Muhammad AhmedFollow

Degree

Master of Science in Islamic Banking & Finance

Department

Department of Finance

Faculty/ School

School of Business Studies (SBS)

Date of Submission

Spring 2022

Supervisor

Dr. Irum Saba, Associate Professor and Program Director MS-IBF, Department of Finance, Institute of Business Administration (IBA), Karachi

Keywords

Islamic banking, Customer Perception, Shariah Compliance, Service Quality

Abstract

The study aims to find out the customer perception towards Islamic banking in Pakistan. The sample consists of 180 participants from Karachi which is commercial hub of Pakistan home to headquarters of almost all the commercial Islamic banks. Data collected through online questionnaire based on SERVQUAL and CARTER model and data analysis performed on SPSS. The results indicate a positive correlation between Shariah compliance and service quality. According to the findings, additional effort is needed to improve customer perceptions of interest-free financing, savings, charges deduction by Islamic banks compared to conventional banks, profit rates offered by Islamic banks versus conventional banks, and provision of financing on favorable terms. The service quality dimension of empathy has the lowest score for perception while shariah compliance has the lowest score as compared to the four service quality dimensions. Improvement in Shariah compliance and service quality can increase the satisfaction of customer. Cross sectional study limits generalizability and sample includes majority of people who are highly educated and only from Karachi. Future studies can include sample including people from different cities of Pakistan and having different qualification levels. In future Longitudinal study can be conducted to see how perception changes with the passage of time.

Document Type

Restricted Access

Submission Type

Research Project

Download
Find in IBA Library Catalog

The full text of this document is only accessible to authorized users.

Share

COinS