This paper aims to investigate the perceptions of Iraqi medium-sized enterprises’ board members on how board information technology governance mechanisms affect their companies’ performance with the help of IT capabilities as a mediator. The study is based on a survey of 223 board members using a stratified random sampling technique. The Structural Equation Model (SEM) method results show that board IT governance structure and board IT governance relational have a significant direct and indirect positive relationship with firm performance through IT capabilities. Contrariwise, IT capabilities do not interfere with the relationship between board IT governance processes mechanisms and firm performance. Our study contributes to the IT business literature by addressing new relationships and providing empirical evidence that explains the inconsistent and mixed results of prior studies. Moreover, it extends and complements these prior studies by considering three board IT governance mechanisms, four IT capabilities, and merges the two dimensions of firm performance in a developing country that offers different institutional settings and litigation environment. The study findings offer notable implications for business practitioners and industry leaders to enhance the IT environment and maximize their corporate outcomes. In addition, these findings draw the attention of the board members, management, and corporate general assemblies to recognize the importance of intensifying the investment in IT capabilities to gain superior firm performance.

The purpose of this study is to investigate whether sustainability disclosures are associated with value relevance in Bangladesh. The moderating effect of earnings management (EM) is also examined to observe the right direction in this relationship. Based on prior studies on sustainability disclosure and global reporting initiatives guidelines, this research uses the content analysis approach to assess the magnitude of sustainability initiatives of 30 Bangladeshi banking companies over the period 2009–2017. The Ohlson price model and discretionary accruals are also employed as measures of value relevant of sustainability disclosure and EM, respectively. The findings state that sustainability reports positively affect the equity value, whereas EM negatively moderates the direction of this association. The results also confirm that management should be responsive of the impending capital market effects of voluntary disclosures regarding sustainability issues. These findings could have several implications for banks, investors, and policymakers.

This paper aims to propose a liquidity management solution for Islamic financial institutions (IFIs) that concurs with sustainable development and financial stability. The study is a qualitative research. It uses the exploratory research methodology, specifically the content analysis approach, to gather primary data and identify and interpret relevant secondary data and Sharīʿah concepts. The purpose is to develop a liquidity management solution for IFIs. The proposal is based on the Unleveraged Green Investment Trust (UGIT) model, which is consistent with Basel III regulatory requirements. In developing the UGIT model, the exploratory research was complemented by a case study to examine the UGIT solution for the particular case of renewable energy. The model demonstrates how financial innovation can meet both financial stability and sustainable development objectives, thereby achieving the spirit of Islamic finance. The structure further highlights the importance of regulatory and fiscal frameworks to enhance liquidity management and investor appeal for green financial instruments. This study suggests a structure of UGIT to enable IFIs to meet their liquidity management needs while promoting sustainable development.

The interpretation of managers of environmental changes helps in identifying the gaps between the environment and a firm’s capabilities. This in turn can support a firm’s ability to use dynamic capabilities in an effective way to reconfigure the firm’s resources into new operational capabilities that better match the environment and to exploit environmental opportunities. However, extant studies have ignored the moderating role of managers’ interpretation of environmental changes in the capabilities building paradigm. This study empirically examines the moderating role of environmental interpretation in the relationship between dynamic capabilities and improvement capabilities. To operationalise environmental interpretation to enable the development of a measurable model for this construct, which has yet to be developed, 209 large manufacturing firms were selected as a sample to study the relationship between environmental interpretation and firm’s capabilities. By applying the PLS-SEM technique, this study finds that environmental interpretation moderates the relationship between learning capability, integrating capability and coordinating capability and improvement capability.