This document summarizes a study on the role of Islamic banks in local development in Indonesia. The study analyzed financial data from Islamic banks in 8 Indonesian provinces from 2005 to 2013 and found that while Islamic banks have grown financially, this growth has not necessarily reduced poverty at the macroeconomic level. Other factors like infrastructure, education, agriculture, and technology also impact poverty reduction. The study concludes that Islamic banks' role in development is still emerging and more expansion is needed to better serve communities in poverty. It recommends the government take a larger role in regulation to promote further growth of Islamic financial institutions.