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This paper aims to examine the role of Islamic banks’ (IBs) governance in the management of investment funds. This is achieved by comparing the returns to shareholders with those to the Unrestricted Profit-Sharing Iinvestment Account Holders (UPSIAHs), referred to as the spread.

This study is based on a dynamic panel data analysis using the generalized method of moments for a panel of IBs based in Gulf Cooperative Council (GCC) and Southeast Asian (SEA) countries observed over the 2006–2019 period.

The authors find that governance quality reduces the spread of SEA-IBs compared to GCC-IBs, suggesting that Asian banks have access to a wider choice of investment and growth options. The authors also find a positive association between GCC-based IBs governance quality and the widening spread between returns to shareholders and UPSIAHs, which suggests that while IBs are enhancing profitability through better governance, this may not lead to fair profit-sharing with UPSIAHs.

It would be beneficial to expand the sample to include more representative IBs from various countries.

The widening spread between returns to shareholders and UPSIAHs makes the latter feel displaced, which could eventually exacerbate the displaced commercial risk. This highlights the need for targeted governance reforms and investment strategies to better align the interests of stakeholders, thereby improving bank performance and mitigating financial disparities.

This paper is, to the best of the authors’ knowledge, the first to empirically examine the effect of various governance mechanisms on the spread between returns to shareholders and Unrestricted Profit-Sharing Investors’ Account Holders (UPSIAHs) in IBs.

The current study intends to explore the internal control effectiveness through leadership who follow rules and emphasize accountability with support from management. It also examines the influence of organizational culture. Current research aims to enhance the internal control effectiveness in organizations by examining leadership roles, support from management and organizational culture specifically in the segment of accounting and finance.

The study surveys professionals from the accounting and finance segment to accumulate insights into the influence of leadership, management support and organizational culture on internal control effectiveness. Statistical tools were applied by using the AMOS and SPSS program to draw practical recommendations for the optimization of internal control mechanisms.

The findings direct that internal control effectiveness is positively linked to rule-following and accountability leadership while presenting a negative association with top management support. Prominently, organizational culture demonstrates a central moderating role, highlighting its significant influence on internal control effectiveness.

The study provides real-world insights to aid accounting and finance professionals in implementing effective internal controls. The findings provide actionable recommendations for top management to improve organizational practices and financial processes.

The unique combination of exploring leadership impact, top management support and organizational culture adds value to existing knowledge. The findings provide a novel perspective for practitioners and researchers seeking to enhance internal control mechanisms in organizational settings.

This study aims to analyse the research themes in Islamic finance, assess the extent to which Sustainable Development Goals (SDGs) can be achieved through implementing Islamic financial principles and explore the potential for reshaping human behaviour under an Islamic framework. The research aims to establish a paradigm that evaluates the role of Islamic finance in fostering social justice, environmental sustainability and ethical governance as a sustainable alternative to the capitalist system.

This research employs a comprehensive literature review and thematic analysis to assess the alignment of Islamic finance with SDGs. Secondary data from peer-reviewed academic articles (2016–2024) were collected and analysed using an inductive thematic approach. Key themes include Islamic finance, maqasid ash-shariah and the role of Islamic finance in sustainable development. A conceptual framework is proposed to depict how Islamic financial practices can contribute to the SDGs.

The study identifies that Islamic finance, rooted in Shariah principles, offers a robust foundation for fostering social justice, ethical governance and environmental sustainability. By integrating zakat, donations, private investments and socially responsible investments, the Islamic financial model aligns with SDGs, addressing poverty (SDG 1), reducing inequality (SDG 10) and promoting sustainable economic growth (SDG 8). The findings underscore the potential of Islamic finance to address capitalism’s shortcomings, such as income inequality and unsustainable practices, while advocating for a paradigm shift in human behaviour through adherence to Islamic values.

Policymakers and financial institutions can leverage the insights from this research to design and implement Islamic financial models that promote equitable resource allocation, sustainable development and ethical practices. The framework offers a practical guide for integrating Islamic finance into conventional financial systems to achieve SDGs.

The study contributes to the existing literature by presenting a novel conceptual framework that integrates Islamic finance with sustainable development goals. It offers a unique perspective on transitioning from capitalism to an Islamic financial model, emphasizing behavioural and ideological changes to achieve equitable and sustainable economic outcomes.

This study aims to develop a comprehensive sustainability performance index tailored for Takaful operators. It integrates Maqasid Al-Shariah’s principles with key stakeholders’ expectations, ensuring a holistic evaluation of sustainability practices.

The index is formulated through a multi-step process, beginning with a thorough literature review to identify pertinent economic, social, environmental and religious indicators. Using a Multi-Attribute Utility Theory approach, the process incorporates expert consultations, stakeholder workshops and the analytical hierarchy process. The framework amalgamates diverse sustainability attributes, focusing on regulatory compliance, financial performance, customer satisfaction, workplace environment and community engagement. The final index is tested with data from various Takaful operators to validate its reliability and robustness.

