CSR in Islamic Financial Institution : A Literature Review
DOI:
https://doi.org/10.30993/tifbr.v11i2.122Keywords:
CSR, Islamic Financial Institution, literature reviewAbstract
This study aims to provide a literature review of previous research related to Corporate Social Responsibility (CSR) in Islamic Financial Institution (IFI). This study contains review of 53 published articles throughout 2006-2016, both in the Islamic economic and financial journal and general journal. The literature review is presented into 5 sections, (a) review by journal and publication year, (b) by research type, (c) by methodology used, (d) by research topics and (e) by theme and region. Based on the review by publication year, it shows that the concept of CSR is still a fairly new topic. Most of the studies is still dominated by qualitative research with literature review method. The majority topic is still limited to the general review of the existing CSR practices, which are descriptively presented only. The results of this study are expected to provide a research mapping of CSR in Islamic Financial Institution, so it can inspire the subsequent research to explore potential areas related to this topic. This attempt becomes increasingly necessary, with regards to the rapid development of Islamic business and finance practices around the world.References
Abbasi, T. H. (2012). Corporate Social Responsibility Disclosure: A Comparison Between Islamic and Conventional Financial Institutions in Bahawalpur Region. Research Journal of Finance and Accounting, Vol. 3(3).
Aguinis, H., and Glavas, A. (2012). What We Know and Don’t Know About Corporate Social Responsibility A Review and Research Agenda. Journal of Management, Vol. 38(4): 932-968.
Ahmad, K., and Sadeq, A. H. M. (2002). Islamic Ethics in A Changing Environment for Managers. Ethics in Business and Management: Islamic and Mainstream Approaches: 97-109.
Alamer, A. R. A. et al. (2015). A New Business Process and Outcome Oriented Corporate Social Responsibility Index for Islamic Banking. International Journal of Economics and Financial Issues, Vol. 5.
Alamer, A. R. A., et al. (2015). CSR's Measuring Corporate Social Responsibility Practice in Islamic Banking: A Review. International Journal of Economics and Financial Issues, Vol. 5(1S).
Alamer, A. R. A., Salamon, H. B., Qureshi, M. I., and Rasli, A. M. (2015). How do We Measure Corporate Social Responsibility of Islamic Banks through their Business Processes and Oriented Outcomes?. International Journal of Economics and Financial Issues, Vol. 5.
Aribi, Z. A., and Arun, T. (2015). Corporate Social Responsibility and Islamic Financial Institutions (IFIs): Management Perceptions from IFIs in Bahrain. Journal of Business Ethics, Vol. 129(4): 785-794.
Aribi, Z. A., and Gao, S. (2010). Corporate Social Responsibility Disclosure: A Comparison between Islamic and Conventional Financial Institutions. Journal of Financial Reporting and Accounting, Vol. 8(2): 72-91.
Aribi, Z. A., and Gao, S. S. (2011). Narrative Disclosure of Corporate Social Responsibility in Islamic Financial Institutions. Managerial Auditing Journal, Vol. 27(2): 199-222.
Aziz, M. N., and Mohamad, O. B. (2016). Islamic Social Business to Alleviate Poverty and Social Inequality. International Journal of Social Economics, Vol. 43(6): 573-592.
Basah, M. Y. A., and Yusuf, M. M. (2013). Islamic Bank and Corporate Social Rresponsibility (CSR). European Journal of Business and Management, Vol. 5(11): 194-209.
Burke, L., and Logsdon, J. M. (1996). How Corporate Social Responsibility Pays Off. Long Range Planning, Vol. 29(4): 495-502.
Cebeci, I. (2012). Integrating The Social Maslaha into Islamic Finance. Accounting Research Journal, Vol. 25(3): 166-184.
Darus, F. et al. (2014). Corporate Social Rresponsibility Towards The Community: Evidence from Islamic Financial Institutions in Malaysia. International Journal of Green Economics, Vol. 8(3-4): 273-287.
