Title: Environmental, social and governance disclosure practices of Islamic banks across Asian countries: changes around the COVID-19 period

Authors: Rabeya Basri; Syed Mamun; Alima Aktar

Addresses: Department of Economics and Social Sciences (ESS), BRAC University, Dhaka, Bangladesh ' Department of Economics and Social Sciences (ESS), BRAC University, Dhaka, Bangladesh ' School of Business & Economics, North South University, Dhaka, Bangladesh

Abstract: This study examines the environmental, social and governance (ESG) disclosure practices of 30 Islamic banks in Asian countries, comparing data from 2018 and 2023. Using a 44-items ESG disclosure index (ESGDI) based on global ESG frameworks and Islamic finance dimensions, the study applies parametric and non-parametric tests to examine changes in ESG reporting. Results demonstrate a significant increase in ESG disclosure across the banks with the highest improvement of environmental disclosure items. The study contributes to agency theory and legitimacy theory by offering insights into the roles of regulatory pressures and stakeholder expectations in shaping disclosure practices. These results have implications for policymakers and management seeking to enhance transparency and sustainability in Islamic banks.

Keywords: ESG disclosure; agency theory; legitimacy theory; Islamic banks; COVID-19; sustainability reporting.

DOI: 10.1504/JIBED.2026.155052

Journal for International Business and Entrepreneurship Development, 2026 Vol.18 No.1, pp.110 - 129

Received: 13 Nov 2025
Accepted: 28 Mar 2026
Published online: 24 Jul 2026 *

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