The newly developed index effectively captures the multifaceted aspects of sustainability specific to Takaful operators, offering a balanced assessment across economic, social, environmental and religious dimensions. Findings suggest that while Takaful operators excel in community welfare and ethical compliance areas, there are notable gaps in integrating environmental and social governance factors. The index successfully highlights these gaps, providing a structured framework to enhance the sustainability practices of Takaful operators. Initial applications of the index reveal significant variability in sustainability performance among Takaful operators, pointing to areas needing improvement.

The development of the index is limited by the availability and quality of data from Takaful operators. Future research should aim to improve data collection methods and expand the index’s application to a broader range of operators.

Takaful operators can use the index as a transparent and objective tool to evaluate and improve their sustainability practices, facilitating better decision-making and strategic planning towards achieving sustainable development goals.

By incorporating Maqasid Al-Shariah and stakeholder perspectives, the index promotes socially responsible and ethically sound business practices within the Takaful industry, aligning with broader societal values and expectations.

This paper introduces the first comprehensive sustainability performance index specifically designed for Takaful operators, integrating religious principles with conventional sustainability metrics. The index provides substantial value for researchers, practitioners and policymakers dedicated to enhancing sustainability in the Islamic finance sector.

This study aims to explore the strategic integration of Sharia-compliant and environmental, social and governance (ESG)-focused investments within global equity portfolio optimization frameworks, with a particular emphasis on variance minimization and dynamic rebalancing techniques.

The research uses historical data from Sharia-compliant, ESG-focused and conventional equity exchange-traded funds (ETFs). Advanced mean-variance optimization methodologies via quadratic programming are employed, encompassing static optimization with and without a 50% cap on individual asset weights, dynamic optimization with monthly rebalancing and rolling window optimization.

Portfolios integrating Sharia-compliant investments frequently outperform those composed solely of conventional equity ETFs. Dynamic optimization with monthly rebalancing achieved the highest Sharpe ratio (1.3708) and demonstrated enhanced portfolio resilience during market turbulence, such as the COVID-19 pandemic. Sharia-compliant investments showed substantial allocations during key periods, with weights reaching up to 100% in the first half of 2020. In contrast, ESG-focused investments exhibited more limited and sporadic allocations, reflecting a more opportunistic role in the portfolio.

The findings reaffirm the critical role of Sharia-compliant investments in well-diversified, risk-conscious portfolios while also providing nuanced insights into the more selective integration of ESG-focused assets. The results offer practical guidance for portfolio managers seeking to integrate ethical and sustainable investment principles within advanced portfolio optimization frameworks, particularly when focusing on minimizing variance and dynamically responding to evolving market conditions.

The study contributes to the growing body of literature on ethical and sustainable investments, demonstrating that it is possible to balance ethical considerations with robust financial performance. The research underscores the potential for Sharia-compliant investments to play a significant role in global portfolios, potentially fostering greater financial inclusion and cross-cultural understanding in the investment community.

This research provides novel insights by focusing on Sharia-compliant investments within non-Muslim countries, an area that has been relatively underexplored. It also compares the outcomes of static, dynamic and rolling optimizations, highlighting the dynamic interplay between ethical investment principles and financial performance.

The purpose of this article is to investigate the influence that firm-specific characteristics, such as organisational capabilities, risk management methods and stakeholder relationships, have on political risks (PRs) that are associated with multinational construction projects in Pakistan.

The methodology employed in this investigation involved the acquisition of data through the use of questionnaires administered to experts in the construction industry. The research applied a quantitative method, and the sources of the data are from the Pakistani stakeholders. One hundred questionnaires were used for the data collection during field visits. Based on the data, it has been ensured that the valid questionnaires were utilised, and the data were tested for validity and reliability. The analysis tool utilised was SPSS software. For the questionnaire, a total of 15 firm-specific factors were considered in order to design the survey, which specifically targeted the identified features. The factors identified as risks were investigated using quantitative method to determine firm-specific risks.

It was found that when stakeholders have a better grasp of these dynamics, they are better able to strengthen their resilience and efficacy in managing PRs, which ultimately increases the likelihood that the project will be successful.

International construction projects (ICPs) in emerging countries are substantially impacted by PRs, which can have a considerable impact on their success and sustainability. The study is localised and not generic as it is limited to Pakistan, and the risk factors considered are firm-specific but related to PRs.

By identifying key risk factors, these firms can develop targeted risk management strategies, leading to enhanced decision-making and more efficient resource allocation. Effective strategies include diversification, local partnerships and comprehensive risk assessments tailored to the unique challenges faced by international contracting firms in Pakistan.

ICPs in emerging countries like Pakistan face critical problems, which include the presence of PRs. Although the larger political environment plays a significant part, the manner in which businesses navigate and mitigate PRs is also influenced by firm-specific elements.

The study is novel in terms of the factors looked at, the data, the conceptual framework and the findings of the study. The dynamic political scene, which is characterised by instability, policy changes, corruption and geopolitical conflicts, poses significant dangers to the timeliness of projects, the expenses of such projects and the investments that are made in those projects.

Structural equation modelling (SEM) is a universal statistical tool used in different disciplines to visualise and validate multiple correlations concurrently. However, the potential application of SEM in construction management studies is less defined within the existing literature. Hence, the present paper reviews and organise the scattered knowledge on SEM applications in the construction management research domain along with the gaps and emerging areas.

