Qualitative Study in Identifying Factors Affecting the Behavior of Muslim Generation Y Towards Islamic Home Financing Products in Malaysia

House is the most important basic need for the human survival, however many individuals especially those who are categorised in the category of generation Y still do not acquire a house due to various factors. It is quite a normal practice for most of home-buyers in Malaysia to purchase a house through banking institutions. However, as a Muslim, it is an obligation to purchase and acquire a house through Islamic financial institutions (IFIs) as it is accordance to the Shariah principle. The objective of the study is to qualitatively identify factors affecting the behavior of Muslims generation Y in Malaysia towards Islamic home financing products. Apparently, it is found that religious belief, profit rate, offer and promotion, and fast service (loan approval) are factors in affecting Muslims generation Y in choosing Islamic home financing products. Afterwards, the study proposed to integrate the findings (identified factors) with the theory of Attitude-Behavior-Context (ABC). The study findings are expected to contribute significantly to the theory, methodology, and empirical practices.

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Mushārakah—A Realistic Approach to the Concept in Islamic Finance and its Application to the Agricultural Sector in Pakistan

Arab Law Quarterly ◽

10.1163/15730255-12341270 ◽

2014 ◽

Vol 28 (1) ◽

pp. 1-39

Author(s):

Lutfullah Saqib ◽

Kellie W. Roberts ◽

Mueen A. Zafar ◽

Khurram Khan ◽

Aliya Zafar

Keyword(s):

Financial Institutions ◽

Agricultural Sector ◽

Islamic Law ◽

Lower Class ◽

Islamic Finance ◽

Financial Problems ◽

Human Survival ◽

Realistic Approach ◽

Islamic Financial Institutions

Abstract Food is one of the basic necessities that is imperative for human survival. The majority of farmers related to agriculture belong to the lower class and are hence not in a position to fulfil their agricultural needs. Therefore, they must borrow from various sources, e.g., from individuals, organizations, and/or banks, using interest-based lending, which Muslims are prohibited from doing according to the Sharīʿah. Here the concept of mushārakah (participatory mode of finance) is the best option. The present work discusses the application of such transactions to overcome farmers’ financial problems. In this article, the concept of mushārakah is first elaborated in light of classical/contemporary Islamic law literature referring to its rules and regulations followed by a discussion on how mushārakah can be effectively applied to the agricultural sector. The concepts of muzāraʿah (temporary sharecropping contract), musāqah, diminishing mushārakah (al-mushārakah al-mutanāqisah), and customer agency are critically analyzed in such away to make these fit and viable for farmers and Islamic financial institutions.

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BAI’-AL-INAH MENURUT MUAMALAT- ANALISIS DARI PERSPEKTIF PERISIAN APLIKASI (BAI'-AL-INAH: AN ANALYSIS FROM SOFTWARE APPLICATION PERSPECTIVE)

UMRAN - International Journal of Islamic and Civilizational Studies ◽

10.11113/umran2017.4n2.105 ◽

2017 ◽

Vol 4 (2) ◽

Author(s):

Nurshuhadak Hehsan ◽

Hussin Salamon

Keyword(s):

Financial Institutions ◽

Muslim World ◽

Advisory Council ◽

Islamic Banking ◽

Software Application ◽

The People ◽

Adoption And Implementation ◽

Islamic Financial Institutions ◽

Banking Institutions ◽

Paper Work

The concept of Bai 'Al-Inah is one kind of Islamic banking loan products adopted by several Islamic financial institutions in Malaysia. Bai 'Al-Inah terms and in the context of Islamic banking is selling to raise cash immediately (immediate cash-facility). However, it is a scheme application status is still disputed by the ulama’ salaf among modern Muslim world. Research should be viewed from the aspect of both the extent to which differences of view and to what extent the adoption and implementation of these concepts are implemented according to the principles of Muamalah Fiqh. In this study, the author is looking at the performance in terms of technical (software Bai 'Al-Inah) that have been adopted so far by Islamic financial institutions in Malaysia. Selection of the concept of Bai’ Al-Inah chosen for being the highest services offered by Islamic banking institutions and is the main service subscribed by the people of Malaysia. Although the Shariah Advisory Council of Central Bank of Malaysia (BNM) has been to try and make sure to constantly keep all that felt inappropriate to claim Muamalah Fiqh. However, this does not mean that Islamic financial institutions in Malaysia are now complete for the study authors on some of the existing terms and conditions in this service is still exist some practices that conflict with the claims Muamalah Fiqh. Finally, the paper work to see the constraints that exist and make recommendations and suggestions for improvement and the reference to be updated in the future for the development of Islamic banking in Malaysia in particular and the Muslim world in general.

