Nigerian retail customers’ adoption of online banking in an Islamic Bank

Purpose: The main purpose of this study is to present the pilot study result on the adoption of online banking by Nigerian retail customers of an Islamic Bank. Methodology: An extended Technology Acceptance Model was modified with awareness, trust and technology quality. Factor analysis and principal component analysis were conducted. A sample of sixty one Nigerian students of Linton University College and Nigerian staff of Nigerian High Commission in Malaysia were utilized in the study.Findings: The result revealed that reliability estimates for internal consistency Cronbach’s Alpha for all the thirty seven items used on seven construct ranged between 0.8 to 0.9 which is above 0.7. This indicates statistically acceptable internal consistency reliability. Originality/value: Despite significant contribution of online banking in enhancing globalisation of banking industry, less attention has been made on on the adoption of online banking in a developing nation like Nigeria. Indeed, most of the studies were conducted in developed countries. Thus, this study sought to explore the adoption of online banking in an Islamic bank that is from the retail customer’s perspective. The findings of this paper will be of importance to both financial industry and financial policy formation and future researchers in the field of online banking especially in Islamic banks

Financial exclusion and livelihood assets acquisition among muslim households in Ilorin, Nigeria : a structural invariance analysis.

This study examined the relationship that exists between the latent variables of financial exclusion (credit, savings, and remittances) and sustainable livelihood assets (social capital, natural capital, physical capital, and human capital) among some poor Muslim households in Ilorin, Kwara State, Nigeria. Data elicited via survey questionnaire administered on poor Muslim households was analysed based on both factor analysis and structural equation modelling using SPSS 19.0 and Amos 19.0 software. The results indicated that the lack of financial inclusion significantly and statistically impedes the acquisition of the livelihood assets. The invariance analysis also revealed that both gender and educational attainment do not moderate the hypothesised structural model. The relatively small sample size and coverage of study area are major limitations to generalizing the findings. Nonetheless, the findings imply that financial inclusion strategies in Nigeria and perhaps in other Muslim majority areas should be located within a broader sustainable livelihood framework. This paper contributes to the literature on implication of financial exclusion from an integrated welfare analysis perspective given that access to, and uses of finance are viewed as independent rather than conjoined

Competence in Medical Practice as Perceived by Malaysian Medical Interns: A Measurement Invariance Analysis

This study investigates the perception of Malaysian housemen on what the indicators of competence are in the medical practice. This derives from the need for the interns to have the requisite skill needed to make them competent in the post-medical school medical practice. A survey questionnaire was administered on all 2,046 housemen in all medical schools across Malaysia as at April 30, 2008 when data was collected. Data so obtained were subjected to statistical analysis based on N=1213 using both the structural equation modeling via SPSS AMOS 18 software. Nine skills were identified in all. These are interpersonal, IT, patient management, basic, holistic, science, ethics, coping, and clinical skills. While all the skills were found to be statistically significant, no factorial invariance was observed when the data is split into demographic divides

The behavioral biases of Muslims in Islamic banking and finance: a second-order self-reported religiosity measurement invariance

This study examines a measurement invariance of a second-order factor model of the behavioral biases in Islamic banking and finance activities among Muslims in Malaysia. Data elicited via a survey questionnaire was subjected to structural equation modeling analysis using the Amos 23.0 software. The study revealed that behavioral biases as a second-order factor is indicated by herding, cognitive dissonance, anchoring, regret aversion and overconfidence of first order factors. Measurement invariance was tested based on self-reported religiosity across a number of hierarchically structured invariance analysis models, including configural at the first-order level, metric, intercepts, and residuals at both the first-order and second-order levels. A significant variance was observed between the high and low self-reported religiosity groups. However, no difference was observed between the two groups and the ‘moderate’self-reported religiosity groups. Furthermore, based on the critical ratio score of statistical significance at alpha of 0.001, the latent mean difference tests of the second-order model indicates statistical significance across groups based on a path-by-path analysis

Malaysian islamic banks’ efficiency: an intra-bank comparative analysis of islamic windows and full-fledged subsidiaries

This paper aims to fill an apparent dearth of empirical studies that compare the efficiency of Islamic banks in Malaysia during their operation as Islamic windows and later transformation to full-fledged Islamic banks. Data obtained from the annual financial reports of the sampled banks is analyzed using the Data Envelopment Analysis (DEA) via DEAP 2.1 software to assess both the technical and scale efficiency of the banks under sample. Results obtained indicate that the banks have improved over the years in terms of both scale and technical efficiency although the former takes prominence. In general, the banks were found to be more efficient as Islamic windows compared to being full-fledged subsidiaries. This augurs well for the current disposition where, as per the Islamic Financial Service Act 2013, Islamic banks in Malaysia may now operate as full-fledged banks from their hitherto Islamic banking window status

Islamic capital market and debt financing of Shariah-compliant firms in Indonesia

Islamic Capital Market (ICM) is expanding rapidly worldwide and Indonesia is following very closely. Examining 290 shariah-compliant Indonesian firms, we found that certain firm and industry level determinants do influence the debt financing without ignoring the shariah principles governing the decisions. The ICM accelerating growth is very much reflected in the findings, thus contributing significantly in the literature and to the policymakers as well. Being shariah-compliant does not hinder them from engaging in higher debt with Islamic debt instruments employed as alternatives

An empirical investigation of banking customers’ perception of the viability of Islamic banking in Côte d’Ivoire

This study empirically examines the perceptions of bank customers in Côte d’Ivoire on the viability of Islamic banking in the country. Specifically, the study investigates the level of awareness of the bank customer respondents about Islamic banking as well as the factors that motivate their patronage. A sample of 274 respondents residing in Abidjan, Côte d’Ivoire took part in this research. The data elicited via an adapted research instrument is subjected to both descriptive and inferential statistics using IBM SPSS AMoS software version 21. The results reveal that most of the Ivorian bank customers are aware of Islamic banking but lack knowledge about its operation. Moreover, the customers indicate commendable willingness to patronize the Islamic banks when established in Côte d’Ivoire as long as it is not relatively costlier to do so. The likely patronage-influencing factors include religion, banking-related and customer-related factors, and societal norms. Recommendations based on research findings are also offered