Journal of Governance and Regulation: Volume 7, Issue 3 has been published

We are pleased to present the new issue of the journal in 2018. This issue of the Journal of Governance and Regulation includes interesting articles concerning critical aspects of the main relationships between banking regulation, corporate governance and the last financial crisis, looking both at the empirical data and at the most recent market practices.

Christos Lemonakis, Alexandros Garefalakis, Xanthos Georgios, and Hara Haritaki focuse on the efficiency measures of banking institutions from sixteen Eastern European countries, the Balkans and Turkey. Authors examine whether banks are actively operating differently at a regional level during the under-review period to focus on the development of the crisis. In the paper, authors use the performance measure that was obtained from the analysis using basic banking accounting characteristics such as capital ratios, assets quality, leverage, liquidity, and operations financial ratio as independent variables.

George Drogalas, Evgenia Anagnostopoulou, Andreas Koutoupis, and Michail Pazarskis investigate the importance of internal audit in corporate governance and, simultaneously, the degree of importance of the internal auditor regarding corporate governance. An empirical survey was conducted by distributing a questionnaire in Greek firms listed on the Athens Stock Exchange. More particularly, internal audit quality and internal audit senior management support are statistically significantly associated with enhanced corporate governance effectiveness, in contrast to the audit committee independence which is not statistically significant.

Abeer R. Elhessi, Amr A. Youssef, and Mohamed A. Ragheb explore whether the financial futures contracts are acceptable from Shariah perspective by examining one of the futures prohibition elements that make them unaccepted as Islamic instruments, which is Gharar (volatility of prices) in both developed countries (USA) and in emerging countries (Malaysia). This paper studied if the introduction of futures resulted in increasing the volatility of the market; and if there is a real difference between the stock index and futures’ volatility in both countries. Also, the study compared between the volatility of futures and Shariah indices to examine if their volatility differs or they are the same as Shariah indices were introduced to meet the increasing demand for Islamic investment and to fulfil Shariah rules and regulations.

Francesco Di Tommaso deals with the research that applies the organizational model of the business organization of corporate governance, to a process of changing in the organizational structure. This paper defines the various organizational solutions and the various levels of complexity that the corporate governance structure, through its reference context, the load of available information and objectives, must support by choosing the optimal organizational solution. The importance of the theme of corporate governance in the world is further increased thanks to the drafting of the international Corporate Governance Code for listed companies, which aims to reassure the community of international investors on the existence, in listed companies, of an organizational model which provides for adequate allocation of responsibilities and powers, and a correct one balance between management and control.

José Dias Lopes examines financial crisis, which began in 2007, in the banking regulation and supervision research agendas. The crisis, as the most important economic and social event of the beginning of this century, has triggered debates in multiple spaces and across frameworks, in politics, the media, social networks, and elsewhere. With this paper, the author tries to understand the impact of the financial crisis started in 2007 in the research published about banking regulation. This study testifies to a change in interest focuses, with new themes emerging, such as politics, Basel III, systemic risk, and regulatory capture. Further, the keywords with value at risk, Basel II, Basel Capital Accords, and market discipline lost some ground in literature.

Kanellos Toudas studies the convergence of corporate financial statements in context international accounting frameworks. Quantitative research revealed that there are differences in both the balance sheet presentation of debt and classification of D. Tax assets/liabilities, as well as the presentation of extraordinary items in the income statements. The research concludes the developments and the governance of existing reporting frameworks over the last decade, from which conclusions are drawn, and future studies towards the convergence are suggested.

To access the issue of the journal visit this page.

The Journal of Governance and Regulation is published quarterly on the rolling basis. Currently, we call for papers for the next issue of the journal to be finalized in December, 2018. For instructions for authors please visit this page.

We hope that you will enjoy reading the journal and in future we will receive new papers, outlining the most important issues and best practices of governance and regulation!