Islamic banking risk management: Trends and insights from a bibliometric and SLR approach
Abstract
Along with the growth of Islamic banking, risk management is an essential element that must be managed properly because it is one of the potential financial institutions. This study aims to see trends and analyze the development of research on risk management in Islamic banking by reviewing the literature through bibliometric methods and systematic literature review (S.L.R.). The findings of this study are the number of articles related to Islamic banking risks that have been carried out from 2002 to 2022, with a total of 372 articles. Based on the analysis, it can be seen that the number of articles published increased and peaked in 2018. Operational risk and risk management practices keywords are the least numerous. This result showed that Islamic banking has different characteristics than conventional banking, including financial risk and non-financial risk, thus requiring a different regulatory approach in the mitigation and stabilization process. Furthermore, this study highlights gaps in the literature, such as the limited focus on operational risks, and offers a comprehensive framework for understanding risk management practices in Islamic banking. These findings contribute to theoretical advancements by emphasizing the need for regulatory frameworks tailored to the unique characteristics of Islamic banking, filling a critical gap in existing research.
Full text article
References
Abdullah, M., Shahimi, S., & Ismail, A. G. (2011). Operational risk in Islamic banks: examination of issues. Qualitative Research in Financial …. https://doi.org/10.1108/17554171111155366
Ahmed, N., Akhtar, M., & Usman, M. (2011). Risk Management Practices and Islamic Bank: An Empirical Investigation from Pakistan. Interdiciplinary Journal of Research in Business, 1(6), 50–57.
AlAbbad, A., Hassan, M. K., & Saba, I. (2019). Can Shariah Board Characteristics Influence Risk-Taking Behavior of Islamic Banks? International Journal of Islamic and Middle Eastern Finance and Management, 12(4), 469–488. https://doi.org/10.1108/IMEFM-11-2018-0403
Al-hares, O. M., & Saleem, K. (2017). Islamic Banks Financial Performance and Implications of Basel III Standards in Review of Economics & Finance Islamic Banks Financial Performance and Implications of Basel III Standards in the G.C.C. : An Empirical Analysis. Review of Economics and Finance, 7(1).
Al-Tamimi, H. A. H., & Al-Mazrooei, F. . (2007). Banks’ Risk Management: A Comparison Study of U.A.E. National and Foreign Banks. The Journal of Risk Finance, 8(4), 394-409.
Alshater, M. M., Saba, I., Supriani, I., & Raza, M. (2022). Fintech in Islamic finance literature : A review. Heliyon, 8(April), e10385. https://doi.org/10.1016/j.heliyon.2022.e10385
Arifin, M. R., Raharja, B. S., Aligarh, F., & Nugroho, A. (2023). A systematic literature review on community financing: Avenues for further research. Cogent Business & Management, 10(2), 2211208. https://doi.org/10.1080/23311975.2023.2211208
Arifin, M. R., Raharja, B. S., & Nugroho, A. (2023). Do young Muslim choose differently? Identifying consumer behavior in Halal industry. Journal of Islamic Marketing, 14(4), 1032-1057. https://doi.org/10.1108/JIMA-02-2021-0049
Arifin, R., Rosadi, S., Nugroho, A., & Wahyuningsih, T. (2021). Characteristics of the Sharia Supervisory Board, Sharia Company Size, Zakah, and Islamic Social Reporting on Sharia Banks in Indonesia. Falah: Jurnal Ekonomi Syariah, 6(2), 15-28. https://doi.org/10.22219/jes.v6i1.17100
Aslam, E., & Haron, R. (2021). Corporate Governance and Risk-Taking of Islamic Banks : Evidence from O.I.C. Countries. Corporate Governance, 21(7), 1460–1474. https://doi.org/10.1108/CG-08-2020-0311
