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DETERMINANTS OF ISLAMIC BANKING GROWTH AMONG CONVENTIONAL BANKS IN KENYA
The purpose of this study was to establish determinants of Islamic banking growth among conventional banks in Kenya. Descriptive research design was adopted with a focus on 42 conventional banks offering financial services both conventional and Islamic window products. The study adopted factor rating technique/method which is inferential statistical tool to analysis collected data. The findings were that majority of respondents agreed that the growth is as a result of religious value with 14.29 percent of the respondents strongly agreed while 2.8 percent agreed. The conclusion arrived out of the study is that Religious Values is the key determinant to Islamic banking growth among conventional banks in Kenya. The study proved that Islamic banking among conventional banks is attracting customers based on their religion at the expense of its product features and innovativeness, more so the products are still offered to Muslims only despite banks doing a lot of marketing to both Muslims and non-Muslims. The researcher recommends that future research activity be done on the compliance aspect with a focus on growth and compliance aspect of the sector in the newly thriving sector of the banking industry.
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