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This study aims to analyze the factors that influenced the stability of Islamic banks in Asia.

The panel data consisted of 16 Asian countries operating Islamic banks from 2010 to 2019. The data were analyzed through dynamic panel regression using Arellano–Bond generalized method of moments (GMM).

This study provides novel insights into the factors influencing the stability of Islamic banks in Asia. The findings suggest that past financial stability, liquidity risk, loan risk, inflation, gross domestic product, government effectiveness, rule of law and control of corruption are all significant contributors to Islamic bank stability. Notably, political stability, voice and accountability and regulatory quality did not show a significant association.

The current study’s focus was solely on Islamic bank stability in Asian countries, which leaves room for further exploration. Future research could benefit from expanding the scope to encompass all nations with active Islamic banking institutions. In addition, incorporating a broader range of macroeconomic variables, such as exchange rates, interest rates, profit-sharing equivalents and investment rates, could provide deeper insights into the factors influencing Islamic bank stability across diverse contexts.

This study has significant practical implications for policymakers, bank managers and regulatory authorities seeking to enhance the stability of Islamic banks in Asia. By implementing robust risk management frameworks, adopting prudent regulatory policies, and actively fostering economic growth, policymakers can create an environment conducive to the sustained development and prosperity of Islamic banking institutions. Notably, promoting good governance practices and instituting effective crisis prevention measures can further bolster the resilience of the Islamic banking sector, enabling it to play a more dynamic role in contributing to the overall development and welfare of Asian societies.

The findings of this study carry significant social implications, highlighting the need for governments in Asian countries to prioritize public policies that promote good governance and ethical practices within the banking industry. Such policies, coupled with efforts to attract foreign investments and foster a stable and transparent banking sector, have the potential to generate far-reaching positive effects on society. Through economic growth stimulated by a robust Islamic banking sector, Asian countries can create new employment opportunities, improve living standards and ultimately enhance the overall well-being of their citizens.

This study contributes to the ongoing discourse on Islamic banking stability by offering novel insights and expanding the empirical knowledge base in this field. The dual application of robust regression methodologies – namely, GMM dynamic panel data models – presents a unique analytical framework for investigating the complex interplay between diverse variables and Islamic bank stability. This methodological choice fosters deeper understanding of the dynamic relationships at play, advancing our understanding of how specific factors influence the sector's resilience and performance. In addition, the study uses rigorous empirical techniques and engages with the extant literature to provide fresh perspectives and nuanced interpretations of the findings, further solidifying its contribution to the field's originality and richness.

The purpose of this study is to investigate the integration of entrepreneurial spirit and multicultural values in Islamic education, particularly within the context of pesantren, and to understand its implications for educational practices and outcomes.

This study adopts a qualitative research approach, using literature review and analysis of empirical data to explore the intersection of entrepreneurial spirit and multicultural values in Islamic education. It incorporates findings from multiple sources, including scholarly articles, books and empirical studies, to provide a comprehensive understanding of the topic.

The findings reveal that the integration of entrepreneurial spirit and multicultural values in Islamic education empowers students economically, fosters innovation in teaching methods and promotes character development and business ethics. Moreover, it emphasizes appreciation for diversity, cross-cultural collaboration and social responsibility within the educational context. This integration creates an inclusive learning environment conducive to the development of entrepreneurial skills, innovation and ethical leadership.

Generalizability: the findings of this study may be limited in their generalizability due to the focus on specific multicultural Islamic educational institutions, potentially limiting the applicability of the results to broader educational contexts. Sample size and diversity: the study’s sample size and diversity may impact the representativeness of the findings. Future research could aim for larger and more diverse samples to enhance the robustness of the results. Methodological constraints: the reliance on certain research methods, such as surveys and interviews, may introduce biases or limitations in data collection. Researchers should consider using a variety of methodologies to triangulate findings and ensure comprehensive understanding. Time constraints: the study’s timeframe may have constrained the depth of analysis and limited the exploration of the long-term effects of entrepreneurship education on student development. Future research could adopt longitudinal approaches to address this limitation. Cultural context: the findings are contextualized within the cultural and educational landscape of multicultural Islamic institutions, which may limit their transferability to other cultural or religious contexts. Researchers should consider examining similar phenomena in diverse cultural settings. Resource constraints: resource limitations may have impacted the scope and depth of the research. Future studies could seek additional resources to conduct more extensive investigations and analyses. Bias and subjectivity: despite efforts to minimize bias, researchers’ subjectivity and potential biases in data interpretation and analysis cannot be entirely eliminated. Researchers should acknowledge and address their own biases transparently. Ethical considerations: the study may have encountered ethical challenges related to participant consent, confidentiality and cultural sensitivity. Future research should prioritize ethical guidelines and considerations to ensure the protection and well-being of participants. Addressing these limitations in future research endeavors can contribute to a more comprehensive understanding of the role and impact of entrepreneurship education in multicultural Islamic educational settings.

Practically, the study informs educational institutions, especially pesantren, about the benefits of integrating entrepreneurial spirit and multicultural values into their curriculum and pedagogical approaches. It offers insights into effective strategies for fostering entrepreneurship, innovation and intercultural competence among students.

The integration of entrepreneurial spirit and multicultural values in Islamic education has broader societal implications. It cultivates a generation of socially responsible and inclusive leaders capable of addressing global challenges with creativity and empathy. By promoting cultural understanding and collaboration, it contributes to building more harmonious and resilient communities.

This study is original in its comprehensive exploration of the intersection between entrepreneurial spirit and multicultural values in Islamic education, particularly within the context of pesantren. It offers fresh insights into how these dimensions can be integrated synergistically to enhance educational practices and outcomes.