Azmat, S., Azad, A. S. M. S., Ghaffar, H., Hayat, A., & Chazi, A. (2020). Conventional vs Islamic Banking and Macroeconomic Risk : Impact on Asset Price Bubbles. Pacific-Basin Finance Journal, 62(October 2019), 101351. https://doi.org/10.1016/j.pacfin.2020.101351
Bahoo, S., Alon, I., & Floreani, J. (2020). Corruption in Economics: a Bibliometric Analysis and Research Agenda. Applied Economics Letters, 00(00), 1–14. https://doi.org/10.1080/13504851.2020.1764476
Bello, N., Hasan, A., & Saiti, B. (2017). The mitigation of liquidity risk in Islamic banking operations. Banks & Bank Systems. http://www.irbis-nbuv.gov.ua/cgi-bin/irbis_nbuv/cgiirbis_64.exe?C21COM=2%5C&I21DBN=UJRN%5C&P21DBN=UJRN%5C&IMAGE_FILE_DOWNLOAD=1%5C&Image_file_name=PDF/banks_2017_12_3(cont.)__3.pdf
Boumediene, A. (2011). Is Credit Risk Really Higher in Islamic Banks? Journal of Credit Risk, 7(3), 97–129. https://doi.org/10.21314/JCR.2011.128
Chamberlain, T., Hidayat, S., & Khokhar, A. R. (2020). Credit Risk in Islamic Banking: Evidence from the GCC. Journal of Islamic Accounting and Business Research, 11(5), 1055–1081. https://doi.org/10.1108/JIABR-09-2017-0133
Djebali, N., & Zaghdoudi, K. (2020). Threshold Effects of Liquidity and Credit Risk on Bank Stability in the MENA Region. Journal of Policy Modeling, 42(5), 1049–1063. https://doi.org/10.1016/j.jpolmod.2020.01.013
Djojosugito, R. (2008). Mitigating Legal Risk in Islamic Banking Operations. Humanomics, 24(2), 110–121. https://doi.org/10.1108/08288660810876822
Elgharbawy, A. (2020). Risk and Risk Management Practices A Comparative Study Between Islamic and Conventional Banks in Qatar. Journal of Islamic Accounting and Business Research, 11(8), 1555–1581. https://doi.org/10.1108/JIABR-06-2018-0080
Errico, L., & Sundararajan, V. (2002). Islamic financial institutions and products in the global financial system: Key issues in risk management and challenges ahead. papers.ssrn.com. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=1930788
Ferhi, A. (2018). Credit Risk and Banking Stability : A Comparative Study Between Islamic and Conventional Banks. International Journal of Law and Management, 60(4), 1009–1019. https://doi.org/10.1108/IJLMA-05-2017-0112
Garcia, I. (2020). e-Leadership : A Bibliometric Analysis. International Journal of Advanced Corporate Learning, March. https://doi.org/10.3991/ijac.v13i1.12341
Glanzel, W. (2014). Bibliometrics as a Research Field : A Course on Theory and Application of Bibliometric Indicators A Course on Theory and Application of Bibliometric Indicators. May.
Grassa, R., Moumen, N., & Hussainey, K. (2020). Is Bank Creditworthiness Associated With Risk Disclosure Behavior ? Evidence from Islamic and Conventional Banks in Emerging Countries. Pacific-Basin Finance Journal, 61(April), 101327. https://doi.org/10.1016/j.pacfin.2020.101327
Hameeda Abu Hussain, J. A. (2012). Risk management practices of conventional and Islamic banks in Bahrain. Journal of Risk Finance, 13(3), 215–239.
Hanif, M., Tariq, M., Tahir, A., & Wajeeh-ul-Momeneen. (2012). Comparative Performance Study of Conventional and Islamic Banking in Pakistan. International Research Journal of Finance and Economics, 83(January 2012), 62–72.
Harkati, R., Alhabshi, S. M., & Kassim, S. (2020). Does Capital Adequacy Ratio Influence Risk-Taking Behaviour of Conventional and Islamic Banks Differently ? Empirical Evidence from Dual Banking System of Malaysia. Journal of Islamic Accounting and Business Research, 11(10), 1989–2015. https://doi.org/10.1108/JIABR-11-2019-0212
Hidayat, S. E., Sakti, M. R. P., & Al-Balushi, R. A. A. (2021). Risk, Efficiency and Financial Performance in The G.C.C. Banking Industry : Islamic Versus Conventional Banks. Journal of Islamic Accounting and Business Research, 12(4), 564–592. https://doi.org/10.1108/JIABR-05-2020-0138
Ika, S. R., & Abdullah, N. (2011). a Comparative Study of Financial Performance of Islamic Banks and Conventional Banks in Indonesia. International Journal of Business and Social Science, 2(15).
Ismael, R. (2012). Formulating Withdrawal Risk and Bankruptcy Risk in Islamic Banking. International Journal of Islamic and Middle Eastern …, 5(1), 63–77. https://doi.org/10.1108/17538391211216848
Khan, A., Goodell, J. W., Hassan, M. K., & Paltrinieri, A. (2022). A Bibliometric Review of Finance Bibliometric Papers. Finance Research Letters, 47(P.A.), 102520. https://doi.org/10.1016/j.frl.2021.102520
Khan, M. M., & Bhatti, m I. (2008). Development in Islamic Banking : A Financial Risk-Allocation Approach. The Journal of Risk Finance, 9(1), 40–51. https://doi.org/10.1108/15265940810842401
Khan, Tariqullah & Ahmed, H. (2011). Risk Management: An Analysis of Issues in Islamic Financial Industry. The Islamic Research and Teaching Institute.
Louhichi, A., Louati, S., & Boujelbene, Y. (2020). The Regulations-Risk Taking Nexus Under Competitive Pressure: What about The Islamic System? Research in International Business and Finance, 51(January 2018), 101074. https://doi.org/10.1016/j.ribaf.2019.101074
Maulina, R., Dhewanto, W., & Faturohman, T. (2023). The integration of Islamic social and commercial finance (IISCF): Systematic literature review, bibliometric analysis, conceptual framework, and future research opportunities. Heliyon, 9(11), e21612. https://doi.org/10.1016/j.heliyon.2023.e21612
Mateev, M., & Sahyouni, A. (2022). Regulation, Banking Competition, and Risk-Taking Behavior in the MENA Region : Policy Implications for Islamic Banks. Journal of Islamic Accounting and Business Research, 13(2), 297–337. https://doi.org/10.1108/JIABR-01-2021-0009
Mili, M. (2016). Moral Hazard and Risk-Taking Incentives in Islamic Banks: Does Franchise Value Matter ? International Journal of Islamic and Middle Eastern Finance and Management, 10(1), 45–59. https://doi.org/10.1108/IMEFM-12-2015-0148
Mukhibad, H., Muthmainah, M., & Andraeny, D. (2020). The role of corporate social responsibility disclosure in improving financial performance (Case study in Indonesian Islamic Bank). Al-Uqud: Journal of Islamic Economics, 4(2), 162-173. https://doi.org/10.26740/al-uqud.v4n2.p162-173
Nafik, M., Ryandono, H., Imron, M. A., & Wildan, M. A. (2022). World Oil Prices and Exchange Rates on Islamic Banking Risks. International Journal of Energy Economics and Policy, 12(4), 409–413.
Noory, S. N., Shahimi, S., & Islami, A. G. (2021). A Systematic Literature Review on the Effects of Risk Management Practices on the Performance of Islamic Banking Institutions. Asian Journal of Accounting and Governance, pp. 75, 53–75. https://doi.org/10.17576/AJAG-2021-16-05
OJK. (2022). Perbankan Syariah dan Kelembagaannya. https://www.ojk.go.id/id/kanal/syariah/tentang-syariah/pages/PBS-dan-Kelembagaan.aspx
Omar, O., Mohamad, A., Issa, M., Mareai, N. A., & Omar, B. (2021). Attitude Formation Towards Islamic Banks. Accounting, 7, 479–486. https://doi.org/10.5267/j.ac.2020.11.002
Pertiwi, I. F. P., Puspitosari, I., & Wijayati, F. L. (2019). The Islamicity of Sharia Rural Banks in Indonesia. Muqtasid: Jurnal Ekonomi dan Perbankan Syariah, 10(2), 124-138. https://doi.org/10.18326/muqtasid.v10i2.124-138
Raharja, B. S. (2021). Content quality, religious consciousness, and brand awareness: The empirical evidence on islamic sharia product. Jurnal Aplikasi Manajemen, 19(3), 572-584. https://dx.doi.org/10.21776/ub.jam.2021.019.03.10
Rahman, R. A., Alsmady, A., Ibrahim, Z., & Muhammad, A. D. (2014). Risk Management Practices In Islamic Banking Institutions: A Comparative Study Between Malaysia and Jordan. The Journal of Applied Business Research, 30(5), 1295–1304.
Rhanoui, S., & Belkhoutout, K. (2019). Risks Faced by Islamic Banks: A Study on the Compliance Between Theory and Practice. International Journal of Financial …, 10(2). https://www.academia.edu/download/78769146/9548.pdf
Ryandono, M. N. H., Imron, M. A., & Wildan, M. A. (2022). World Oil Prices and Exchange Rates on Islamic Banking Risks. International Journal of Energy Economics and Policy, 12(4), 409–413. https://doi.org/10.32479/ijeep.13360
Saeed, M., Izzeldin, M., Hassan, M. K., & Pappas, V. (2020). The Inter-Temporal Relationship between Risk, Capital, and Efficiency : The Case of Islamic and Conventional Banks. Pacific-Basin Finance Journal, 62(October 2019), 101328. https://doi.org/10.1016/j.pacfin.2020.101328
Saifullah, M., & Shamsuddin, A. (2021). Risk in Islamic Banking and Corporate Governance. Pacific-Basin Finance Journal, 47(October 2017), pp. 129–149. https://doi.org/10.1016/j.pacfin.2017.12.008
Shen, X., & Wang, L. (2020). Topic Evolution and Emerging Topic Analysis Based on Open Source Software. Journal of Data and Information Science, 3(September 2020), 126–136. https://doi.org/10.2478/jdis-2020-0033
Siddiqui, A. (2008). Financial Contracts, Risk and Performance of Islamic Banking. Managerial Finance, 34(10), 680–694. https://doi.org/10.1108/03074350810891001
Smaoui, H., Mimouni, K., Miniaoui, H., & Temimi, A. (2020). Funding Liquidity Risk and Banks’ Risk-Taking: Evidence from Islamic and Conventional Banks. Pacific-Basin Finance Journal, 64(September), 101436. https://doi.org/10.1016/j.pacfin.2020.101436
Sobhy, N., & Megeid, A. (2017). Liquidity Risk Management : Conventional Versus Islamic Banking System in Egypt. Journal of Islamic Accounting and Business Research, 8(1), 100–128. https://doi.org/10.1108/JIABR-05-2014-0018
Sukmana, R., & Setianto, R. H. (2018). House Prices and Islamic Bank Stability in Indonesia : Evidence from Autoregressive Distributed Lag (A.R.D.L.) Model. Jurnal Pengurusan, 52, 73–84.
Sukmana, R. (2020). Critical assessment of Islamic endowment funds (Waqf) literature: lesson for government and future directions. Heliyon, 6(10), e05074. https://doi.org/10.1016/j.heliyon.2020.e05074
Paul, J., & Criado, A. R. (2020). The Art of Writing Literature Review: What Do We Know and What Do We Need to Know? International Business Review, 29(4). https://doi.org/10.1016/j.ibusrev.2020.101717
Widarjono, A. (2018). Maqasid Sharia Index, Banking Risk and Performance Cases in Indonesia Islamic Banks. Asian Economic and Financial Review, 8(9), 1175–1184. https://doi.org/10.18488/journal.aefr.2018.89.1175.1184
Zins, A., & Weill, L. (2017). Islamic Banking and Risk: The Impact of Basel II. 64(April), 626–637. https://doi.org/10.1016/j.econmod.2017.05.001
Zineldin. (1990). The Economy of Money and Banking: A Theoretical and Empirical Research of Islamic Interest-Free Banking, Wiksell International, Stockholm, Almquist.
Authors
Copyright (c) 2025 Nuzulia Nuzulia, Roisatun Kasanah

This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
Authors who publish with this journal agree to the following terms:
- Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.
- Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.
- Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work.