Islamic Banking: Awareness, Attitude and Willingness among Potential Customers in Kerala

By

ACKNOWLEDGEMENT

I would like to thank my supervisor for supporting me throughout my project and giving his valuable suggestions. Finally thanks to all my friends and family for their utmost support and inspiration.

DECLARATION

I, (Your name), would like to declare that all contents included in this dissertation stand for my individual work without any aid, & this dissertation has not been submitted for any examination at academic as well as professional level previously. It also represents my own views & not essentially the ones associated with university.

Signed __________________ Date _________________

TABLE OF CONTENTS

ACKNOWLEDGEMENTii

DECLARATIONiii

CHAPTER 1: INTRODUCTION1

Introduction1

Background2

Islamic banking in Kerala2

Rationale and significance of study3

Aim and objectives of research3

Islamic Banking- an overview4

Shariah concepts in Islamic banking4

Challenges for Islamic banking in Kerala5

The researcher6

CHAPTER 2: LITERATURE REVIEW7

Retail consumer's attitude towards Islamic banking7

Attitude, Awareness and Perception of People about Islamic Banking15

Conclusion of literature review17

REFERENCES19

CHAPTER 1: INTRODUCTION

Introduction

For the partial fulfillment of the Master of Science course at AIBS at Anglia Ruskin University this dissertation is submitted. The study is based on the academic research guidelines that are presented in this dissertation. The title of the study is Islamic Banking: Awareness, Attitude and Willingness among the potential customers in Kerala. The study is about the Islamic banking in Kerala. The main perspective is from potential customer point of view.

The introduction chapter will explore the basic concept of Islamic finance and some other context in this study. Further it is clarified in the significance and rationale for the study. The second chapter will provide critical literature review and it will give the idea of the studies that are being carried out and their findings as well in reference to the topic. The idea of building the basic foundation regarding this research is clarified in the analysis and how literature review builds that. It will also help in gaining further knowledge regarding the topic. The methodology deals validity and reliability of the study, further highlights the issues related regarding the methodology. The chapter will also explain the ethical considerations and the resources that are being used in order to conduct the study. The analysis and results are presented in the fourth and fifth chapter. The conclusion and recommendation for the study is presented in the sixth chapter.

Background

Shariah or Islamic law is one of the major foundations for the Islamic financial system. This means that in Islamic finance, financial transaction are carried in the Islamic way. The concept that is being followed in the Sharia (Islamic Common Law) is regarding the Riba (interest or usury) that is being exploitative. It also explains that it is an unfair contract that is being involved for having the excessive speculation or risk. According to Islamic principles it must not be implemented (Lewis & Algaoud 2001). More concept is Islamic banking are the concept that deals with the investment that is done for non-halal businesses. These are considered as the activities that are not allowed in Islam. Islamic finance encourages starting a business by performing joint ...