Corporate Social Responsibility Of Islamic Banks

1563 Words Sep 13th, 2016 7 Pages
This research adopts a comprehensive and fastidious literature review that covers an array of primary, secondary, and tertiary sources.

RESULTS

The Islamic banking industry has come a long way in issues of corporate governance. However, Islamic banks need to be at the forefront of pioneering innovative, impactful, and far-reaching social responsibility and corporate governance practices since for starters, they are faith-based institutions. Islamic banks need to stop resting on their laurels and stop playing catch up in these domains. Moreover, Islamic banks need to deal conclusively with the array of challenges facing their Shari’ah corporate governance endeavors so as to meet their objectives in a more effective manner.

DISCUSSION

Corporate Social Responsibility of Islamic Banks
Aspects of Corporate Social Responsibility of Islamic Banks:
All the activities of Muslims and Islamic entities are supposed to follow the objectives of Shari’ah known as Maqasid al-Shari’ah. According to the prominent Muslim sage, scholar, philosopher, and prolific teacher of the days of ere known as Al-Ghazali, “The objective of the Shari’ah is to promote the well-being of all mankind, which lies in safeguarding their faith (din), their human self (nafs), their intellect (`aql), their posterity (nasl) and their wealth (mal). Whatever ensures the safeguard of these five serves public interest and is desirable” (Chapra, 2000, p. 118). Individuals, businesses, and the society are equal…
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