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Journal : International Journal of Business, Law, and Education

Green Finance: Evaluating the Impact of Sustainable Investments on Corporate Performance of Islamic Bank in Indonesia Hidayat, Gustina; Dewi, Kisthi Hanila; Utama, Ahmad Nur Budi; Zikriani, Hilyati
International Journal of Business, Law, and Education Vol. 5 No. 2 (2024): International Journal of Business, Law, and Education
Publisher : IJBLE Scientific Publications Community Inc.

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.56442/ijble.v5i2.772

Abstract

This study investigates the impact of sustainable investments on the financial performance of Islamic banks in Indonesia. Using regression analysis, the study examines the relationship between sustainable investments and key performance indicators, Return on Assets (ROA) and Return on Equity (ROE). The results reveal that sustainable investments positively and significantly influence both ROA and ROE, indicating that Islamic banks engaging in sustainable finance initiatives experience enhanced profitability. Additionally, the study analyzes the effects of liquidity, asset quality, and loan loss provisions on financial performance. The findings suggest that higher liquidity, as measured by the current ratio, positively impacts profitability, while higher non-performing loans and loan loss provisions negatively affect financial performance. This study contributes to the theoretical understanding of green finance and offers practical implications for bank managers, investors, and policymakers. By integrating sustainable investments into their operations, Islamic banks can achieve better financial performance while supporting broader sustainability goals.
Corporate Governance and Financial Transparency: A Legal Perpective on Reducing Fraud in Global Financial Markets Utama, Ahmad Nur Budi; Purwoko, Bambang
International Journal of Business, Law, and Education Vol. 5 No. 2 (2024): International Journal of Business, Law, and Education
Publisher : IJBLE Scientific Publications Community Inc.

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.56442/ijble.v5i2.946

Abstract

This study explores the role of corporate governance and financial transparency in reducing fraud within global financial markets from a legal perspective. Through an analysis of case studies and regulatory frameworks, it examines how robust governance mechanisms—such as independent boards, effective audit committees, and clear separation of CEO and chair roles—enhance financial transparency and accountability. Legal reforms, including the Sarbanes-Oxley Act, have proven effective in reducing fraud in developed markets but highlight enforcement challenges in emerging economies. The study also discusses emerging trends such as the integration of ESG criteria and the adoption of technologies like blockchain and AI, which offer new opportunities to improve transparency and governance. The findings suggest that a multi-faceted approach combining legal reforms, technological innovation, and cultural alignment is essential for building a resilient and trustworthy global financial system.