Countering Iran with Arms Sales to the Gulf Cooperation Council States

The paper develops a framework to explore the risk disclosure practices of 29 Islamic banks operating in the Gulf Cooperation Council countries over the period of 2013-2016 and examines the potential factors which might be affecting risk disclosure. To analyze the level of risk disclosure, the paper develops a composite index by using the content analysis technique. We also employ OLS technique to examine factors affecting Islamic banks’ risk disclosure. The results indicate a very high difference in risk disclosure between countries. Only two countries, the United Arab Emirates and Bahrain, have a higher level of risk disclosure. The findings also suggest that reporting on some risk disclosure types especially displaced commercial risk and rate of return risk is very low. The regression results show that Islamic banks with a stronger set of corporate governance mechanisms and an active Shariah board appear to disclose more risk information. Other factors that influence risk disclosure practices of Islamic banks are bank size, leverage, cross-border listings and the level of political and civil regression. The study recommends that Islamic banks have to revise their communication strategies and provide more risk information related to rate of return risk and display commercial risk. In addition, GCC regulators should establish risk disclosure regulations which have to become mandatory for all Islamic banks. To the best of our knowledge, the paper provides the first analysis related to the determinants of corporate risk disclosures of Islamic banks in the Arab Gulf region.

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In Quest of a Second Boom

Contemporary Arab Affairs ◽

10.1525/caa.2018.000015 ◽

2018 ◽

Vol 11 (1-2) ◽

pp. 257-278 ◽

Cited By ~ 1

Author(s):

Shirzad Azad

Keyword(s):

Foreign Policy ◽

Middle East ◽

Crucial Role ◽

Gulf Cooperation Council ◽

East Region ◽

Personal Motivation ◽

Policy Measures ◽

The Republic ◽

Middle East Region ◽

Different Parts

In spite of her troubled presidency at home and premature, ignominious exit from power, Park Geun-hye made serious attempts to bolster the main direction of the Republic of Korea’s (ROK) foreign policy toward the Middle East. A collaborative drive for accomplishing a new momentous boom was by and large a dominant and recurring theme in the Park government’s overall approach to the region. Park enjoyed both personal motivation as well as politico-economic justifications to push for such arduous yet potentially viable objective. Although the ROK’s yearning for a second boom in the Middle East was not ultimately accomplished under the Park presidency, nonetheless, the very aspiration played a crucial role in either rekindling or initiating policy measures in South Korea’s orientation toward different parts of a greater Middle East region, extending from the Gulf Cooperation Council (GCC) to Morocco.

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