ABSTRACT

To what extent does the formal institutional environment influence Islamic bank capital decisions? We answer this question by assessing the effect of the legal rule index on a sample of 100 Islamic banks in 28 countries from 1999 to 2013. Our econometric analyses show that legal rule index positively and significantly influences capital ratios. The results can be explained by the idea that effective legal rules incentivize Islamic banks to hold higher capital ratios to signal better monitoring to depositors and regulators. In addition, we find that this positive association can be enhanced through strong information transparency channels, democratic and stable political institutions. These results provide insight into how a formal institutional environment can shape Islamic bank capital ratios. It further suggests that the formal institutional environment serves as a constraint on policymakers, as any given capital guideline may function very differently depending on the complexity of the formal institutional environment.

摘要

正式的制度环境在多大程度上影响伊斯兰银行的资本决策？我们通过评估法律规则指数对 1999 年至 2013 年 28 个国家的 100 家伊斯兰银行样本的影响来回答这个问题。我们的计量经济学分析表明，法律规则指数对资本比率产生积极且显着的影响。结果可以通过以下想法来解释：有效的法律规则激励伊斯兰银行持有更高的资本比率，以向存款人和监管机构发出更好的监控信号。此外，我们发现这种积极的联系可以通过强大的信息透明渠道、民主和稳定的政治机构得到加强。这些结果提供了对正式制度环境如何影响伊斯兰银行资本比率的洞察。