The compliance of disclosure with AAOIFI financial accounting standards
<h3>Purpose</h3><p dir="ltr">This paper aims to examine the compliance of disclosure with the financial accounting standards of the Accounting and Auditing Organisation for Islamic Financial Institutions’ (AAOIFI) related to Islamic financing products by Islamic banks in...
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2018
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| _version_ | 1864513526021750784 |
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| author | Jabir Al-Sulaiti (18068671) |
| author2 | A.A. Ousama (17075212) Helmi Hamammi (18068674) |
| author2_role | author author |
| author_facet | Jabir Al-Sulaiti (18068671) A.A. Ousama (17075212) Helmi Hamammi (18068674) |
| author_role | author |
| dc.creator.none.fl_str_mv | Jabir Al-Sulaiti (18068671) A.A. Ousama (17075212) Helmi Hamammi (18068674) |
| dc.date.none.fl_str_mv | 2018-07-09T03:00:00Z |
| dc.identifier.none.fl_str_mv | 10.1108/jiabr-10-2017-0144 |
| dc.relation.none.fl_str_mv | https://figshare.com/articles/journal_contribution/The_compliance_of_disclosure_with_AAOIFI_financial_accounting_standards/25303567 |
| dc.rights.none.fl_str_mv | CC BY 4.0 info:eu-repo/semantics/openAccess |
| dc.subject.none.fl_str_mv | Commerce, management, tourism and services Accounting, auditing and accountability Strategy, management and organisational behaviour Qatar Islamic banks Compliance AAOIFI Bahrain Accounting standards |
| dc.title.none.fl_str_mv | The compliance of disclosure with AAOIFI financial accounting standards |
| dc.type.none.fl_str_mv | Text Journal contribution info:eu-repo/semantics/publishedVersion text contribution to journal |
| description | <h3>Purpose</h3><p dir="ltr">This paper aims to examine the compliance of disclosure with the financial accounting standards of the Accounting and Auditing Organisation for Islamic Financial Institutions’ (AAOIFI) related to Islamic financing products by Islamic banks in Bahrain and Qatar.</p><h3>Design/methodology/approach</h3><p dir="ltr">The study measures compliance using disclosure indexes. The disclosure indexes include the three financial accounting standards of Murabaha, Mudaraba and Musharaka. The data are collected from the annual reports of 24 Islamic banks in Bahrain and Qatar over a period of 2012-2015.</p><h3>Findings</h3><p dir="ltr">The paper found that Islamic banks in Bahrain and Qatar comply with AAOIFI financial accounting standards related to Murabaha, Mudaraba and Musharaka. However, there was a level of non-compliance in both countries. In addition, it found that the extent of compliance had increased over the 2012-2015 period. Also, the Murabaha standard had the highest mean of compliance. Moreover, the results showed that the Islamic banks in Qatar tend to have more compliance of overall Murabaha and Mudaraba disclosures compared to the Islamic banks in Bahrain.</p><h3>Research limitations/implications</h3><p dir="ltr">The findings are preliminary and highlight that the issue is of high interest to Islamic banks and AAOIFI. Hence, it requires a detailed follow-up to form a complete picture that would assist AAOIFI and regulators gear their policies toward better quality disclosure by Islamic financial institutions. Even though the findings are encouraging, future research is recommended to enforce compliance with the AAOIFI financial accounting standards.</p><h3>Originality/value</h3><p dir="ltr">This is a pioneer empirical study that focuses on the level and trend of compliance with AAOIFI financial accounting standards related to the Islamic financing products of Murabaha, Mudaraba and Musharaka standards, especially in Qatar. Additionally, it is the first study comparing between the only two Gulf Cooperation Council (GCC) countries, i.e. Bahrain and Qatar, that mandatory apply the AAOIFI standards.</p><h2>Other Information</h2><p dir="ltr">Published in: Journal of Islamic Accounting and Business Research<br>License: <a href="https://creativecommons.org/licenses/by/4.0/" target="_blank">https://creativecommons.org/licenses/by/4.0/</a><br>See article on publisher's website: <a href="https://dx.doi.org/10.1108/jiabr-10-2017-0144" target="_blank">https://dx.doi.org/10.1108/jiabr-10-2017-0144</a></p> |
| eu_rights_str_mv | openAccess |
| id | Manara2_a5b84f800aa3fa41fa6f2e2030b7eee7 |
| identifier_str_mv | 10.1108/jiabr-10-2017-0144 |
| network_acronym_str | Manara2 |
| network_name_str | Manara2 |
| oai_identifier_str | oai:figshare.com:article/25303567 |
