ABSTRACT
This chapter attempts to address the issues of Shariah governance (SG) in Islamic financial institutions (IFIs). It begins with the definition of Islamic and conventional corporate governance, and it is followed by making a comparison between the two frameworks. The fundamentals of Islamic corporate governance (ICG) are explained in detail, emphasizing the components of its institutional framework. Then, the stance of ICG on the shareholder versus stakeholder model was identified. After highlighting that SG can be considered as part of the ICG framework, the issues related to SG are discussed, paying more attention to the Shariah supervisory board (SSB). Finally, the article ends by proposing a new SG framework to overcome the current issues and bring a unique perspective on the Shariah supervisory process in IFIs.
