Islamic banking: an exploratory study of public perception in Uganda

Purpose – Islamic banking (IB) has been globally embraced by over 76 countries, with over $2tn in assets. Despite this remarkable progress, there are countries that are yet to fully embrace IB (Uganda inclusive). All the ongoing initiatives in Uganda (at policy level) to establish IB require suppo...

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Main Authors:	Lujja, Sulaiman, Mohammed, Mustafa Omar, Hassan, Rusni
Format:	Article
Language:	English English English
Published:	Emerald 2018
Subjects:	HG3368 Islamic Banking and Finance HG4001 Financial management. Business finance. Corporation finance.
Online Access:	http://irep.iium.edu.my/65543/ http://irep.iium.edu.my/65543/ http://irep.iium.edu.my/65543/ http://irep.iium.edu.my/65543/1/65543_Islamic%20bankin%20an%20exploratory_article.pdf http://irep.iium.edu.my/65543/2/65543_Islamic%20bankin%20an%20exploratory_scopus.pdf http://irep.iium.edu.my/65543/13/65543_an%20exploratory%20study%20of%20public%20perception%20in%20Uganda.WOS.pdf

id	iium-65543
recordtype	eprints
spelling	iium-655432019-01-04T08:01:51Z http://irep.iium.edu.my/65543/ Islamic banking: an exploratory study of public perception in Uganda Lujja, Sulaiman Mohammed, Mustafa Omar Hassan, Rusni HG3368 Islamic Banking and Finance HG4001 Financial management. Business finance. Corporation finance. Purpose – Islamic banking (IB) has been globally embraced by over 76 countries, with over $2tn in assets. Despite this remarkable progress, there are countries that are yet to fully embrace IB (Uganda inclusive). All the ongoing initiatives in Uganda (at policy level) to establish IB require supporting study of public awareness and attitudes toward IB. This will stimulate a down-top approach to the feasibility of IB and policymaking, thus providing a fertile ground for wider consideration of the majority stakeholders’ views in formulating standards and policy guidelines regulating IB. This study aims to explore the perception of Ugandans towards IB. Design/methodology/approach – The study is exploratory in nature and uses a quantitative method. Out of the 400 questionnaires distributed, only 354 were usable for further analysis. SPSS 21 was used to analyze data using descriptive statistics and factor analysis. Findings – Major findings indicate that unlike non-Muslims, Muslims are more knowledgeable about the IB culture, although both groups have low awareness about IB terminologies. There were inconsistences in Muslim and non-Muslim attitudes toward IB, for instance; while non-Muslims are motivated by “profitability”, Muslims’ inclination to IB is mainly due to “religious and profitability combined”. Both groups demonstrated some uniformity in their selection criteria of banks such as “third party influence”, although they are inconsistent in other factors. Originality/value – The novelty of this study rests in its down-top approach to feasibility of IB by gauging the perception of majority stakeholders before IB is established. The study is conducted in a heterogeneous society unlike many of similar studies that have focused on Muslim majority countries. As most studies (with similar background) are at least 18 years old, this study remains outstanding in gauging the dynamics of stakeholders in Muslim minority countries which have yet established IB. Emerald 2018 Article NonPeerReviewed application/pdf en http://irep.iium.edu.my/65543/1/65543_Islamic%20bankin%20an%20exploratory_article.pdf application/pdf en http://irep.iium.edu.my/65543/2/65543_Islamic%20bankin%20an%20exploratory_scopus.pdf application/pdf en http://irep.iium.edu.my/65543/13/65543_an%20exploratory%20study%20of%20public%20perception%20in%20Uganda.WOS.pdf Lujja, Sulaiman and Mohammed, Mustafa Omar and Hassan, Rusni (2018) Islamic banking: an exploratory study of public perception in Uganda. Journal of Islamic Accounting and Business Research, 9 (3). pp. 336-352. ISSN 1759-0817 E-ISSN 1759-0825 https://www.emeraldinsight.com/doi/pdfplus/10.1108/JIABR-01-2015-0001 10.1108/JIABR-01-2015-0001
repository_type	Digital Repository
institution_category	Local University
institution	International Islamic University Malaysia
building	IIUM Repository
collection	Online Access
language	English English English
topic	HG3368 Islamic Banking and Finance HG4001 Financial management. Business finance. Corporation finance.
spellingShingle	HG3368 Islamic Banking and Finance HG4001 Financial management. Business finance. Corporation finance. Lujja, Sulaiman Mohammed, Mustafa Omar Hassan, Rusni Islamic banking: an exploratory study of public perception in Uganda
description	Purpose – Islamic banking (IB) has been globally embraced by over 76 countries, with over $2tn in assets. Despite this remarkable progress, there are countries that are yet to fully embrace IB (Uganda inclusive). All the ongoing initiatives in Uganda (at policy level) to establish IB require supporting study of public awareness and attitudes toward IB. This will stimulate a down-top approach to the feasibility of IB and policymaking, thus providing a fertile ground for wider consideration of the majority stakeholders’ views in formulating standards and policy guidelines regulating IB. This study aims to explore the perception of Ugandans towards IB. Design/methodology/approach – The study is exploratory in nature and uses a quantitative method. Out of the 400 questionnaires distributed, only 354 were usable for further analysis. SPSS 21 was used to analyze data using descriptive statistics and factor analysis. Findings – Major findings indicate that unlike non-Muslims, Muslims are more knowledgeable about the IB culture, although both groups have low awareness about IB terminologies. There were inconsistences in Muslim and non-Muslim attitudes toward IB, for instance; while non-Muslims are motivated by “profitability”, Muslims’ inclination to IB is mainly due to “religious and profitability combined”. Both groups demonstrated some uniformity in their selection criteria of banks such as “third party influence”, although they are inconsistent in other factors. Originality/value – The novelty of this study rests in its down-top approach to feasibility of IB by gauging the perception of majority stakeholders before IB is established. The study is conducted in a heterogeneous society unlike many of similar studies that have focused on Muslim majority countries. As most studies (with similar background) are at least 18 years old, this study remains outstanding in gauging the dynamics of stakeholders in Muslim minority countries which have yet established IB.
format	Article
author	Lujja, Sulaiman Mohammed, Mustafa Omar Hassan, Rusni
author_facet	Lujja, Sulaiman Mohammed, Mustafa Omar Hassan, Rusni
author_sort	Lujja, Sulaiman
title	Islamic banking: an exploratory study of public perception in Uganda
title_short	Islamic banking: an exploratory study of public perception in Uganda
title_full	Islamic banking: an exploratory study of public perception in Uganda
title_fullStr	Islamic banking: an exploratory study of public perception in Uganda
title_full_unstemmed	Islamic banking: an exploratory study of public perception in Uganda
title_sort	islamic banking: an exploratory study of public perception in uganda
publisher	Emerald
publishDate	2018
url	http://irep.iium.edu.my/65543/ http://irep.iium.edu.my/65543/ http://irep.iium.edu.my/65543/ http://irep.iium.edu.my/65543/1/65543_Islamic%20bankin%20an%20exploratory_article.pdf http://irep.iium.edu.my/65543/2/65543_Islamic%20bankin%20an%20exploratory_scopus.pdf http://irep.iium.edu.my/65543/13/65543_an%20exploratory%20study%20of%20public%20perception%20in%20Uganda.WOS.pdf
first_indexed	2023-09-18T21:33:00Z
last_indexed	2023-09-18T21:33:00Z
_version_	1777412636318629888

Islamic banking: an exploratory study of public perception in Uganda

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