This study followed a step methodological approach including (1) journal selection, (2) relevant paper selection and (3) qualitative analysis to obtain a comprehensive overview of SEM applications in the construction management area. The present paper reviews the 262 SEM-based articles published in 17 selected peer-reviewed journals from 2014 to 2024, June.

Yearly publication trends have identified the steady growth of SEM-related publications over time, with notable publication growth observed starting in 2020. Safety management and green or sustainable construction are the most popular SEM applications in this field. The study findings further stated that CB-SEM via AMOS and PLS-SEM using Smart-PLS software were the widely applied tools in SEM applications. Furthermore, reviewed articles highlight certain discrepancies between the main SEM approaches in terms of research methods, model creation and assessment. The latter part of the study includes a detailed explanation of the common issues and recommendations for using SEM.

The study gives an insightful guidance framework for future researchers interested in SEM in construction management.

This study aims to present insights for the preparation of ethical practices in the banking industry of gulf cooperation council (GCC) countries for profit maximization. This study presented information regarding ethical banking practices to determine to which extent banks in GCC countries practiced ethics.

This study followed a mixed-method approach, including both qualitative and quantitative data. For quantitative, data were collected from senior managers employed in 52 leading Islamic and conventional banks across the GCC countries, including the banks in the Kingdom of Bahrain and also from the banks in Kuwait. However, for qualitative analysis, an interview with an Islamic banking specialist was conducted.

The findings of both, qualitative and results from answer of respondents and quantitative results, that is, 91% of respondents strongly agreed that Islamic banks are more committed to ethical investments of projects, revealed that Islamic banks follow more ethical practices than conventional banks. Therefore, the mean score for EBP4 is 4.55 with moderate SD of 1.267. This statistical evidence is in favor that Islamic banks follow more ethical principles.

Respondents were recruited randomly, and the samples consisted of only senior executives and not customers. Because of time and resource limitations, these executives were a sample of conventional and Islamic banks in the GCC only and not from other regions.

The results of this study provided valuable insights to conventional financial institutions, enabling them to enhance their operations as Islamic banks align with more ethical standards.

The research originality lies in its contribution for GCC countries by presenting a comparative view. This study defined and compared similarities and differences of Islamic and conventional banks to indicate how Islamic banks particularly implement more ethical standards than conventional banks.

The purpose of this paper is to build a relationship between the quantitative and structural indicators of maqashid sharia studies produced from bibliometric analysis and the conceptual discussion developed through a thorough review of selected key literature.

The study uses bibliometric analysis, collecting information drawn from 219 articles published in 68 journals during the period of 2006–2022. This study uses VOSviewer, RStudio, Microsoft Excel, and an examination of research time periods using the Scopus database to illustrate the citation analysis and keyword map. It is also strengthened by content analysis of selected studies.

The main research theme found in this study is the application of maqashid sharia in Islamic banks, with Islamic banks and Islamic finance among the most frequently used keywords. Meanwhile, the geographical spread of maqashid sharia research has reflected its universal acceptance, as it has spread across both Muslim-dominant and non-Muslim-dominant countries. Besides, maqashid sharia is found to be an extremely important subject for ensuring the ethical dimension of Islamic finance products and services, a more inclusive human development index, and contributing to the international agenda of Sustainable Development Goals. Lastly, future research is expected to broaden it into a multi-dimensional horizon, with several recommendations offered to enrich the understanding of maqashid sharia.

The findings of this study can be beneficial to multiple stakeholders in Islamic finance industry, including the management of Islamic banks, who can enhance the values of maqashid sharia in designing their products/services, and the regulators, who can formulate regulatory frameworks which are reflective of maqashid sharia principles.

This study will assist future scholars in this field to formulate and design exciting research ideas and models to address the deficiencies found in the current implementation of maqashid sharia within Islamic finance industry.

The primary contribution of this study is to provide comprehensive review and discussion of selected significant literature on maqashid sharia and give direction for future research. In addition, this study also extends and incorporates the results of bibliometrics using the recent maqashid sharia studies published at the end of 2022.

This study aims to examine whether corporate culture and stakeholder type influence the level of corporate social responsibility disclosure (CSRD) and, if so, the motivations behind this.

An experimental method was adopted in this study to achieve the research objectives by evaluating the perceptions and motivations for CSRD among 120 participants (financial managers and accountants) from 50 financial institutions listed on Boursa Kuwait.

Results indicate that perceptions of CSRD are strongly affected by stakeholder type but not corporate culture. When these two factors are considered jointly, they do not affect the level of CSRD. Regarding motivations, participants from Conventional Financial Institutions seek legitimacy by opting to provide higher levels of CSRD to both shareholders and the general public than those from Islamic Financial Institutions.

This study has implications for three groups: institutions, society and accountants. Each group plays a crucial role in how financial institutions practicing corporate social responsibility (CSR).

Few studies have compared CSR practices between these two types of institutions, with most being descriptive. To the best of the author’s knowledge, this study is the first to use an experimental approach, which controls for all potential factors determining CSRD.