The conflicts of interest inside the<i>Shari'a</i>supervisory board

Garas, Samy

doi:10.1108/17538391211233399

Cited by 48 publications

(18 citation statements)

References 13 publications

(7 reference statements)

Supporting

Mentioning

Contrasting

Order By: Relevance

“…He found that there are significant differences across the countries, which indicated that there are weaknesses to the existing international Sharia’ah governance requires more attention and improvement. Nathan Garas (2012) studied the conflicts of interest between the Sharia’ah board and board of directors. He concludes that the conflict of interest in the Sharia’ah board is significantly affected by the executive members.…”

Section: Literature Review and Hypothesis Developmentmentioning

confidence: 99%

Corporate governance, Sharia’ah governance and performance

Buallay

2019

I J Islam Mid East Fin and Mgt

View full text Add to dashboard Cite

Purpose The performance and effectiveness of governance principles continue to be a matter of concern (Mollah and Zaman, 2015). Focusing on differences between conventional and Islamic banks, this study aims to examine the relationship between governance and bank’s operational (return on assets [ROA]), financial (return on equity [ROE]) and market performance (Tobin’s q [TQ]). Design/methodology/approach This study examined 127 banks within the Mena countries for the 10 years 2007 through 2016, for a total of 1270 observations. The study’s independent variable is corporate governance principles; the dependent variables are ROA, ROE and TQ. Also, the study uses bank- and country-specific control variables to help measure the relationship between governance and bank performance. Findings The findings deduced from the empirical results demonstrate that Sharia’ah governance significantly influenced ROA and ROE. However, corporate governance significantly influenced TQ. Furthermore, the results indicated that there were differences between Sharia’ah governance and corporate governance with regard to operational, financial and market performance. Originality/value The study provides insights into the differences in the relationship between Sharia’ah governance, corporate governance and the improvement of performance, which might be used by both banks to re-adopt the governance practices in enhancing the operational, financial and market performance.

show abstract

Section: Literature Review and Hypothesis Developmentmentioning

confidence: 99%

Corporate governance, Sharia’ah governance and performance

Buallay

2019

I J Islam Mid East Fin and Mgt

View full text Add to dashboard Cite

show abstract

“…On the other hand, some other studies examine the impact of standards issued by Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) on disclosure of Islamic financial institutions in different countries. These standards promote transparency, disclosure and comparability of financial reporting of Islamic financial institutions across countries (Garas, 2012). Grais and Pellegrini (2006) argue that the implementation of AAOIFI standards increases the level of voluntary disclosures.…”

Section: Shari'ah Governance Disclosurementioning

confidence: 99%

Determinants ofShari’ahgovernance disclosure in financial institutions

Azid

Alnodel

2019

International Journal of Ethics and Systems

View full text Add to dashboard Cite

Purpose -This paper aims to investigate factors influencing Shari'ah governance disclosure (SGD) in financial institutions.Design/methodology/approach -Using content analysis approach, 46 annual reports published in 2015 by banks and insurance companies were investigated based on a self-constructed disclosure index.Findings -The results show that the average level of voluntary disclosure of Shari'ah governance in Saudi financial institutions is 11.7 per cent, which is lower than expectations Moreover, regression analysis shows that industry type, ownership structure and board composition significantly determine the extent of voluntary disclosure of Shari'ah governance. Local financial institutions which are owned by non-governmental agencies are more likely to disclose voluntarily their Shari'ah governance, in particular from the banking industry.Research limitations/implications -It also bridges the gap between theory and practice and can be used to practice economic and commercial impact in teaching to influence public policy in research contributing to the body of knowledge and especially for the insurance sector and government.Social implications -It provides guidance to the ethical investors and supports them in the decisionmaking process.Originality/value -This research extends the investigation of SGD into insurance sector in a country that has a general policy about adhering to Islamic principles. Financial institutions might go beyond the country affirmations to legitimate their identity in response to the society critiques about the issue. Accordingly, internal attributes and strategies of financial institutions may play a significant role in distinguishing its compliance with Islamic principles to respond to the society critiques about financial transactions.

show abstract

“…Several studies have discussed the CG from an Islamic perspective, current SG practices and issues, challenges of good SG, different SG models and systems across jurisdictions (see, e.g., Grais and Pellegrini, 2006a; Grais and Pellegrini, 2006b; Hasan, 2009; Nathan Garas and Pierce, 2010; Nathan, 2010; Hasan, 2011; Abdullah Saif Alnasser and Muhammed, 2012; Nathan Garas, 2012a, 2012b; Grassa, 2013; Hamza, 2013; Grassa and Matoussi, 2014b; Ayedh and Echchabi, 2015; Sulaiman et al , 2015; Grassa, 2015).…”

Section: Resultsmentioning

confidence: 99%

“…However, some of these studies are descriptive (see, e.g., Hasan, 2011; Grassa and Matoussi, 2014b), while some other studies are empirical (see, e.g., Nathan, 2010; Nathan Garas, 2012a). Despite the last two studies being empirical, they only focused on the SSB performance and function, and they did not link the SSB to the bank performance.…”

Section: Resultsmentioning

confidence: 99%

A systematic literature review on Sharī'ah governance mechanism and firm performance in Islamic banking

Nomran

Haron

2020

IES

View full text Add to dashboard Cite

PurposeThis paper aims to systematically review the existing studies on the relationship of Sharī'ah governance (SG), as represented by the Sharī'ah supervisory board (SSB), with firm performance of Islamic banks (IBs), to suggest opportunities for future research in this field.Design/methodology/approachBy adopting a systematic literature review, 21 empirical and theoretical papers published in Scopus concerning the relationship between SSB and performance of IBs were selected for review and analysis.FindingsIn light of the existing research studies' limitations, this paper suggests that the effect of SSB on IBs' performance still requires more empirical analyses using alternative analytical methods, alternative measures, and different periods (during crisis and non-crisis). Besides that, these studies should take into account the differences across jurisdictions in their SG models, the degree of agencies' intervention in SG practices, the control over cross-memberships of scholars, and the differences across IBs in the position of SSB in the organization structure.Practical implicationsThe analysis undertaken in this paper would address the literature gaps on the effect of SSB on IBs' performance as this study serves as a guide for the researchers, academicians, and interested researchers from Islamic international autonomous non-for-profit organizations, e.g. AAOIFI and IFSB in research related to this important area. Importantly, the findings of this study would support regulators and related authorities across jurisdictions with suggestions on improving the current SG practices.Originality/valueThis paper presents a critical review of the existing research on SSB and IB performance and suggests new variables, measurements, analytical methods, and new issues for researchers in this area. Thus, it identifies the literature gap that still needs further empirical investigation and a suitable way to close it.

show abstract

The conflicts of interest inside theShari'asupervisory board

Cited by 48 publications

References 13 publications

Corporate governance, Sharia’ah governance and performance

Corporate governance, Sharia’ah governance and performance

Determinants ofShari’ahgovernance disclosure in financial institutions

A systematic literature review on Sharī'ah governance mechanism and firm performance in Islamic banking

Contact Info

Product

Resources

About