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The effectiveness of Sukuk (Islamic bonds) financing on the financial stability of Islamic banks: an empirical evidence from Malaysia
Joint Authors
Ledhem, Muhammad Ayyub
Musawi, Wardah
Source
Revue Algérien de Développement Économique
Issue
Vol. 9, Issue 2 (31 Dec. 2022), pp.335-346, 12 p.
Publisher
Publication Date
2022-12-31
Country of Publication
Algeria
No. of Pages
12
Main Subjects
Economy and Commerce
Islamic Economics and Finance
Topics
Abstract EN
This paper aims to investigate empirically the impact of Sukuk (Islamic bonds) financing on the financial stability of Islamic banking in Malaysia.
this paper applied bootstrap quantile regression as an optimal estimation approach to investigate the impact of Sukuk financing on the financial stability of Islamic banking in Malaysia spanning from 2013q4 to 2019q3.
Sukuk financing was proxied by the total issued Sukuk holdings, while the financial stability of Islamic banking was calculated by the z-score formula.
the sample covered all full-fledged Islamic financial institutions in Malaysia.
the findings demonstrated that Sukuk financing is enhancing the financial stability of Islamic banking in Malaysia which reflects the significant role of the Islamic financial markets of Sukuk as a vital contributor to financial stability.
this paper would fill the literature by investigating the role of Sukuk financing on the financial stability of Islamic banking in Malaysia as a successful experiment, as the outcome of this paper serves as a guide for financial researchers, decision-makers, and policymakers to improve the Sukuk market globally as an alternative financing source for the best contribution to the financial stability of Islamic banking and the economic stability.
American Psychological Association (APA)
Musawi, Wardah& Ledhem, Muhammad Ayyub. 2022. The effectiveness of Sukuk (Islamic bonds) financing on the financial stability of Islamic banks: an empirical evidence from Malaysia. Revue Algérien de Développement Économique،Vol. 9, no. 2, pp.335-346.
https://search.emarefa.net/detail/BIM-1466779
Modern Language Association (MLA)
Musawi, Wardah& Ledhem, Muhammad Ayyub. The effectiveness of Sukuk (Islamic bonds) financing on the financial stability of Islamic banks: an empirical evidence from Malaysia. Revue Algérien de Développement Économique Vol. 9, no. 2 (Dec. 2022), pp.335-346.
https://search.emarefa.net/detail/BIM-1466779
American Medical Association (AMA)
Musawi, Wardah& Ledhem, Muhammad Ayyub. The effectiveness of Sukuk (Islamic bonds) financing on the financial stability of Islamic banks: an empirical evidence from Malaysia. Revue Algérien de Développement Économique. 2022. Vol. 9, no. 2, pp.335-346.
https://search.emarefa.net/detail/BIM-1466779
Data Type
Journal Articles
Language
English
Notes
Includes appendices : p. 342-344
Record ID
BIM-1466779