Intention to adopt Islamic finance through the mediation of attitudes towards Islamic finance

Naimatullah Shah, Mitho Khan Bhatti, Sadia Anwar and Bahadur Ali Soomro

Journal of Islamic Accounting and Business Research, 2023, vol. 14, issue 6, 931-951

Abstract: Purpose - This paper aims to explore the intention to adopt Islamic finance (ItIF) through the mediation of attitudes towards Islamic finance among microbusiness owners of Pakistan. Design/methodology/approach - The study is co-relational and based on cross-sectional data. The authors gathered the data from microbusiness owners through a survey questionnaire. The authors used 236 valid cases to assume the outcomes. Findings - The results through structural equation modeling reveal a significant positive effect of the perception of Shariah compliance (PoSC), knowledge of the Islamic financial system (KoIF), religious preferences (RP) and loyalty on ItIF. Furthermore, attitude towards Islamic finance (AtIF) is a potent factor in developing the relationship between PoSC, KoIF, RP, loyalty and ItIF. Practical implications - The study’s findings would be helpful for planners and policymakers in developing policies that favourably enhance the attitudes and intentions among individuals towards Islamic financing. The results would inspire readers to go to Islamic finance and an interest-free financial system enriched with Shariah law or Islamic obligations. The study would provide implications for the financial institutions in Pakistan and the rest of the Muslim world. Originality/value - The study offers an apparent thoughtfulness of the empirical evidence from microbusiness owners of Pakistan. The study would provide a plausible mediating contribution of AtIF.

Keywords: Perception of Shariah compliance; Knowledge of the Islamic financial system; Religious preferences; Loyalty; Intention to adopt Islamic finance; Attitudes towards Islamic finance (search for similar items in EconPapers)
Date: 2023
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (text/html)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (application/pdf)
Access to full text is restricted to subscribers

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eme:jiabrp:jiabr-08-2022-0205

DOI: 10.1108/JIABR-08-2022-0205

Access Statistics for this article

Journal of Islamic Accounting and Business Research is currently edited by Dr Mohammad Hudaib and Prof Roszaini Haniffa

More articles in Journal of Islamic Accounting and Business Research from Emerald Group Publishing Limited
Bibliographic data for series maintained by Emerald Support ().