Darrag, M., and E-Bassiouny, N. (2013). An Introspect into The Islamic Roots of CSR in The Middle East: The Case of Savola Group in Egypt. Social Responsibility Journal, Vol. 9(3): 362-378.
Deegan, C. (2002). Introduction: The legitimising Effect of Social and Environmental Disclosures–a Theoretical Foundation. Accounting, Auditing and Accountability Journal, Vol. 15(3): 282-311.
Di Bella, V., and Al-Fayoumi, N. (2016). Perception of Stakeholders on Corporate Social Responsibility of Islamic Banks in Jordan. EuroMed Journal of Business, Vol. 11(1): 30-56.
Dusuki, A. W. (2008). What does Islam Say about Corporate Social Responsibility. Review of Islamic Economics, Vol. 12(1): 5-28.
Dusuki, A. W., and Abdullah, N. I. (2007). Maqasid Al-shari'ah, Maslahah and Corporate Social Responsibility. The American Journal of Islamic Social Sciences (AJISS), Vol. 24(1): 25-45.
El-Halaby, S., and Hussainey, K. (2015). The Determinants of Social Accountability Disclosure: Evidence from Islamic Banks Around The World. International Journal of Business, Vol. 20(3): 202-223.
El Mousaid, F., and Boutti, R. (2012). Relationship between Corporate Social Responsibility and Financial Performance in Islamic Banking. Research Journal of Finance and Accounting, Vol. 3(10): 93-103.
Farook, S., Kabir Hassan, M., and Lanis, R. (2011). Determinants of Corporate Social Responsibility Disclosure: The Case of Islamic Banks. Journal of Islamic Accounting and Business Research, Vol. 2(2): 114-141.
Haniffa, R.M. and Cooke, T.E. (2005). The Impact of Culture and Governance on Corporate Social Reporting. Journal of Accounting Public and Policy, Vol. 24: 391-430.
Haniffa, R., and Hudaib, M. (2007). Exploring The Ethical Identity of Islamic Banks Via Communication in Annual Reports. Journal of Business Ethics, Vol. 76(1): 97-116.
Hashim, F., Mahadi, N. D., and Amran, A. (2015). Corporate Governance and Sustainability Practices in Islamic Financial Institutions: The Role of Country of Origin. Procedia Economics and Finance, Vol. 31: 36-43.
Hassan, A., and Salma Binti Abdul Latiff, H. (2009). Corporate Social Responsibility of Islamic Financial Institutions and Businesses: Optimizing Charity Value. Humanomics, Vol. 25(3): 177-188.
Hassan, A., and Syafri Harahap, S. (2010). Exploring Corporate Social Responsibility Disclosure: The Case of Islamic Banks. International Journal of Islamic and Middle Eastern Finance and Management, Vol. 3(3): 203-227.
Hoque, Z. (2014). 20 Years of Studies on The Balanced Scorecard: Trends, Accomplishments, Gaps and Opportunities for Future Research. The British Accounting Review, Vol. 46(1): 33-59.
Jo, H., and M.A. Harjoto. (2011). Corporate Governance and Firm Value: The Impact of Corporate Social Responsibility. Journal of Business Ethics, Vol. 103: 351–383. Available at: DOI 10.1007/s10551-011-0869-y.
Johnston, A. (2011). Facing Up to Social Cost: The Real Meaning of Corporate Social Responsibility. Griffith Law Review, Vol. 20(1): 221-244.
Kamla, R., and G. Rammal, H. (2013). Social Reporting by Islamic Banks: Does Social Justice Matter?. Accounting, Auditing and Accountability Journal, Vol. 26(6): 911-945.
Kamla, R., Gallhofer, S., and Haslam, J. (2006). Islam, Nature and Accounting: Islamic Principles and The Notion of Accounting for The Environment. In Accounting Forum (Elsevier), Vol. 30(3): 245-265.
Khan, M. M. (2016). CSR Standards and Islamic Banknig Practice: A Case of Meezan Bank of Pakistan. The Journal of Developing Areas, Vol. 50(5): 295-306.
