ANALYSIS OF THE IMPLEMENTATION OF SHARIA AUDIT ON THE APPLICATION OF GOOD CORPORATE GOVERNANCE IN ISLAMIC BANKING

Abstract

This study is motivated by the suboptimal implementation of Good Corporate Governance (GCG) in Islamic banking, which is influenced by the effectiveness of Sharia auditing. This research aims to analyze the role of Sharia audit in supporting the implementation of GCG and to identify the factors affecting its effectiveness. The method used is a descriptive qualitative approach through a literature review, utilizing various secondary sources such as scientific journals, books, and relevant official documents. The data were analyzed using content analysis techniques to obtain a systematic understanding of the relationship between Sharia audit and GCG. The results of the study indicate that Sharia audit plays an important role in enhancing transparency, accountability, and compliance with Sharia principles. However, its implementation still faces several obstacles, such as limited auditor competence, the lack of standardized audit systems, and the suboptimal role of the Sharia Supervisory Board. Therefore, strengthening Sharia audit is a strategic step in improving the quality of governance in Islamic banking.