Corporate financing behaviour of Shariah compliant E50 SMEs. A panel data approach of GMM

Motivated by the recent outstanding growth of Islamic Capital Market (ICM) in Malaysia, this study aims to investigate the debt financing behaviour of Shariah compliant E50 SMEs in Malaysia covering the existence of target debt, speed of adjustment and factors affecting the adjustment speed to targe...

Full description

Bibliographic Details
Main Author:	Haron, Razali
Format:	Conference or Workshop Item
Language:	English English
Published:	2015
Subjects:	H61 Theory. Method HG Finance
Online Access:	http://irep.iium.edu.my/45877/ http://irep.iium.edu.my/45877/2/Corporate_Financing_Behaviour-Panel_Data_GMM_Haron_R_AICIF_2015_10.pdf http://irep.iium.edu.my/45877/7/45877.pdf

id	iium-45877
recordtype	eprints
spelling	iium-458772018-03-06T04:25:23Z http://irep.iium.edu.my/45877/ Corporate financing behaviour of Shariah compliant E50 SMEs. A panel data approach of GMM Haron, Razali H61 Theory. Method HG Finance Motivated by the recent outstanding growth of Islamic Capital Market (ICM) in Malaysia, this study aims to investigate the debt financing behaviour of Shariah compliant E50 SMEs in Malaysia covering the existence of target debt, speed of adjustment and factors affecting the adjustment speed to target debt from 2009 to 2013. The Shariah Advisory Council (SAC), has set up certain standard of parameters as guidelines and carried out periodical monitoring in classifying Shariah compliant securities like the prohibition of activities that involve interest (riba), gambling (maisir), uncertainties and speculative trading (gharar). The dynamic model employed and estimated using the Generalized Method of Moment revealed certain determinants significantly influence target debt financing. The positive relationship between tangibility and capital structure yielded in this study enhances Shariah imposition that debt must be asset-backed which means a firm operating under Islamic principles cannot have debt exceeding the tangible assets. This study contributes to the literature and fills the gap by exploring into a relatively new area of debt financing which is the dynamic aspects and also help to enhance the understanding on debt financing behaviour of Shariah compliant SMEs in Malaysia ICM. 2015-11-18 Conference or Workshop Item PeerReviewed application/pdf en http://irep.iium.edu.my/45877/2/Corporate_Financing_Behaviour-Panel_Data_GMM_Haron_R_AICIF_2015_10.pdf application/pdf en http://irep.iium.edu.my/45877/7/45877.pdf Haron, Razali (2015) Corporate financing behaviour of Shariah compliant E50 SMEs. A panel data approach of GMM. In: ASEAN International Conference on Islamic Finance (AICIF 2015), 18th-19th November 2015, Semarang, Indonesia.
repository_type	Digital Repository
institution_category	Local University
institution	International Islamic University Malaysia
building	IIUM Repository
collection	Online Access
language	English English
topic	H61 Theory. Method HG Finance
spellingShingle	H61 Theory. Method HG Finance Haron, Razali Corporate financing behaviour of Shariah compliant E50 SMEs. A panel data approach of GMM
description	Motivated by the recent outstanding growth of Islamic Capital Market (ICM) in Malaysia, this study aims to investigate the debt financing behaviour of Shariah compliant E50 SMEs in Malaysia covering the existence of target debt, speed of adjustment and factors affecting the adjustment speed to target debt from 2009 to 2013. The Shariah Advisory Council (SAC), has set up certain standard of parameters as guidelines and carried out periodical monitoring in classifying Shariah compliant securities like the prohibition of activities that involve interest (riba), gambling (maisir), uncertainties and speculative trading (gharar). The dynamic model employed and estimated using the Generalized Method of Moment revealed certain determinants significantly influence target debt financing. The positive relationship between tangibility and capital structure yielded in this study enhances Shariah imposition that debt must be asset-backed which means a firm operating under Islamic principles cannot have debt exceeding the tangible assets. This study contributes to the literature and fills the gap by exploring into a relatively new area of debt financing which is the dynamic aspects and also help to enhance the understanding on debt financing behaviour of Shariah compliant SMEs in Malaysia ICM.
format	Conference or Workshop Item
author	Haron, Razali
author_facet	Haron, Razali
author_sort	Haron, Razali
title	Corporate financing behaviour of Shariah compliant E50 SMEs. A panel data approach of GMM
title_short	Corporate financing behaviour of Shariah compliant E50 SMEs. A panel data approach of GMM
title_full	Corporate financing behaviour of Shariah compliant E50 SMEs. A panel data approach of GMM
title_fullStr	Corporate financing behaviour of Shariah compliant E50 SMEs. A panel data approach of GMM
title_full_unstemmed	Corporate financing behaviour of Shariah compliant E50 SMEs. A panel data approach of GMM
title_sort	corporate financing behaviour of shariah compliant e50 smes. a panel data approach of gmm
publishDate	2015
url	http://irep.iium.edu.my/45877/ http://irep.iium.edu.my/45877/2/Corporate_Financing_Behaviour-Panel_Data_GMM_Haron_R_AICIF_2015_10.pdf http://irep.iium.edu.my/45877/7/45877.pdf
first_indexed	2023-09-18T21:05:18Z
last_indexed	2023-09-18T21:05:18Z
_version_	1777410892990775296

Corporate financing behaviour of Shariah compliant E50 SMEs. A panel data approach of GMM

Similar Items