Khan, Z., Ferguson, D., and Pérez, A. (2015). Customer Responses to CSR in The Pakistani Banking Industry. International Journal of Bank Marketing, Vol. 33(4): 471-493.
Khurshid, M. A. et al. (2014). Developing an Islamic Corporate Social Responsibility Model (ICSR). Competitiveness Review, Vol. 24(4): 258-274.
Lewis, L., and Unerman, J. (1999). Ethical Relativism: A Reason for Differences in Corporate Social Reporting?. Critical Perspectives on Accounting, Vol. 10(4): 521-547.
Maali, B., Casson, P., and Napier, C. (2006). Social Reporting by Islamic Banks. Abacus, Vol. 42(2): 266-289.
Mallin, C., Farag, H., and Ow-Yong, K. (2014). Corporate Social Responsibility and Financial Performance in Islamic Banks. Journal of Economic Behavior and Organization, Vol. 103: S21-S38.
Maulan, S. et al. (2016). Measuring Halal Brand Association (HalBA) for Islamic Banks. Journal of Islamic Marketing, Vol. 7(3): 331-354.
Mostafa, R. B. et al. (2016). Exploring The Mechanism of Consumer Responses to CSR Activities of Islamic Banks: The Mediating Role of Islamic Ethics Fit. International Journal of Bank Marketing, Vol. 34(6): 940-962.
Mohammed, J. A. (2007). Corporate Social Responsibility in Islam. Thesis. Auckland University of Technology.
Nobanee, H., and Ellili, N. (2016). Corporate Sustainability Disclosure in Annual Reports: Evidence from UAE Banks: Islamic Versus Conventional. Renewable and Sustainable Energy Reviews, Vol. 55: 1336-1341.
Nor, S. M., Rahim, R. A., and Senik, Z. C. (2016). The Potentials of Internalising Social Banking among The Malaysian Islamic Banks. Environment, Development and Sustainability, Vol. 18(2): 347-372.
Platonova, E. et al. (2016). The Impact of Corporate Social Responsibility Disclosure on Financial Performance: Evidence from The GCC Islamic Banking Sector. Journal of Business Ethics: 1-21.
Rahman, A R. A. (2010). Islamic microfinance: an ethical alternative to poverty alleviation. Humanomics, 26(4), 284-295.
Rashid, M. et al. (2013). Customer-Centric Corporate Social Responsibility: A Framework for Islamic Banks on Ethical Efficiency. Management Research Review, Vol. 36(4): 359-378.
Rice, G. (1999). Islamic Ethics and The Implications for Business. Journal of Business Ethics, Vol. 18(4): 345-358.
Sairally, B. S. (2013). Evaluating The Corporate Social Performance of Islamic Financial Institutions: An Empirical Study. International Journal of Islamic and Middle Eastern Finance and Management, Vol. 6(3): 238-260.
Sobhani, F. A., Zainuddin, Y., and Amran, A. (2011). Religion as An Emerging Institutional Factor Behind Sustainability Disclosure Practices in Bangladesh: The Case of An Islamic Bank. World Journal of Social Sciences, Vol. 1(1): 69-85.
Sujana, A. (2015). The Extent of Corporate Social Responsibility Engagement in Malaysian Banks Offering Islamic Banking Services. Journal of Internet Banking and Commerce, Vol. 20(2): 1.
Tafti, S. F., Hosseini, S. F., and Emami, S. A. (2012). Assessment The Corporate Social Responsibility According to Islamic Values (Case Study: Sarmayeh Bank). Procedia-Social and Behavioral Sciences, Vol. 58: 1139-1148.
Wajdi Dusuki, A., and Irwani Abdullah, N. (2007). Why do Malaysian customers Patronise Islamic Banks?. International Journal of Bank Marketing, Vol. 25(3): 142-160.
Wardayati, S. M. (2016). Implementing Islamic Corporate Governance (ICG) and Islamic Social Reporting (ISR) in Islamic Financial Institution (IFI). Procedia-Social and Behavioral Sciences, Vol. 219: 338-343.
