Disclosure, Shariah governance and financial performance in Islamic banks

Purpose This study aims at investigating the impact of disclosure and Shariah governance on financial performance in MENASA (Middle East, North Africa Southeast Asia) Islamic banks. Design/methodology/approach We use Generalized Least Squares (GLS) regression models to check interdependence relationship between disclosure, 47 banks (IBs) from ten countries operating region. The sample period is 2012 2019. In these regressions models, Return Assets (ROA) Equity (ROE) are dependent variables. indicators independent factors. To measure governance, we three sub-indices, which Board Directors (BOD), Audit Committee (AC) Supervisory (SSB). Size, Leverage Age bank used as control also Method Moments (GMM) three-stage least squares (3SLS) estimations for robustness check. Findings Result shows a negative two measures IBs. Furthermore, far concerned, found that BOD AC, well SSB, have positive significant ROA ROE, respectively. reveals good had association with higher Originality/value paper considers both IBs adopt mandatory voluntary AAOIFI standards GLS method investigate ROE. Also, it uses GMM 3SLS It relevant researchers, policymakers stakeholders concerned IBs' performance.