSMEs through the mudharabah principle reaching 669 units, MSMEs through community principles reaching 252 units, and MSME through the murabahah principle reaching 202 units. It also proves that PT BNI Syariah Kendari has implemented Islamic banking in Southeast Sulawesi. Constraints hindering the application of sharia banking to the MSME sector in Southeast Sulawesi Internal constraints include (a) Lack of employee knowledge of sharia principles, (b) Sharia banking work programs that still follow some conventional banking programs, (c) Lack of activities marketing of Islamic banking products in Southeast Sulawesi and external constraints include (a) Lack of understanding of MSMEs towards Islamic banking, (b) The lack of MSME sector that implements Islamic sharia, (c) The number of MSMEs does not have complete business aspects and (d) Lack of MSME assets which can be used as capital and goods for sale and purchase and (e) some MSMEs always experience losses