Paper short abstract:

This paper examines the views of Muslim employees working for Islamic Savings and Credit Cooperatives (BMTs) in Indonesia. It explores how Islamic morality guides their code of conduct. It argues that their work provides an opportunity to cultivate their ethical self in risky and insecure circumstances.

Paper long abstract:

Small and medium businesses account for 90 percent of employment opportunities in contemporary Indonesia (Tambunan 2011), but funding sources for the sector have been relatively limited. Since the mid-1990s Islamic Savings and Credit Cooperatives, commonly known as BMTs, have grown rapidly in urban Indonesia to fill the gap left by the formal banking sector. Their financial products are based on Islamic jurisprudence and cater for the business needs of urban small traders. The study of the Islamic economy has focused on Islamic financial products because they represent an example of the 'moral economy', or ethnically correct transactions in line with Islamic teaching. This paper, however, brings attention to the views of employees who work for BMTs. BMTs use exclusively Muslim employees and their professional training involves participation in Islamic study sessions. BMTs use few security precautions, contrary to the practice of the formal banking sector. For example, BMT marketing officers often carry large amounts of cash despite the fact that theft and corruption are rife. Based on anthropological fieldwork in the BMT sector in Indonesia, this paper will explore how Islamic morality guides the code of conduct of BMT employees. It will argue that working for BMTs assists them to become a better Muslim in their everyday life.This paper argues that work at BMTs is perceived by the employee as an opportunity to cultivate their ethical self in highly insecure and risky circumstances with the help of God.