Kembali | Vol 7, No 2 (2018)
Article
Tri Fitrianto Suratno dan Djoko Suhardjanto
Abstract
This study aims to analyze the level of disclosure of Islamic Social Responsibility (CSR) Islamic banks in 9 major countries that contribute to the assets of international Islamic banks, namely Indonesia, Malaysia, Saudi Arabia, UAE, Kuwait, Qatar, Turkey, Bahrain and Pakistan. This study also examined the effect of firm size and financial performance on the level of sharia social responsibility disclosure. Secondary data is collected from each annual report and financial statements of Islamic banking. This research is quantitative and regression analysis techniques are used for statistical testing. The results of the study show that the size of the company has a positive and significant influence on the level of disclosure of social responsibility of Islamic banking in accordance with Islamic principles. While financial performance does not have a significant influence on the level of sharia social responsibility disclosure in accordance with Islamic principles. The results showed that overall, the ISRDI score had a good level of disclosure every year from 2014 to 2016 (50% in 2014, 53% in 2015, and 50% in 2016). Nevertheless, Islamic banking still needs to improve their disclosure even better especially for environmental disclosure. Environmental disclosure is still very low in Islamic banking, which is 13%. This implies that in the future sharia banking will pay more attention to the disclosure of their social responsibilities, especially for the disclosure of their environment
Keywords
Firm value, stakeholders, environmental performance.