Yusoff, H., and Darus, F. (2014). Mitigation of Climate Change and Prevention of Pollution Activities: Environmental Disclosure Practice in Islamic Financial Institutions. Procedia-Social and Behavioral Sciences, Vol. 145: 195-203.
Zain, M. M., Darus, F., and Ramli, A. (2015). Islamic Ethical Practices and The Marketplace: Evidence from Islamic Financial Institutions. Procedia Economics and Finance, Vol. 28: 266-273.
Aguinis, H., and Glavas, A. (2012). What We Know and Don’t Know About Corporate Social Responsibility A Review and Research Agenda. Journal of Management, Vol. 38(4): 932-968.
Ahmad, K., and Sadeq, A. H. M. (2002). Islamic Ethics in A Changing Environment for Managers. Ethics in Business and Management: Islamic and Mainstream Approaches: 97-109.
Alamer, A. R. A. et al. (2015). A New Business Process and Outcome Oriented Corporate Social Responsibility Index for Islamic Banking. International Journal of Economics and Financial Issues, Vol. 5.
Alamer, A. R. A., et al. (2015). CSR's Measuring Corporate Social Responsibility Practice in Islamic Banking: A Review. International Journal of Economics and Financial Issues, Vol. 5(1S).
Alamer, A. R. A., Salamon, H. B., Qureshi, M. I., and Rasli, A. M. (2015). How do We Measure Corporate Social Responsibility of Islamic Banks through their Business Processes and Oriented Outcomes?. International Journal of Economics and Financial Issues, Vol. 5.
Aribi, Z. A., and Arun, T. (2015). Corporate Social Responsibility and Islamic Financial Institutions (IFIs): Management Perceptions from IFIs in Bahrain. Journal of Business Ethics, Vol. 129(4): 785-794.
Aribi, Z. A., and Gao, S. (2010). Corporate Social Responsibility Disclosure: A Comparison between Islamic and Conventional Financial Institutions. Journal of Financial Reporting and Accounting, Vol. 8(2): 72-91.
Aribi, Z. A., and Gao, S. S. (2011). Narrative Disclosure of Corporate Social Responsibility in Islamic Financial Institutions. Managerial Auditing Journal, Vol. 27(2): 199-222.
Aziz, M. N., and Mohamad, O. B. (2016). Islamic Social Business to Alleviate Poverty and Social Inequality. International Journal of Social Economics, Vol. 43(6): 573-592.
Basah, M. Y. A., and Yusuf, M. M. (2013). Islamic Bank and Corporate Social Rresponsibility (CSR). European Journal of Business and Management, Vol. 5(11): 194-209.
Burke, L., and Logsdon, J. M. (1996). How Corporate Social Responsibility Pays Off. Long Range Planning, Vol. 29(4): 495-502.
Cebeci, I. (2012). Integrating The Social Maslaha into Islamic Finance. Accounting Research Journal, Vol. 25(3): 166-184.
Darus, F. et al. (2014). Corporate Social Rresponsibility Towards The Community: Evidence from Islamic Financial Institutions in Malaysia. International Journal of Green Economics, Vol. 8(3-4): 273-287.
Darrag, M., and E-Bassiouny, N. (2013). An Introspect into The Islamic Roots of CSR in The Middle East: The Case of Savola Group in Egypt. Social Responsibility Journal, Vol. 9(3): 362-378.
Deegan, C. (2002). Introduction: The legitimising Effect of Social and Environmental Disclosures–a Theoretical Foundation. Accounting, Auditing and Accountability Journal, Vol. 15(3): 282-311.
Di Bella, V., and Al-Fayoumi, N. (2016). Perception of Stakeholders on Corporate Social Responsibility of Islamic Banks in Jordan. EuroMed Journal of Business, Vol. 11(1): 30-56.
Dusuki, A. W. (2008). What does Islam Say about Corporate Social Responsibility. Review of Islamic Economics, Vol. 12(1): 5-28.
