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1 – 5 of 5Syed Moudud-Ul-Huq, Kawsar Ahmed, Mohammad Ashraful Ferdous Chowdhury, Hafiz M. Sohail, Tanmay Biswas and Faisal Abbas
This study aims to investigate the relationship between capital regulation and risk-taking behavior (financial stability) concerning the impacts of the recent global (COVID-19…
Abstract
Purpose
This study aims to investigate the relationship between capital regulation and risk-taking behavior (financial stability) concerning the impacts of the recent global (COVID-19) crisis and diverse ownership structure.
Design/methodology/approach
The analysis uses an unbalanced panel data set from 32 commercial banks of Bangladesh for 2000–2020. The authors use the two-step system generalized method of moments and three-stage least squares to produce the study outcomes.
Findings
The robust results reveal that the relationship between capital regulation and risk (financial stability) is negative (positive) and bi-directional. More significantly, COVID-19 makes banks fragile and demands more capital to absorb risk. However, the effect of COVID-19 is heterogeneous when the authors consider ownership structure. Among the diverse ownership styles, Islamic and active shareholding show their controlling wheel on capital regulation and risk-taking aptitude (financial stability) during the global (COVID-19) crisis. In normal economic conditions, private banks and minority active shareholding can be a good determinant for capital regulation and risk (financial stability). On the other hand, state-owned and large banks have been found as less capitalized and highly risky.
Originality/value
This study is the pioneer in exploring capital regulation and risk toward the recent global (COVID-19) crisis.
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Redhwan Ahmed AL-Dhamari and Ku Nor Izah Ku Ismail
Existing studies on corporate governance mainly focus on how a strong governance system enhances the valuation of firms with cash holding or free cash flow agency problem. The…
Abstract
Purpose
Existing studies on corporate governance mainly focus on how a strong governance system enhances the valuation of firms with cash holding or free cash flow agency problem. The aims of this paper are threefold. First, it investigates the impact of surplus free cash flows (SFCF) on earnings predictability. Second, it investigates whether corporate governance variables moderate the negative impact of SFCF on earnings predictability. Finally, this study examines whether the ability of corporate governance to mitigate SFCF and improve the predictive value of earnings varies between large and small firms.
Design/methodology/approach
This paper uses heteroskedasticity-corrected least square regressions upon a sample of Malaysian listed firms.
Findings
This paper finds that firms with high SFCF experience less earnings predictability. It also indicates that earnings of firms with high SFCF are more predictable when institutional investors hold a large stake of shares and when a chairperson is independent. Finally, this paper reveals that the role of institutional and managerial ownership in mitigating agency conflict of free cash flow and improving earnings predictability is more prominent in larger firms. This study implies that investors still have reservations about the ability of boards to enhance earnings numbers in Malaysia, although efforts were taken to reform the corporate governance mechanisms following the Asian financial crisis.
Originality/value
This research is considered as the first attempt to examine the relationships between SFCF, corporate governance, firm size, and earnings predictability in a developing county such as Malaysia. The findings of this paper serve as a wake-up call to policy makers to evaluate the importance of governance structure in enhancing earnings predictability in emerging economies.
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Kawsar Uddin Mahmud and Nasrin Jabin
The Ukraine crisis, which began with Russia's military intervention, has violently jolted the modern world. The egregious Russian invasion of Ukraine, on the other hand, has…
Abstract
The Ukraine crisis, which began with Russia's military intervention, has violently jolted the modern world. The egregious Russian invasion of Ukraine, on the other hand, has arguably altered the trajectory of the world order. This whiff of war does not exclude any state because all states in the world system are economically, politically, and socially interconnected and dependent on one another. Bangladesh is also feeling the effects of the Ukraine crisis. The crisis has highlighted some challenging aspects of Bangladesh's foreign policy, testing the robustness and independence of its decision-making process regarding United Nations resolutions. Myanmar, like Bangladesh, has appeared befuddled in its response to the crisis. This paper examines how Bangladesh and Myanmar's foreign policy anticipated an unwanted labyrinth by the crisis, which made its moral credibility critical to some extent. Furthermore, the paper discusses how these two countries’ foreign policy trajectories became entangled at a difficult crossroads. We used secondary data sources backed up by scholarly works on Bangladesh and Myanmar foreign policy, relevant books, recent reports, and writings on the subject for this article. This paper also sheds light on Bangladesh's U-Turn in supporting and speaking out in support of the UN resolution on Ukraine's humanitarian crisis.
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Izra Berakon, Muhammad Ghafur Wibowo, Achmad Nurdany and Hendy Mustiko Aji
The increasing number of tourists in the Muslim world every year has encouraged digital business developers and the Sharia banking industry to integrate halal product and service…
Abstract
Purpose
The increasing number of tourists in the Muslim world every year has encouraged digital business developers and the Sharia banking industry to integrate halal product and service apps with the Sharia mobile banking system. The fourth wave of the industrial revolution has changed the consumer paradigm, creating a young generation that uses digital service transaction systems in their daily lives. This paper aims to investigate the factors that determine intention to use halal tourism apps amongst Muslim tourists to provide insights promoting the development of halal tourism in Indonesia.
Design/methodology/approach
The research was conducted using an online survey approach. The sample comprised 205 Muslim Millennial and Generation Z travellers. The data collected were analysed using partial least square structural equation modelling. There were three analysis stages: evaluation of the measurement model, assessment of the structural model and hypothesis testing.
Findings
The findings indicated that trust mediated the relationship between perceived ease of use and perceived usefulness on individual intentions and that halal knowledge positively and significantly impacted individual intentions. In contrast, religiosity was not a significant influence on individual intentions.
Originality/value
The paper expanded the technology acceptance model by incorporating the key constructs of halal knowledge, religiosity and trust into an integrated research framework; this represented a novel step, especially in the context of halal tourism. The finding that trust mediated the relationship between perceived ease of use and perceived usefulness fills a gap in previous research, which has rarely included the trust construct in technology acceptance models.
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Siong Min Foo, Nazrul Hisyam Ab Razak, Fakarudin Kamarudin, Noor Azlinna Binti Azizan and Nadisah Zakaria
This study comprehensively aims to review the key influential and intellectual aspects of spillovers between Islamic and conventional financial markets.
Abstract
Purpose
This study comprehensively aims to review the key influential and intellectual aspects of spillovers between Islamic and conventional financial markets.
Design/methodology/approach
The study uses the bibliometric and content analysis methods using the VOSviewer software to analyse 52 academic documents derived from the Web of Sciences (WoS) between 2015 and June 2022.
Findings
The results demonstrate the influential aspects of spillovers between Islamic and conventional financial markets, including the leading authors, journals, countries and institutions and the intellectual aspects of literature. These aspects are synthesised into four main streams: research between stock indexes; studies between stock indexes, oil and precious metal; works between Sukuk, bond and indexes; and empirical studies review. The authors also propose future research directions in spillovers between Islamic and conventional financial markets.
Research limitations/implications
Our study is subject to several limitations. Firstly, the authors only used the WoS database. Secondly, the study only includes papers and reviews written in English from the WoS. This study assists academic scholars, practitioners and regulatory bodies in further exploring the suggested issues in future studies and improving and predicting economic and financial stability.
Originality/value
To the best of the authors’ knowledge, no extant empirical studies have been conducted in this area of research interest.
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