The Relationship Between Sharia Governance and Social Performance of Islamic Banks: A Comparative Study Across Countries

Nurul Febryana, Zaenafi Ariani, Nur Fitri Hidayanti, Ahmad Hulaimi, Ahadiah Agustina, Abdul Wahab, Novi Yanti Sandra Dewi, Adi Supriadi

Abstract


Abstract: This study aims to examine the relationship between sharia governance and the social performance of Islamic banks through a library research approach with an integrative literature review method. This study reviews various scientific literature published between 2015 and 2024 from reputable databases such as Google Scholar, Scopus, DOAJ, and Scispace. By following the PRISMA model, 25 relevant articles were selected and analyzed thematically. The results of the study indicate a significant relationship between sharia governance which includes compliance with sharia principles, transparency, and accountability and improving the social performance of Islamic banks. A comparative study between Indonesia and Malaysia reveals that differences in regulations, the role of the Sharia Supervisory Board (SSB), and social financial management also affect the achievement of social performance. Instruments such as the Islamicity Performance Index (IPI) and the Maqashid Syariah Index confirm that effective governance practices can encourage more optimal social contributions. This study provides a conceptual contribution to the understanding of the relationship between governance and social goals in Islamic banking, and offers a basis for developing more adaptive institutional policies and practices across countries.


Keywords


Sharia Governance, Social Performance, Islamic Bank, Integrative Literature Review, Sharia Supervisory Board, Islamicity Performance Index, Maqashid Syariah.

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References


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