Dusuki, A. W., and Abdullah, N. I. (2007). Maqasid Al-shari'ah, Maslahah and Corporate Social Responsibility. The American Journal of Islamic Social Sciences (AJISS), Vol. 24(1): 25-45.
El-Halaby, S., and Hussainey, K. (2015). The Determinants of Social Accountability Disclosure: Evidence from Islamic Banks Around The World. International Journal of Business, Vol. 20(3): 202-223.
El Mousaid, F., and Boutti, R. (2012). Relationship between Corporate Social Responsibility and Financial Performance in Islamic Banking. Research Journal of Finance and Accounting, Vol. 3(10): 93-103.
Farook, S., Kabir Hassan, M., and Lanis, R. (2011). Determinants of Corporate Social Responsibility Disclosure: The Case of Islamic Banks. Journal of Islamic Accounting and Business Research, Vol. 2(2): 114-141.
Haniffa, R.M. and Cooke, T.E. (2005). The Impact of Culture and Governance on Corporate Social Reporting. Journal of Accounting Public and Policy, Vol. 24: 391-430.
Haniffa, R., and Hudaib, M. (2007). Exploring The Ethical Identity of Islamic Banks Via Communication in Annual Reports. Journal of Business Ethics, Vol. 76(1): 97-116.
Hashim, F., Mahadi, N. D., and Amran, A. (2015). Corporate Governance and Sustainability Practices in Islamic Financial Institutions: The Role of Country of Origin. Procedia Economics and Finance, Vol. 31: 36-43.
Hassan, A., and Salma Binti Abdul Latiff, H. (2009). Corporate Social Responsibility of Islamic Financial Institutions and Businesses: Optimizing Charity Value. Humanomics, Vol. 25(3): 177-188.
Hassan, A., and Syafri Harahap, S. (2010). Exploring Corporate Social Responsibility Disclosure: The Case of Islamic Banks. International Journal of Islamic and Middle Eastern Finance and Management, Vol. 3(3): 203-227.
Hoque, Z. (2014). 20 Years of Studies on The Balanced Scorecard: Trends, Accomplishments, Gaps and Opportunities for Future Research. The British Accounting Review, Vol. 46(1): 33-59.
Jo, H., and M.A. Harjoto. (2011). Corporate Governance and Firm Value: The Impact of Corporate Social Responsibility. Journal of Business Ethics, Vol. 103: 351–383. Available at: DOI 10.1007/s10551-011-0869-y.
Johnston, A. (2011). Facing Up to Social Cost: The Real Meaning of Corporate Social Responsibility. Griffith Law Review, Vol. 20(1): 221-244.
Kamla, R., and G. Rammal, H. (2013). Social Reporting by Islamic Banks: Does Social Justice Matter?. Accounting, Auditing and Accountability Journal, Vol. 26(6): 911-945.
Kamla, R., Gallhofer, S., and Haslam, J. (2006). Islam, Nature and Accounting: Islamic Principles and The Notion of Accounting for The Environment. In Accounting Forum (Elsevier), Vol. 30(3): 245-265.
Khan, M. M. (2016). CSR Standards and Islamic Banknig Practice: A Case of Meezan Bank of Pakistan. The Journal of Developing Areas, Vol. 50(5): 295-306.
Khan, Z., Ferguson, D., and Pérez, A. (2015). Customer Responses to CSR in The Pakistani Banking Industry. International Journal of Bank Marketing, Vol. 33(4): 471-493.
Khurshid, M. A. et al. (2014). Developing an Islamic Corporate Social Responsibility Model (ICSR). Competitiveness Review, Vol. 24(4): 258-274.
Lewis, L., and Unerman, J. (1999). Ethical Relativism: A Reason for Differences in Corporate Social Reporting?. Critical Perspectives on Accounting, Vol. 10(4): 521-547.
Maali, B., Casson, P., and Napier, C. (2006). Social Reporting by Islamic Banks. Abacus, Vol. 42(2): 266-289.
