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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.

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.

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 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.

This study aims to explore the impact of instability on bank performance by examining how economic uncertainty interacts with the profitability of both Islamic and conventional banks (CBs) in Indonesia.

This study applies a quantitative methodology, applying dynamic linear analysis through autoregressive distributed lag estimation and leverages time-series data from Indonesia’s banks. Specifically, bank profitability is measured using income before taxes, whereas economic uncertainty is gauged by weighting macroeconomic factors through principal component analysis.

Economic uncertainty affects the profitability of both Islamic banks and CBs in Indonesia, with CBs being more negatively impacted than Islamic banks.

Economic uncertainty has a notably different impact on banks’ profitability in Indonesia, highlighting the critical need for stabilization measures to reinforce the foundations of the financial institution management system and integration policy frameworks.

Strengthening the management of integration policies should be prioritized to enhance financial stability in larger banks during economic uncertainty. Policymakers should focus on the profitability of CBs during periods of economic uncertainty as it has a bigger impact than the Islamic banking industry.

This study underscores the importance of sustainable development strategies in enhancing banking performance during periods of uncertainty. At the same time, studies examining the relationship between economic uncertainty and bank profitability remain limited, particularly when comparing Islamic banks and CBs in Indonesia.

This study aims to determine the effect of financial deepening on economic growth. It also investigates the role of the two political systems (i.e. democracy and monarchy) in supporting the effect between the two factors.

This paper adopts a dynamic panel regression model, i.e. generalized method of moments to answer the hypotheses. This paper uses data from 44 Islamic countries that are members of the Organization of Islamic Cooperation (OIC) for the period from 2010 to 2019.

This paper finds that financial deepening has an inverted U-shaped effect on economic growth. This means that financial deepening will only be effective at a certain threshold, if exceeded, it weakens economic growth. This negative effect is due to several reasons, such as high inflation, money supply, unproductive credit allocation and government policies. Furthermore, the political system facilitates the effect of financial deepening on economic growth. This finding becomes more valid as it is free from the endogeneity effect using two-stage least square tests.

The proxies used for economic growth and financial deepening in Islamic countries require refinement to improve their relevance and applicability. Furthermore, due to the unavailability of an easily accessible political system index, this paper is forced to use dummy variables.

The primary outcome of this research is to advocate for the establishment of effective governance within each member country of the OIC countries.

This study addresses the need to understanding how the effectiveness of the political system enhances financial deepening, thereby fostering economic growth.