| publishDate | 2018 |
| repository.mail.fl_str_mv | |
| repository.name.fl_str_mv | |
| repository_id_str | |
| rights_invalid_str_mv | CC BY 4.0 |
| spelling | The compliance of disclosure with AAOIFI financial accounting standardsJabir Al-Sulaiti (18068671)A.A. Ousama (17075212)Helmi Hamammi (18068674)Commerce, management, tourism and servicesAccounting, auditing and accountabilityStrategy, management and organisational behaviourQatarIslamic banksComplianceAAOIFIBahrainAccounting standards<h3>Purpose</h3><p dir="ltr">This paper aims to examine the compliance of disclosure with the financial accounting standards of the Accounting and Auditing Organisation for Islamic Financial Institutions’ (AAOIFI) related to Islamic financing products by Islamic banks in Bahrain and Qatar.</p><h3>Design/methodology/approach</h3><p dir="ltr">The study measures compliance using disclosure indexes. The disclosure indexes include the three financial accounting standards of Murabaha, Mudaraba and Musharaka. The data are collected from the annual reports of 24 Islamic banks in Bahrain and Qatar over a period of 2012-2015.</p><h3>Findings</h3><p dir="ltr">The paper found that Islamic banks in Bahrain and Qatar comply with AAOIFI financial accounting standards related to Murabaha, Mudaraba and Musharaka. However, there was a level of non-compliance in both countries. In addition, it found that the extent of compliance had increased over the 2012-2015 period. Also, the Murabaha standard had the highest mean of compliance. Moreover, the results showed that the Islamic banks in Qatar tend to have more compliance of overall Murabaha and Mudaraba disclosures compared to the Islamic banks in Bahrain.</p><h3>Research limitations/implications</h3><p dir="ltr">The findings are preliminary and highlight that the issue is of high interest to Islamic banks and AAOIFI. Hence, it requires a detailed follow-up to form a complete picture that would assist AAOIFI and regulators gear their policies toward better quality disclosure by Islamic financial institutions. Even though the findings are encouraging, future research is recommended to enforce compliance with the AAOIFI financial accounting standards.</p><h3>Originality/value</h3><p dir="ltr">This is a pioneer empirical study that focuses on the level and trend of compliance with AAOIFI financial accounting standards related to the Islamic financing products of Murabaha, Mudaraba and Musharaka standards, especially in Qatar. Additionally, it is the first study comparing between the only two Gulf Cooperation Council (GCC) countries, i.e. Bahrain and Qatar, that mandatory apply the AAOIFI standards.</p><h2>Other Information</h2><p dir="ltr">Published in: Journal of Islamic Accounting and Business Research<br>License: <a href="https://creativecommons.org/licenses/by/4.0/" target="_blank">https://creativecommons.org/licenses/by/4.0/</a><br>See article on publisher's website: <a href="https://dx.doi.org/10.1108/jiabr-10-2017-0144" target="_blank">https://dx.doi.org/10.1108/jiabr-10-2017-0144</a></p>2018-07-09T03:00:00ZTextJournal contributioninfo:eu-repo/semantics/publishedVersiontextcontribution to journal10.1108/jiabr-10-2017-0144https://figshare.com/articles/journal_contribution/The_compliance_of_disclosure_with_AAOIFI_financial_accounting_standards/25303567CC BY 4.0info:eu-repo/semantics/openAccessoai:figshare.com:article/253035672018-07-09T03:00:00Z |
| spellingShingle | The compliance of disclosure with AAOIFI financial accounting standards Jabir Al-Sulaiti (18068671) Commerce, management, tourism and services Accounting, auditing and accountability Strategy, management and organisational behaviour Qatar Islamic banks Compliance AAOIFI Bahrain Accounting standards |
| status_str | publishedVersion |
| title | The compliance of disclosure with AAOIFI financial accounting standards |
| title_full | The compliance of disclosure with AAOIFI financial accounting standards |
| title_fullStr | The compliance of disclosure with AAOIFI financial accounting standards |
| title_full_unstemmed | The compliance of disclosure with AAOIFI financial accounting standards |
| title_short | The compliance of disclosure with AAOIFI financial accounting standards |
| title_sort | The compliance of disclosure with AAOIFI financial accounting standards |
| topic | Commerce, management, tourism and services Accounting, auditing and accountability Strategy, management and organisational behaviour Qatar Islamic banks Compliance AAOIFI Bahrain Accounting standards |