Mallin, C., Farag, H., and Ow-Yong, K. (2014). Corporate Social Responsibility and Financial Performance in Islamic Banks. Journal of Economic Behavior and Organization, Vol. 103: S21-S38.
Maulan, S. et al. (2016). Measuring Halal Brand Association (HalBA) for Islamic Banks. Journal of Islamic Marketing, Vol. 7(3): 331-354.
Mostafa, R. B. et al. (2016). Exploring The Mechanism of Consumer Responses to CSR Activities of Islamic Banks: The Mediating Role of Islamic Ethics Fit. International Journal of Bank Marketing, Vol. 34(6): 940-962.
Mohammed, J. A. (2007). Corporate Social Responsibility in Islam. Thesis. Auckland University of Technology.
Nobanee, H., and Ellili, N. (2016). Corporate Sustainability Disclosure in Annual Reports: Evidence from UAE Banks: Islamic Versus Conventional. Renewable and Sustainable Energy Reviews, Vol. 55: 1336-1341.
Nor, S. M., Rahim, R. A., and Senik, Z. C. (2016). The Potentials of Internalising Social Banking among The Malaysian Islamic Banks. Environment, Development and Sustainability, Vol. 18(2): 347-372.
Platonova, E. et al. (2016). The Impact of Corporate Social Responsibility Disclosure on Financial Performance: Evidence from The GCC Islamic Banking Sector. Journal of Business Ethics: 1-21.
Rahman, A R. A. (2010). Islamic microfinance: an ethical alternative to poverty alleviation. Humanomics, 26(4), 284-295.
Rashid, M. et al. (2013). Customer-Centric Corporate Social Responsibility: A Framework for Islamic Banks on Ethical Efficiency. Management Research Review, Vol. 36(4): 359-378.
Rice, G. (1999). Islamic Ethics and The Implications for Business. Journal of Business Ethics, Vol. 18(4): 345-358.
Sairally, B. S. (2013). Evaluating The Corporate Social Performance of Islamic Financial Institutions: An Empirical Study. International Journal of Islamic and Middle Eastern Finance and Management, Vol. 6(3): 238-260.
Sobhani, F. A., Zainuddin, Y., and Amran, A. (2011). Religion as An Emerging Institutional Factor Behind Sustainability Disclosure Practices in Bangladesh: The Case of An Islamic Bank. World Journal of Social Sciences, Vol. 1(1): 69-85.
Sujana, A. (2015). The Extent of Corporate Social Responsibility Engagement in Malaysian Banks Offering Islamic Banking Services. Journal of Internet Banking and Commerce, Vol. 20(2): 1.
Tafti, S. F., Hosseini, S. F., and Emami, S. A. (2012). Assessment The Corporate Social Responsibility According to Islamic Values (Case Study: Sarmayeh Bank). Procedia-Social and Behavioral Sciences, Vol. 58: 1139-1148.
Wajdi Dusuki, A., and Irwani Abdullah, N. (2007). Why do Malaysian customers Patronise Islamic Banks?. International Journal of Bank Marketing, Vol. 25(3): 142-160.
Wardayati, S. M. (2016). Implementing Islamic Corporate Governance (ICG) and Islamic Social Reporting (ISR) in Islamic Financial Institution (IFI). Procedia-Social and Behavioral Sciences, Vol. 219: 338-343.
Yusoff, H., and Darus, F. (2014). Mitigation of Climate Change and Prevention of Pollution Activities: Environmental Disclosure Practice in Islamic Financial Institutions. Procedia-Social and Behavioral Sciences, Vol. 145: 195-203.
Zain, M. M., Darus, F., and Ramli, A. (2015). Islamic Ethical Practices and The Marketplace: Evidence from Islamic Financial Institutions. Procedia Economics and Finance, Vol. 28: 266-273.
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Published
2018-06-05
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Trianaputri, A. R., Siswantoro, D., & Dewi, M. K. (2018). CSR in Islamic Financial Institution : A Literature Review. Tazkia Islamic Finance and Business Review, 11(2). https://doi.org/10.30993/tifbr.v11i2.122
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