PSYCHOLOGY AND EDUCATION (2021) 58(1): 298-301 ISSN: 00333077 298 www.psychologyandeducation.net Analysis of Sharia Performance Disclosures at Islamic Banks Ahim Abdurahim {ahim@umy.ac.id) Universitas Muhammadiyah Yogyakarta, Indonesia. ABSTRACT The purpose of this study is to analyze the ability of financial statements prepared based on PSAK Syariah in disclosing information related to sharia performance. Research uses a qualitative approach and phenomenological techniques to analyze data. Data obtained by documentations, observations and interviews. Informants were selected using the purposeful and snow balling methods. The informants used were directors, managers, accounting staff at Bank Barakah Sejahtera, Sharia Supervisory Board, OJK supervisors and National Sharia Board. The results showed that the financial statements prepared based on the PSAK Sharia could be analyzed to measure financial performance but could not be analyzed to measure sharia performance. The results of this study provide recommendations to the Indonesian Sharia Accounting Standards Board to review the Basic Framework of the Preparation and Presentation of Sharia Financial Reports. Keywords: PSAK sharia, sharia performance, phenomenology, sharia bank Article Received: 18 October 2020, Revised: 3 November 2020, Accepted: 24 December 2020 1 Introduction Research on sharia entities is generally conducted on topics related to financial performance, disclosure of social performance and compliance with sharia principles, but research that examines the disclosure of sharia performance in sharia entity reports is rarely conducted. Research on financial performance on Islamic entities has been widely carried out by several researchers, such as research conducted by Ahsan (2016). The research was conducted to examine the financial performance of three Islamic banks selected in Bangladesh in 2007-20014. Using the CAMEL model of financial performance measurement the results of the study indicate that the performance of the three banks is strong. Research on financial performance in Islamic banks has also been carried out by Hanif, Tariq, and Tahir (2012). The study was conducted by comparing the financial performance of 5 Islamic banks and 22 conventional banks in Pakistan. The results showed that in terms of profitability and liquidity the performance of conventional banking was better, whereas in terms of financing risk management and solvency, Islamic banking was better. Regarding the lack of research related to sharia performance of S. Ibrahim, Wirman, Alrazi, Nor, and Pramono (2004), argues that research on sharia performance is no less important than research on financial performance. This opinion is reinforced by Syafri Harahap (2003) which states that Muslim investors not only need information relating to financial indicators but also need information relating to sharia performance, namely information about conformity with sharia principles. Furthermore Syafri Harahap (2003) explains that in fact, the standards governing the disclosure of financial statements of sharia entities are incomplete, consequently the disclosure of financial statements for sharia entities uses the disclosure standards used in financial statements of conventional entities. Although AAOIFI has established accounting standards that include disclosure of financial statements, the resulting