TY  - JOUR
AB  - Purpose This paper aims to identify the effects of some corporate governance (CG) mechanisms and Shariah Supervisory Board (SSB) strength on the voluntary use of internal audit function (IAF) by Islamic banks in Sudan.Design/methodology/approach Based on Agency and Stakeholder Theories, this paper hypothesizes that IAF is likely used by Islamic banks with strong CG and Shariah governance systems. To test these hypotheses, we examine the annual reports of 14 Sudanese banks for a period of five years following the global financial crisis in 2008, using logistic regression analysis.Findings This paper found that IAF is likely used by Islamic banks with higher CG disclosure (CGD) and strong SSB. While the findings showed that the audit committee and IAF are likely used as substitutes, this paper also indicated that there is a negative association between levels of Unrestricted Investment Account Holders’ (UIAH) ownership and the use of IAF. However, the evidence of this study did not find any impact for the board of directors’ strength on the use of IAF.Research limitations/implications There may be better measures for some variables in the study model. Additionally, the restriction of the study sample to Sudanese banks may limit the generalization of the results. Therefore, future studies may refine the model and expand the sample to Islamic banks in other countries.Practical implications This paper highlights the importance of IAF for Shariah governance in Islamic banks. Moreover, the insignificant association between the use of IAF and the strength of board of directors has important implications for the board’s effectiveness in Islamic banks.Originality/value This is the first study to investigate the factors associated with the use of IAF by Islamic banks.
VL  - 11
IS  - 1
SN  - 1759-0817
DO  - 10.1108/JIABR-12-2016-0148
UR  - https://doi.org/10.1108/JIABR-12-2016-0148
AU  - Sulub Saed Ahmed
AU  - Salleh Zalailah
AU  - Hashim Hafiza Aishah
PY  - 2020
Y1  - 2020/01/01
TI  - Corporate governance, SSB strength and the use of internal audit function by Islamic banks: Evidence from Sudan
T2  - Journal of Islamic Accounting and Business Research
PB  - Emerald Publishing Limited
SP  - 152
EP  - 167
Y2  - 2024/05/09
ER  -