The effect of board of directors and sharia supervisory board on zakat funds at Islamic banks in indonesia
Ataina Hudayati,
Ihsan Muhamad and
Marfuah Marfuah
Cogent Business & Management, 2023, vol. 10, issue 2, 2231206
Abstract:
The purpose of this study was to analyze the impact of corporate governance on the distribution of zakat funds by Islamic banks in Indonesia. The study focused on two elements of governance: the characteristics of the board of directors (BOD) and the sharia supervisory board (SSB). Data were extracted from the annual reports of Islamic banks in Indonesia from 2011 to 2020 and analyzed using panel data regression in EViews. The results showed that the size and remuneration of the BOD and the size of the SSB had a significant positive effect on zakat funds, while the reputation of the SSB had no effect. This study contributes to the literature on the role of governance in improving the performance of Islamic banks by providing empirical evidence of the link between governance and increased zakat funds. While previous research has primarily focused on the role of governance in financial performance, this study highlights the importance of governance in the context of social responsibility. The practical implication of this study is that Islamic banks wishing to improve social performance, namely zakat funds, should consider designing a large BOD and large SSB structure, while also considering increasing BOD remuneration.
Date: 2023
References: Add references at CitEc
Citations: View citations in EconPapers (1)
Downloads: (external link)
http://hdl.handle.net/10.1080/23311975.2023.2231206 (text/html)
Access to full text is restricted to subscribers.
Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:taf:oabmxx:v:10:y:2023:i:2:p:2231206
Ordering information: This journal article can be ordered from
http://cogentoa.tandfonline.com/journal/OABM20
DOI: 10.1080/23311975.2023.2231206
Access Statistics for this article
Cogent Business & Management is currently edited by Len Tiu Wright and Tahir Nisar
More articles in Cogent Business & Management from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().