Which firms use Islamic financing?
Minhat, M and Dzolkarnaini, N 2016, 'Which firms use Islamic financing?' , Economics Letters . (In Press)
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This study explores to what extent the Islamic financing instruments are used by non-financial firms. Based on a panel data of firms from fourteen developing countries for the 2005-2009 period, we find that Islamic financing forms a significant share of the users’ capital structures. Less profitable firms are found more likely to use debt than equity in which case Islamic instruments were preferred over conventional debt. The finding suggests that Islamic financing does benefit less profitable firms, which is consistent with the agency cost perspective.
|Schools:||Schools > Salford Business School|
|Journal or Publication Title:||Economics Letters|
|Funders:||The Vice-Chancellor’s Early Career Research Scholarship Scheme|
|Depositing User:||Dr Nazam Dzolkarnaini|
|Date Deposited:||04 Oct 2016 08:32|
|Last Modified:||17 Oct 2016 12:32|
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