Author(s): Shafiqul Hassan, Mohsin Dhali, Yasir Javed, Shabir Hussain Khahro
The international legal structure plays a vital role in propelling international trade, and economic growth and stability throughout the world cannot be underestimated. Little connection is clearly made in the existing literature using the instrumentality of international legal structure in promoting the international economy and cross-border transactions in recent times. In addition, the extent of this is obscured in the existing body of knowledge, especially among selected Organization of Islamic Cooperation (OIC) countries (Malaysia, Nigeria & Bangladesh). The prime purpose of this study is to develop a conceptual framework in exploring the correlation between international legal structure (ILS) and cross-border transaction (CBT) as well as the significant difference between international legal structure (ILS) and economic development (ECD). The methodology employed in this research was a descriptive quantitative survey design. The convenient sampling technique was used to select 201 respondents, and the questionnaire was used to collect data among the experts and practitioners of international law and trade activities. As for the analysis of the data, descriptive statistics, correlation and t-test were employed via Statistical Package for Social Science (SPSS) version 23.0. The findings from the descriptive statistics showed that the respondents' were qualified to respond to the research instrument. It is further suggested from Pearson Product-Moment Correlations that there was a positive correlation between international legal structure (ILS) and cross-border transaction (CBT) because the coefficient of determination indicated 77.8% of the shared variance of the data output (r=.606, n=201, p<.000) was more than the required threshold of .05. The result of the t-test analysis showed a significant role in international legal structure in fostering economic development and stability of international trade and business. Therefore, it is imperative to have an international legal structure for international trade and transaction to drive world trade and economic development.