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THE ANALYSIS OF FACTORS AFFECTING THE DEVELOPMENT OF EQUITY FINANCING OF TRUSTEES BPRS AMANAH UMMAH BOGOR

Equilibrium Jurnal Ekonomi Syariah ◽

10.21043/equilibrium.v5i2.2811 ◽

2018 ◽

Vol 5 (2) ◽

pp. 276

Author(s):

Eka Rahmawati Pangesti ◽

Jaenal Effendi

Keyword(s):

Error Correction ◽

Financial Institutions ◽

Profit Sharing ◽

Short Term ◽

Equity Financing ◽

Correction Model ◽

Factors Affecting ◽

The Core ◽

Islamic Financial Institutions

Equity financing is a type of financing that is the core business in the Islamic financial institutions and a differentiator with conventional financial institutions. But until now, the total equity financing is still relatively low compared with other types of financing BPRS channeled. BPRS Amanah Ummah is one of the institution conducts equity financing. This study aimed to analyze the influence of sharing profit, DPK, CAR, FDR, inflation, and the BI rate to equity financing at BPRS Amanah Ummah. This study uses Error Correction Model (ECM). The results showed DPK and FDR variables significantly influence the development of equity financing in the short term while variable DPK, CAR, FDR, and the BI rate significantly influence the development of equity financing in the long term however, Profit sharing rate and inflation variable does not significantly influence the development of equity financing.

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Studi Efisiensi Perbankan Syariah di Kota Lhokseumawe dan Aceh Utara

Al-Tahrir Jurnal Pemikiran Islam ◽

10.21154/al-tahrir.v12i1.47 ◽

2012 ◽

Vol 12 (1) ◽

pp. 63

Author(s):

Iskandar Iskandar

Keyword(s):

Financial Institutions ◽

Annual Report ◽

Low Cost ◽

Banking System ◽

Islamic Banking ◽

Islamic Banks ◽

Main Difficulty ◽

Islamic Financial Institutions ◽

Banking Institutions ◽

National Banking System

The development of Islamic banking in Aceh should have get more attention because its existence is not only as complement of thenational banking system, but also as an attempt to fill the Islamic Shari ’a with the Islamic financial institutions. The issue becomes important to investigate since the efficiency of banking institutions urgently need to this performance. Thus, in this study, the efficiency of Islamic banking will be viewed from two aspects: Firstly, the ability of the bank in generating output, in this case the low cost of financing. Secondly, efficiency can also be observed by looking at the bank’s performance in minimizing the risk of financing. This study concluded that the main difficulty of Aceh Islamic banks is not the lack of cheap enough money so that the efficiency becomes less when it is compared with the required cost. However, the annual report shows that the assets of Islamic banks have developed positively and good. Likewise, the ratio of Non Performing Ratio (NPF) of Islamic banks is efficient. The study recommends enhancing the cheap fundraising (al-wadi <’ah) to increase the economic growth in the northern coastal area of Aceh.

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Factors Affecting Awareness of Phishing Among Generation Y

Asia-Pacific Management Accounting Journal ◽

10.24191/apmaj.v16i2-15 ◽

2021 ◽

Vol 16 (2) ◽

pp. 409-444

Author(s):

Nur Farhana Mohd Zaharon ◽

◽

Mazurina Mohd Ali ◽

Suhaily Hasnan ◽

◽

...

Keyword(s):

Financial Institutions ◽

Generation Y ◽

Questionnaire Survey ◽

Social Engineering ◽

Factors Affecting ◽

The Public ◽

Raising Awareness ◽

The Government ◽

Threat Avoidance ◽

Security Concern

The purpose of this study was to determine the factors affecting awareness of phishing among Generation Y in Malaysia. Specifically, this study identified three factors that may influence awareness of phishing by applying the Theory of Technology Threat Avoidance. The factors are social engineering, anti-phishing knowledge, and security concern. Data was collected through a questionnaire survey. This study found that all the factors significantly influenced awareness of phishing among Generation Y in Malaysia. The findings of this study provide a further understanding of the factors that affect awareness of phishing. This study would benefit the public, especially Generation Y, the government, and all types of businesses, including financial institutions, by raising awareness of phishing and reducing phishing attacks. Keywords: phishing, Generation Y, social engineering, anti-phishing knowledge, security concern

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Sharia Financial Technology in the Development of Bankable Micro Businesses

International Journal of Financial Research ◽

10.5430/ijfr.v11n6p203 ◽

2020 ◽

Vol 11 (6) ◽

pp. 203

Author(s):

Nunung Rodliyah ◽

Recca Ayu Hapsari ◽

Aditya Mahatidanar Hidayat ◽

Lukmanul Hakim ◽

Ade Oktariatas K

Keyword(s):

