Abstract
Although the important influence of IFIs on economic growth is acknowledged, yet the contribution of Nigeria’s IFIs shows a gross underperformance. In addition, the practice of Islamic Finance is increasingly being viewed as not only serving as alternative for the Muslims but successful business practices around the world. Previous literature reveals that theoretical contributions in the area remained limited in the Nigerian, therefore, there is a need for more studies on corporate governance in the context of IFIs, especially in Nigeria, where IFI are considered as important financial institutions to the Muslims. Moreover, studies in Nigeria revealed absence of comprehensive framework for the Islamic finance industry. On the other hand, poor Islamic Work Ethics conquers a central position for the low performance of Nigerian IFIs. The paper presents a theoretical framework on the moderating effect of Islamic Work Ethics on the relationship between Islamic corporate Governance practices and the performance of Islamic Financial Institutions (IFIs) in Nigeria. If validated, the model would have policy implications to IFIs and other stakeholders in decision making.
Highlights
Local government is the ‘grass root’ government or the third tier government, closest to the citizen
There is a prominent trend in many countries worldwide to embrace local government reform that is intended at improving service delivery besides economic efficiency and government accountability (Dzurllkanian et al, 2008)
The quality of service delivery is measure based on basic services provided by local governments and services commonly received by majority resident at administered area
Summary
Local government is the ‘grass root’ government or the third tier government, closest to the citizen. Not transparent in decisions making; irresponsive, bureaucratic red tape delay of action (Kaliannan et al, 2009), inefficient and many more These problems affect the quality of service delivery, and tarnish the third government reputation. The increased education level of the citizen has led to a more vocal and more discerning citizenry that expects better services and accountability from their local authorities (Siti-Nabiha, 2010). This is indicative that for a nation to deliver services efficiently and effectively, an effective governance accountability framework which involves demands by upward and downward at the local level is essential. The study aims to investigate the quality of service delivery in Perak local government and provide suggestion that will improve the public service delivery system effectively and timely
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