THE INFLUENCE OF ISLAMIC COMMERCIAL BANK’S LETTER OF CREDIT FINANCING AND EXCHANGE RATE TOWARDS INDONESIA'S EXPORTS FROM 2014 TO 2018 PENGARUH SUKUK, NILAI TUKAR TERHADAP EKPOR INDONESIA TAHUN 2014-2018

International trade activities become one of the important factors in economic growth. Compared to the implementation of domestic trade, international trade is much more complex. Thus, it is certain that both will be in trouble paying if the buyer has no foreign exchange (means of payment). Based on the above background the researcher presents financing through Islamic Commercial Banks. Besides, it is supported by additional economic variables named the exchange rate. The method used descriptive quantitative with secondary data collection techniques scattered on Central Statistics Agency (BPS) reports, Bank Indonesia (BI), and Financial Services Authority (OJK). The data analysis technique is Multiple Linear Regression based on OLS (Ordinary Least Square). The results of this research, that 1) Islamic Commercial Bank Letter of Credit (L/C) financing influnced exports by 10% and 90% influenced by other variables 2) Exchange rates influenced of 2% and the remaining 98% influenced by other variables 3) Letter of Credit (L/C) Financing Islamic Commercial Banks and foreign exchange rates can explain their influenced on export value by 21% while the remaining 79% are influenced by other variables.


A. INTRODUCTION
International trade activities are an important factor in economic growth (U. Ejiro Osiobe, 2019). There are at least two parties involved in international trade transactions, namely sellers and buyers. The transaction is a practice to sell goods (export) and the transaction to buy other production (import) (Roberto Bergami, 2007;43). So, if trading (buying and selling) was done it directly, where the sellers and buyers meet and negotiate the types of goods, prices, shipping methods, and payments, then there will be no difficulty in buying and selling.
Compared to the implementation of domestic trade, international trade is much more complex. The complexity such as the distinction between exporters and importers separated both geographically and geopolitically whereas goods must be sent and transported from one country to another through various regulations. In contrast, each country has its own languages, currencies, estimates and scales, legal differences in trade, even exporters and importers do not know one another. Thus, it is certain that both will experience difficulties in payment if the buyer does not have a foreign exchange (means of payment). Other difficulties if the importer has sent payment, the importer will face risks such as the goods purchased are not sent by the exporter, and the exporter has sent the goods, while the importer has not made the payment (Cyrielle Gaglio, 2017;39). So, to overcome this problem, bank services are needed to facilitate transactions. The system is known as a Letter of Credit (L/C) (Cyrielle Gaglio, 2017;92).
The factor influencing Indonesian exports are Islamic Commercial Bank L/C financing (HSBC, 2016;164)

B. RESEARCH METHOD
The research method used is a quantitative descriptive method, namely the method of data analysis in the form of numbers used to analyze and answer concisely and clearly about the influence and magnitude of the influence of an event and the problems that exist so that conclusions can be drawn. Data from this research method must be collected, presented and analyzed so that it can provide an overview. Numerical and objective data is a characteristic possessed by quantitative research methods. The facts or phenomena observed have an objective reality that can be measured (Carrie Williams, 2007;65). The data used in this study are secondary data which is primary data that has been processed and presented by primary data collectors or other parties,    Based on the above table, the correlation coefficient of 0.318058 is located at the coefficient interval of 0.20 -0.399, which means the level of relationship between L/C financing of Islamic Banks to Indonesian exports is low. Based on the above table, the correlation coefficient of 0.168431 is located at the interval coefficient of 0.00 -0.199, which means that the level of the relationship between foreign exchange rates and the acquisition of Indonesian exports is very low.
h. Based on the table above, a correlation coefficient of -0.437379 is obtained which means that individually the relationship level is weak inversely h. Test of The coefficient of determination (R2) The coefficient of determination used to determine how much the ability of independent variables to explain the dependent variable. Based on testing the coefficient of determination using E-views obtained the following output: