CORPORATE GOVERNANCE AND FINANCING RISK OF SHARIA BANK IN INDONESIA

Authors

  • Muis Zunanto UIN Raden Mas Said Surakarta, Indonesia
  • Agung Abdullah UIN Raden Mas Said Surakarta, Indonesia

DOI:

https://doi.org/10.22515/jmif.v3i1.5901

Keywords:

Governance, Board of Commissioners, Audit Committee, Sharia Supervisory Board, Sharia Bank Size, Islamic Commercial Bank Financing Risk

Abstract

This study aims to examine the influence of Islamic bank governance on the financing risk of Islamic Commercial Banks in Indonesia. Sharia bank governance is proxied by the variables of the board of commissioners, audit committee, and sharia supervisory board (SSB). This study used panel data of Islamic commercial banks from 2015 to 2020 using purposive sampling. The data analysis technique used panel data regression through a fixed effect model. The test results show that the audit committee variable has a significant negative effect on the financing risk of Islamic commercial banks. Meanwhile, the board of commissioners and the SSB of the bank have no effect on the financing risk of Islamic commercial banks.

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Published

2023-06-30

Issue

Vol. 3 No. 1 (2023): Journal of Management and Islamic Finance

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