Abstract:
This study aimed to determine the factors that influence the MSME Financing Distribution of Indonesia Syariah banks period 2011-2016. This research has applied fixed effect model, used data taken from the bank’s financial reports. Syariah banks have responsibility in creating social welfare and can be done through the allocation of funding to MSME. The finding of this research, the MSME Financing Distribution conducted Syariah bank are partially and simultaneously affected simultaneously by the Inflation Rate, Gross Domestic Product (GDP) Rate, Non-Performing Financing (NPF) and Return On Asset (ROA). The variation of those four independent variables can explain 85.9% of the variation influence MSME Financing Distribution variable.