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On Corporate Social Responsibility Of Islamic Financial Institutions

Author

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  • FAROOK, SAYD

    (Bahrain Institute of Banking and Finance (BIBF))

Abstract

This study proposes a structured definition of the social purpose of Islamic Financial Institutions (IFIs) derived from, among other things, Islamic principles of social equity and redistributive justice. It is posited that IFIs are meant to be socially responsible for two interrelated reasons: their status as a financial institution fulfilling a collective religious obligation and their exemplary position as a financial intermediary. Specific responsibilities within this dual role are also framed allowing for a clear structured logic for IFIs to implement policies.

Suggested Citation

  • Farook, Sayd, 2007. "On Corporate Social Responsibility Of Islamic Financial Institutions," Islamic Economic Studies, The Islamic Research and Training Institute (IRTI), vol. 15, pages 31-46.
    • Handle: RePEc:ris:isecst:0035
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    References listed on IDEAS

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    1. El-Gamal,Mahmoud A., 2009. "Islamic Finance," Cambridge Books, Cambridge University Press, number 9780521741262, January.
    2. Bassam Maali & Peter Casson & Christopher Napier, 2006. "Social reporting by islamic banks," Abacus, Accounting Foundation, University of Sydney, vol. 42(2), pages 266-289, June.
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    Cited by:

    1. Jusoh, Wan Noor Hazlina Wan & Ibrahim, Uzaimah, 2017. "Corporate Social Responsibility of Islamic Banks in Malaysia: Arising Issues," Islamic Economic Studies, The Islamic Research and Training Institute (IRTI), vol. 25, pages 155-172.
    2. Zakaria Ali Aribi & Thankom Arun, 2015. "Corporate Social Responsibility and Islamic Financial Institutions (IFIs): Management Perceptions from IFIs in Bahrain," Journal of Business Ethics, Springer, vol. 129(4), pages 785-794, July.
    3. Salman Bahoo & M. Kabir Hassan & Andrea Paltrinieri & Ashraf Khan, 2019. "A model of the Islamic sovereign wealth fund," Islamic Economic Studies, Emerald Group Publishing Limited, vol. 27(1), pages 2-22, August.
    4. Ataur Belal & Omneya Abdelsalam & Sardar Nizamee, 2015. "Ethical Reporting in Islami Bank Bangladesh Limited (1983–2010)," Journal of Business Ethics, Springer, vol. 129(4), pages 769-784, July.
    5. Kabir Hassan, M. & Chiaramonte, Laura & Dreassi, Alberto & Paltrinieri, Andrea & Piserà, Stefano, 2021. "The crossroads of ESG and religious screening on firm risk," Research in International Business and Finance, Elsevier, vol. 58(C).
    6. Ismail Ben Douissa & Tawfik Azrak, 2017. "Did the Attitude of Banks Towards Corporate Social Responsibility Reporting Change Since the Last Global Financial Crisis? A Comparative Study of Conventional and Islamic Banks in the United Arab Emir," International Journal of Economics and Financial Issues, Econjournals, vol. 7(4), pages 468-477.
    7. Elasrag, Hussein, 2015. "Corporate social responsibility in Islam," MPRA Paper 63670, University Library of Munich, Germany.
    8. Nurul Afzan Najid & Amirul Afif Muhamat & Mohamad Nizam Jaafar, 2024. "Integration of Islamic Finance with ESG Sustainability Efforts Evidence in Malaysia," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 8(12), pages 204-215, December.
    9. Amiruddin Ahamat, 2017. "Is Islamic Banking and Finance Doing Enough? Shaping the Sustainable and Socially Responsible Investment Community," Asian Social Science, Canadian Center of Science and Education, vol. 13(3), pages 170-170, March.
    10. Muhammad Bilal Zafar & Ahmad Azam Sulaiman, 2019. "Corporate social responsibility and Islamic banks: a systematic literature review," Management Review Quarterly, Springer, vol. 69(2), pages 159-206, June.
    11. Chengli Shu & Hammad Bin Azam Hashmi & Zhenxin Xiao & Syed Waqar Haider & Mishal Nasir, 2022. "How Do Islamic Values Influence CSR? A Systematic Literature Review of Studies from 1995–2020," Journal of Business Ethics, Springer, vol. 181(2), pages 471-494, November.
    12. Hassan, M. Kabir & Chiaramonte, Laura & Dreassi, Alberto & Paltrinieri, Andrea & Piserà, Stefano, 2022. "The religious fringe of Corporate Social Responsibility," International Review of Economics & Finance, Elsevier, vol. 80(C), pages 243-265.
    13. Kamla, Rania & Haque, Faizul, 2019. "Islamic accounting, neo-imperialism and identity staging: The Accounting and Auditing Organization for Islamic Financial Institutions," CRITICAL PERSPECTIVES ON ACCOUNTING, Elsevier, vol. 63(C).
    14. Lukman Ayinde Olorogun, 2015. "Ethics into Finance: The Level of Ethics in Islamic Insurance," International Journal of Economics and Empirical Research (IJEER), The Economics and Social Development Organization (TESDO), vol. 3(8), pages 361-370, August.
    15. Charfeddine, Lanouar & Najah, Ahlem & Teulon, Frédéric, 2016. "Socially responsible investing and Islamic funds: New perspectives for portfolio allocation," Research in International Business and Finance, Elsevier, vol. 36(C), pages 351-361.
    16. Elasrag, Hussein, 2015. "Corporate Social Responsibility: An Islamic Perspective," MPRA Paper 67537, University Library of Munich, Germany.

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