Financial Institutions ◽

Financial Inclusion ◽

Major Influence ◽

Islamic Banking ◽

Financial Industry ◽

Lower Middle Class ◽

Islamic Financial Institutions ◽

Banking Institutions ◽

Financial Technology

Fintech is one of the drivers of the existence of a movement to improve MSME finance, especially the lower middle class through Islamic financial institutions. The development of digital technology, including in the Islamic financial industry, has had a major influence with the existence of financial technology (fintech), all forms of transactions are faster, easier, and more efficient, without the need to meet in person. Financial technology collaboration with Islamic financial institutions, especially Islamic banking can increase financial inclusion at MSMEs in Indonesia. The implementation of Fintech in the Islamic banking industry will facilitate and bring business players closer, especially MSMEs to access Islamic financial service products offered and apply for financing directly without having to go directly to the branch offices. Such a model, in addition to making it easier for MSME sector business people to gain financial access, can also improve financial inclusion and improve the performance of Islamic banks. Efforts to increase the capacity of micro businesses that were originally unbankable can be increased to bankable. Where the role of related institutions such as banking and fintech, which is currently becoming popular in the community, can contribute and build micro businesses to become more independent and encourage economic development in Indonesia with the collaboration of banking institutions and micro businesses in financing.

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FACTORS AFFECTING MSME’s INTEREST TO APPLY FOR BUSINESS FINANCING IN ISLAMIC FINANCIAL INSTITUTIONS

Muhammadiyah International Journal of Economics and Business ◽

10.23917/mijeb.v1i2.9368 ◽

2018 ◽

Vol 1 (2) ◽

pp. 121-128

Author(s):

Mayda Miftakhur Rohmah ◽

Nugraheni Rintasari

Keyword(s):

Financial Institutions ◽

Quantitative Research ◽

Sampling Technique ◽

T Test ◽

Primary Data ◽

F Test ◽

Factors Affecting ◽

Islamic Financial Institutions ◽

Independent Variable ◽

Business Financing

This study aims to determine the effect of services, procedure, reputation, and promotion on the MSMEs’ interest to apply for business financing provided by Islamic financial institutions. It is a quantitative research. The data were primary data obtained from questionnaires that were distributed directly to the respondents. As many as 58 MSME actors in the Manding Leather Craft Center, Bantul, Indonesia, were involved as the respondents. The sampling technique was purposive sampling as a type of the non probability sampling method. Data analysis methods included multiple linear regression, classical assumption test, and hypothesis testing (t-test and F-test). Data processing required the assistance of SPSS 17.0. The results of the t-test show that each independent variable partially affects the MSMEs’ interest to apply for Islamic financing. Furthermore, the results of the F-test indicate that the variables of services, procedure, reputation, and promotion simultaneously affect the MSMEs’interest to apply for business financing provided by Islamic financial institutions.

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Rebate in Islamic sale-based financing contracts: Bank Negara Malaysia guidelines on ibrāʾ versus conventional finance practice

ISRA International Journal of Islamic Finance ◽

10.1108/ijif-07-2020-0155 ◽

2021 ◽

Vol ahead-of-print (ahead-of-print) ◽

Author(s):

Islam Kamal

Keyword(s):

Financial Institutions ◽

Design Methodology ◽

Relevant Literature ◽

Analysis Method ◽

Profit Rate ◽

Content Type ◽

Significant Difference ◽

Islamic Financial Institutions ◽

The One ◽

Practical Implications

PurposeThis paper aims to compare the rebate computation in Islamic sale-based financing contracts as proposed by Bank Negara Malaysia (BNM) in its guidelines on ibrāʾ (rebate) – with the rebate computation in conventional finance that is applicable to conventional loans, thus examining if there is a significant difference between the two approaches.Design/methodology/approachThe paper employs the qualitative analysis method, involving review and discussion of relevant literature. Subsequently, a quantitative analysis is utilized to compare both rebate computations: the one proposed by BNM for Islamic sale-based financing contracts and the conventional finance computation that is utilized in conventional loans.FindingsBNM's rebate computation for debts resulting from sale-based financing contracts does not differ from the conventional finance rebate computation applied to conventional loans; such similarity may raise the usury concerns that the conventional finance rebate computation raises.Research limitations/implicationsThe paper focused only on the fixed profit rate rebate computation proposed by BNM guidelines.Practical implicationsThe results highlight the need for seeking another rebate computation to be applied in Islamic financial institutions in the case of mandatory bilateral rebate for sale-based financing contracts – a computation that differs from the practice utilized in conventional loans in order to avoid any usury implications associated with conventional finance computation.Originality/valueThe paper examines the rebate practice proposed by BNM for sale-based financing contracts. Forcing a predetermined rebate computation in sale-based financing contracts could be plausible as BNM requires; however, the suggested computation might be questionable because it resembles conventional finance computation.

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