The cost effectiveness, performance and Shariah supervisory board attributes in Islamic banks
Joint Authors
Naz, Iram
Siraj, Sahar
Shaykh, Rafi Allah
Faruqi, Muti Allah
Source
Journal of Islamic Business and Management
Issue
Vol. 12, Issue 1 (30 Jun. 2022), pp.79-94, 16 p.
Publisher
Riphah International University Riphah Centre of Islamic Business
Publication Date
2022-06-30
Country of Publication
Pakistan
No. of Pages
16
Main Subjects
Abstract EN
Purpose: This study emphasis on cost, which is the most essential form of efficiency that can be attained when a company identifies inputs that allow it to get the required results at the lowest possible cost.
This study concentration only on the Islamic banking sector in Pakistan and aims to observe the impact of cost efficiency on Islamic banks performance with moderating role of Shar¯ı‘ah Supervisory Board (SSB) attributes such as size, qualification, cross membership, expertise and annual change in composition.
Methodology: The study uses Data envelopment analysis technique to measure the cost efficiency of Islamic banks.
The data has been collected through 13 Islamic banks’ annual reports over the period of 2005 to 2018.
Bank performance has been measured using two indicators: return on asset and return on equity and the panel data regression analysis is employed.
Findings: The study reports a significant positive association among the cost efficiency and Islamic banks performance.
Additionally, the study also establishes that SSB attributes such as size of board, qualification, expertise , and cross membership, annual change in composition moderates the significant association among cost efficiency and Islamic banks performance in Pakistan.
Significance: This study has useful implications for managers and investors operating in international settings.
In addition, they will act as a source of information for policy makers and the top management of Islamic banking sector.
Academic researchers engaged in Islamic banking might get insight from this study by better understanding the importance of efficiency-enhancing components.
KAUJIE Classification: M10, P51 JEL Classification: G24, G31
American Psychological Association (APA)
Siraj, Sahar& Naz, Iram& Shaykh, Rafi Allah& Faruqi, Muti Allah. 2022. The cost effectiveness, performance and Shariah supervisory board attributes in Islamic banks. Journal of Islamic Business and Management،Vol. 12, no. 1, pp.79-94.
https://search.emarefa.net/detail/BIM-1429409
Modern Language Association (MLA)
Siraj, Sahar…[et al.]. The cost effectiveness, performance and Shariah supervisory board attributes in Islamic banks. Journal of Islamic Business and Management Vol. 12, no. 1 (2022), pp.79-94.
https://search.emarefa.net/detail/BIM-1429409
American Medical Association (AMA)
Siraj, Sahar& Naz, Iram& Shaykh, Rafi Allah& Faruqi, Muti Allah. The cost effectiveness, performance and Shariah supervisory board attributes in Islamic banks. Journal of Islamic Business and Management. 2022. Vol. 12, no. 1, pp.79-94.
https://search.emarefa.net/detail/BIM-1429409
Data Type
Journal Articles
Language
English
Notes
Includes bibliographical references : p. 91-94
Record ID
BIM-1429409