IDEAS home Printed from
   My bibliography  Save this article

Shari'a supervision of Islamic financial institutions


  • Samy Nathan Garas
  • Chris Pierce


Purpose - The governance structure of Islamic financial institutions (IFIs) implements Islamic canon law ( Design/methodology/approach - The paper reviews a wide range of theoretical literatures especially recent proceedings of relevant conferences in the Gulf Cooperation Council (GCC) countries along with the standards of the Accounting and Auditing Organization of Islamic Financial Institutions (AAOIFI). A framework for understanding the role of the SSB is developed suggesting a set of objectives and functions for the SSB. Findings - The paper finds a lack of standardization among the IFIs concerning the position of the SSB within the corporate hierarchy. Moreover, the SSB is found to control the IFIs activities more than the other types of Research limitations/implications - The research focuses exclusively on the GCC countries and excludes the other Middle East and Far East countries where Social implications - The research provides guidelines for IFIs in defining the SSB role in their governance structure and recommends the SSB among the other forms of Originality/value - This study contributes to the literature gap about the governance of IFIs. It is one of the first studies that provide a conceptual foundation for the SSB role in the governance structure of IFIs.

Suggested Citation

  • Samy Nathan Garas & Chris Pierce, 2010. "Shari'a supervision of Islamic financial institutions," Journal of Financial Regulation and Compliance, Emerald Group Publishing, vol. 18(4), pages 386-407, November.
  • Handle: RePEc:eme:jfrcpp:v:18:y:2010:i:4:p:386-407

    Download full text from publisher

    File URL:
    Download Restriction: Access to full text is restricted to subscribers

    As the access to this document is restricted, you may want to search for a different version of it.


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eme:jfrcpp:v:18:y:2010:i:4:p:386-407. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Virginia Chapman). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.