Corporate Governance System and Its Role in Activating Islamic Bank’s Management and Supervision
International Journal of Finance and Banking Research
Volume 2, Issue 3, June 2016, Pages: 116-120
Received: Jan. 23, 2016;
Accepted: May 17, 2016;
Published: Jun. 30, 2016
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Orobah Ali Barghouthi, Faculty of Business and Economics, Department of Banking & Finance, Alquds University, Abu Dis, Palestine
Mohammed Bayyoud, Faculty of Business and Economics, Department of Banking & Finance, Alquds University, Abu Dis, Palestine
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This paper examines corporate governance (CG) characteristics and relates them to earnings management (EM) behaviours in the context of a large emerging sector, Islamic banking industry. Main differences are found with regard to philosophical aspects, including objectives of the bank, natures of contract involved, key players in theCG practice as well as the relationships between the players. We verified that these aspects provide strong justification for an additional layer in the CG of an Islamic bank being the Shari'ah Supervisory Board (SSB). The mechanism and tools for the effective implementation of CG are relatively the same as the conventional system.
Corporate Governance, Islamic Bank, Management and Supervision
To cite this article
Orobah Ali Barghouthi,
Corporate Governance System and Its Role in Activating Islamic Bank’s Management and Supervision, International Journal of Finance and Banking Research.
Vol. 2, No. 3,
2016, pp. 116-120.
Copyright © 2016 Authors retain the copyright of this article.
This article is an open access article distributed under the Creative Commons Attribution License (http://creativecommons.org/licenses/by/4.0/
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