The Acceptance of Islamic Banking Products in Libya: A Theory of Planned Behavior Approach
The purpose of this paper is to identify key factors affecting acceptance level of Islamic banking customers in Libya. Despite of growth of Islamic banking all over the world, it is still underdeveloped financial sector in Libya. Libyan customers are unaware of Islamic banking and are unable to make...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
| Published: |
IJEFI
2018
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| Online Access: | http://umpir.ump.edu.my/id/eprint/21139/ http://umpir.ump.edu.my/id/eprint/21139/1/The%20Acceptance%20of%20Islamic%20Banking%20Products%20in%20Libya-fim-2018.pdf |
| _version_ | 1848821282416623616 |
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| author | Albashir, Walid Ali Yuserrie, Zainuddin Panigrahi, Shrikant |
| author_facet | Albashir, Walid Ali Yuserrie, Zainuddin Panigrahi, Shrikant |
| author_sort | Albashir, Walid Ali |
| building | UMP Institutional Repository |
| collection | Online Access |
| description | The purpose of this paper is to identify key factors affecting acceptance level of Islamic banking customers in Libya. Despite of growth of Islamic banking all over the world, it is still underdeveloped financial sector in Libya. Libyan customers are unaware of Islamic banking and are unable to make decision on the acceptance of Islamic banking. We suggest a modified theory of planned behaviour model including perceived risk as an important ingredient to customer decision making process. The model is tested against a sample of 293 banking customers using self-administered survey questionnaire. The quantitative results revealed that subjective norm and perceived behavioural control are more significant to increase intention to use Islamic banking. Customer attitude and perceived risk was found to have no significant influence on intention to accept Islamic banking at 0.05 level. This research suggests that Islamic banks need to develop effective marketing strategy emphasizing on sharia instrument like Islamic assurance and beliefs along with perceived risk to satisfy the value of potential customers. As an implication, focusing on risk management while providing quality information to the customers towards Islamic banking products will lead to increase customer’s intention. |
| first_indexed | 2025-11-15T02:22:52Z |
| format | Article |
| id | ump-21139 |
| institution | Universiti Malaysia Pahang |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T02:22:52Z |
| publishDate | 2018 |
| publisher | IJEFI |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | ump-211392018-08-29T04:40:48Z http://umpir.ump.edu.my/id/eprint/21139/ The Acceptance of Islamic Banking Products in Libya: A Theory of Planned Behavior Approach Albashir, Walid Ali Yuserrie, Zainuddin Panigrahi, Shrikant HG Finance The purpose of this paper is to identify key factors affecting acceptance level of Islamic banking customers in Libya. Despite of growth of Islamic banking all over the world, it is still underdeveloped financial sector in Libya. Libyan customers are unaware of Islamic banking and are unable to make decision on the acceptance of Islamic banking. We suggest a modified theory of planned behaviour model including perceived risk as an important ingredient to customer decision making process. The model is tested against a sample of 293 banking customers using self-administered survey questionnaire. The quantitative results revealed that subjective norm and perceived behavioural control are more significant to increase intention to use Islamic banking. Customer attitude and perceived risk was found to have no significant influence on intention to accept Islamic banking at 0.05 level. This research suggests that Islamic banks need to develop effective marketing strategy emphasizing on sharia instrument like Islamic assurance and beliefs along with perceived risk to satisfy the value of potential customers. As an implication, focusing on risk management while providing quality information to the customers towards Islamic banking products will lead to increase customer’s intention. IJEFI 2018 Article PeerReviewed application/pdf en cc_by http://umpir.ump.edu.my/id/eprint/21139/1/The%20Acceptance%20of%20Islamic%20Banking%20Products%20in%20Libya-fim-2018.pdf Albashir, Walid Ali and Yuserrie, Zainuddin and Panigrahi, Shrikant (2018) The Acceptance of Islamic Banking Products in Libya: A Theory of Planned Behavior Approach. International Journal of Economics and Financial Issues, 8 (3). pp. 105-111. ISSN 2146-4138. (Published) http://www.econjournals.com/index.php/ijefi/article/view/6193 |
| spellingShingle | HG Finance Albashir, Walid Ali Yuserrie, Zainuddin Panigrahi, Shrikant The Acceptance of Islamic Banking Products in Libya: A Theory of Planned Behavior Approach |
| title | The Acceptance of Islamic Banking Products in Libya: A Theory of Planned Behavior Approach |
| title_full | The Acceptance of Islamic Banking Products in Libya: A Theory of Planned Behavior Approach |
| title_fullStr | The Acceptance of Islamic Banking Products in Libya: A Theory of Planned Behavior Approach |
| title_full_unstemmed | The Acceptance of Islamic Banking Products in Libya: A Theory of Planned Behavior Approach |
| title_short | The Acceptance of Islamic Banking Products in Libya: A Theory of Planned Behavior Approach |
| title_sort | acceptance of islamic banking products in libya: a theory of planned behavior approach |
| topic | HG Finance |
| url | http://umpir.ump.edu.my/id/eprint/21139/ http://umpir.ump.edu.my/id/eprint/21139/ http://umpir.ump.edu.my/id/eprint/21139/1/The%20Acceptance%20of%20Islamic%20Banking%20Products%20in%20Libya-fim-2018.pdf |