Customers’ Perception of Islamic Banking in Oman: A Case Study of Dhofar Region

Authors

  • Seemab Rana Lecturer, Business Studies Department, University of Technology and Applied Science, Salalah, Oman. Author
  • Ms. S. Fazilathunissa Lecturer, Business Studies Department University of Technology and Applied Sciences, Salalah, Oman. Author
  • Ms. Fatima Mohammed Al Shahri Lecturer, Business Studies Department University of Technology and Applied Sciences, Salalah, Oman. Author

Keywords:

Sharia’h-compliant products and services, Islamic Banking, Consumer Perception

Abstract

Islamic banks are meant to provide Sharia’h[i] complaint products and service. The awareness level of the respondents determines the demand of Sharia’h products while the quality of products determines the satisfaction level of respondents. Collectively, it develops the consumer’s perception about Islamic banking. In order to assess the Oman’s consumers’ perception about Islamic banking, a questionnaire-based survey is conducted in Dhofar region. The responses of 14 questions are analysed in this research to know about the Oman’s consumers perception about the Islamic banking system. This research concludes that due to sufficient level of awareness among consumers and improved quality provision of Islamic products by banks, an ample share of population showed tendency towards Islamic banking products. A good strategic approach towards marketing of sharia/h products are required to further improve the satisfaction level of consumers in Oman.

 

[i] Islamic rules

References

Alam, M. K., Rahman, S. A., Hossain, M. S., & Hosen, S. (2019). Sharia’h governance practices and regulatory problems of Islamic insurance companies in Bangladesh. International Journal of Academic Research in Business and Social Sciences, 9(1), 109-124.

Al-Ghassani, A. M., Al-Lawati, A. M., & Ananda, S. (Eds.). (2017). Banking Sector in Oman: Strategic Issue, Challenges and Future Scenarios. College of Banking and Financial Studies.

Ariff, M. (2016). Islamic Banking in Oman: Solid growth prospects moderated by industry challenges. Retrieved from www.moodys.com

Bank Muscat annual report (2023). Retrieved from https://www.annualreports.com/HostedData/AnnualReports/PDF/bank-muscat_2023.pdf

Begum, S. (2014). The SIJ transactions on industrial, financial & business management (IFBM), 2 (4).

Buchari, I., Rafiki, A., & Al Qassab, M. A. H. (2015). Awareness and attitudes of employees towards Islamic banking products in Bahrain. Procedia Economics and Finance, 30, 68-78.

Dogarawa, A.B. (2015). An exploratory study of the economic viability of and opportunities for Islamic banking in Nigeria. IJRMEC, 2(1).

Hussien, A., (2010). Global Financial Crisis and Islamic Finance. MPRA Paper No. 22167

Husam Basiddiq & Seemab Rana, 2024. "Banking System in Oman," World Scientific Book Chapters, in: Khaled Hussainey & Tamanna Dalwai (ed.), Handbook of Banking and Finance in the MENA Region, chapter 7, pages 171-192, World Scientific Publishing Co. Pte. Ltd

Kearney (2012). The future of Islamic Banking. A.T.Kearney.Inc. Retrieved from http://www.bankmuscat.com/enus/ CSR/Documents/BM_Sustainability_Report.pdf.

Khan, M. S. N., Hassan, M. K., & Shahid, A. I. (2007). Banking behaviour of Islamic bank respondents in Bangladesh. Journal of Islamic Economics, Banking and Finance, 3(2), 159-194.

Khursheed, A., Fatima, M., & Mustafa, F. (2021). Respondents’ Perceptions toward Islamic Banking in the Gulf Region. Turkish Journal of Islamic Economics, 8(1).

Lodhi, R. N. (2020). Awareness, Understanding, and Usage of Islamic Banking Products and Services: A Case of Respondents' Satisfaction Towards Islamic Banking in Pakistan. Islamic Banking and Finance Review, 7(1).

Mansour, I. H. F., Eljelly, A. M., & Abdullah, A. M. (2016). Consumers’ attitude towards e-banking services in Islamic banks: the case of Sudan. Review of International Business and Strategy, 26(2), 244-260.

Metawa, S. A., & Almossawi, M. (1998). Banking behaviour of Islamic bank respondents: perspectives and implications. International journal of bank marketing, 16(7), 299-313.

Ozsoy, I. (2016). An Islamic suggestion of solution to the financial crises. Procedia Economics and Finance, 38, 174-184.

Rahman, M. K., Hoque, M. N., Yusuf, S. N. S., Yusoff, M. N. H. B., & Begum, F. (2023). Do respondents’ perceptions of Islamic banking services predict satisfaction and word of mouth? Evidence from Islamic banks in Bangladesh. PLoS One, 18(1), e0280108.

Rammal, H. G., & Zurbruegg, R. (2013). Awareness of Islamic banking products among Muslims: The case of Australia. Journal of Financial Services Marketing 13(1), 65-74.

Shinkafi, A. A., Yahaya, S., Mohammed, A. I., & Ali, N. A. (2023). Awareness strategies of Islamic banking system: Evidence from Malaysia. Review of Socio-Economic Perspectives, 8(2), 87-94.

Downloads

Published

2024-09-30

How to Cite

Customers’ Perception of Islamic Banking in Oman: A Case Study of Dhofar Region. (2024). International Research Journal of Management and Social Sciences, 5(3), 275-291. https://irjmss.com/index.php/irjmss/article/view/385

Similar Articles

1-10 of 125

You may also start an advanced similarity search for this article.