Does culture moderate the relationship between AAOIFI adoption and earnings management? Evidence from Islamic banks

M. Marei; Sherif El-Halaby; I. Elbendary; Khaled Hussainey

doi:10.1108/978-1-80043-786-920211011

Does culture moderate the relationship between AAOIFI adoption and earnings management? Evidence from Islamic banks

M. Marei, Sherif El-Halaby, I. Elbendary, Khaled Hussainey

Research output: Chapter in Book/Report/Conference proceeding › Chapter (peer-reviewed) › peer-review

Abstract

We examine whether culture moderates the relation between AAOIFI adoption and earnings management (EM). Using Gray and Hofstede culture framework a sample of 122 Islamic banks (IBs) across 24 countries for 2010 and 2017, we find a negative association between AAOIFI adoption and EM. Our analysis shows that cultural values of individualism; masculinity and UA positively strength the AAOIFI- EM assocaition. We also find that AAOIFI adoption results in a decrease in EM in high conservatism culture. Our findings offer a number of policy managerial and regulatory implications.

Original language	English
Title of host publication	Monetary Policy, Islamic Finance, and Islamic Corporate Governance: An International Overview
Editors	Toseef Azid, Murniati Mukhlisin, Nashr Akbar, Muhammad Tahir
Publisher	Emerald Publishing
Chapter	12
Pages	181-199
Number of pages	19
ISBN (Electronic)	9781800437869
ISBN (Print)	9781800437876
DOIs	https://doi.org/10.1108/978-1-80043-786-920211011
Publication status	Published - 16 Jun 2021

Keywords

earnings management
culture
AAOIFI standards
Islamic banks

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10.1108/978-1-80043-786-920211011

https://www.emerald.com/insight/content/doi/10.1108/978-1-80043-786-920211011/full/html

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Marei, M., El-Halaby, S., Elbendary, I., & Hussainey, K. (2021). Does culture moderate the relationship between AAOIFI adoption and earnings management? Evidence from Islamic banks. In T. Azid, M. Mukhlisin, N. Akbar, & M. Tahir (Eds.), Monetary Policy, Islamic Finance, and Islamic Corporate Governance: An International Overview (pp. 181-199). Emerald Publishing. https://doi.org/10.1108/978-1-80043-786-920211011

Marei, M. ; El-Halaby, Sherif ; Elbendary, I. et al. / Does culture moderate the relationship between AAOIFI adoption and earnings management? Evidence from Islamic banks. Monetary Policy, Islamic Finance, and Islamic Corporate Governance: An International Overview. editor / Toseef Azid ; Murniati Mukhlisin ; Nashr Akbar ; Muhammad Tahir. Emerald Publishing, 2021. pp. 181-199

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Marei, M, El-Halaby, S, Elbendary, I & Hussainey, K 2021, Does culture moderate the relationship between AAOIFI adoption and earnings management? Evidence from Islamic banks. in T Azid, M Mukhlisin, N Akbar & M Tahir (eds), Monetary Policy, Islamic Finance, and Islamic Corporate Governance: An International Overview. Emerald Publishing, pp. 181-199. https://doi.org/10.1108/978-1-80043-786-920211011

Does culture moderate the relationship between AAOIFI adoption and earnings management? Evidence from Islamic banks. / Marei, M.; El-Halaby, Sherif; Elbendary, I. et al.
Monetary Policy, Islamic Finance, and Islamic Corporate Governance: An International Overview. ed. / Toseef Azid; Murniati Mukhlisin; Nashr Akbar; Muhammad Tahir. Emerald Publishing, 2021. p. 181-199.

Research output: Chapter in Book/Report/Conference proceeding › Chapter (peer-reviewed) › peer-review

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Marei M, El-Halaby S, Elbendary I, Hussainey K. Does culture moderate the relationship between AAOIFI adoption and earnings management? Evidence from Islamic banks. In Azid T, Mukhlisin M, Akbar N, Tahir M, editors, Monetary Policy, Islamic Finance, and Islamic Corporate Governance: An International Overview. Emerald Publishing. 2021. p. 181-199 doi: 10.1108/978-1-80043-786-920211011

Does culture moderate the relationship between AAOIFI adoption and earnings management? Evidence from Islamic banks

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Keywords

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