Its first aim to know the application mudharabah in KSN JATIM and second to know how to minimize the risk of moral hazard in KSN JATIM. And the second how to minimize the risk of moral hazard on mudharabah financing in Shari’ah cooperative Nuri of East Java (KSN JATIM). Based on this, which becmes the subject of this research, the first that is how the implementation of financing mudharabah in sharia’ah cooperative Nuri of East Java (KSN JATIM) Plakpak of sub-district pegantenan pamekasan. ![]() Therefore, the Shari'ah financial institutions should be able to minimize the risk of loss in these high-risk financing in order to obtain profit in line with expectations and get the blessing. ![]() Thus in the moral problem hazard will be over who should deviate, why deviate and who is harmed as the result of certain actions. Moral hazard potential is huge because of the importance of each party. ![]() Financing is carried out by the Shari’ah Financial Institutions Party, both banks and non-bank financing is very vulnerable moreover financing mudharabah that is vulnerable to moral hazard or moral deviation (reckless).
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