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The Role of Islamic Financial Literacy, Religiosity, and Trust in Sharia Compliance in Fostering Islamic Bank Reputation and Adoption of Sharia-Compliant Services Muaidy Yasin; Lalu Edy Herman Mulyono; Mohammad Najib Roodhi
Al-Kharaj: Journal of Islamic Economic and Business Vol. 8 No. 2 (2026): All articles in this issue include authors from 3 countries of origin (Indonesi
Publisher : LP2M IAIN Palopo

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.24256/kharaj.v8i2.9721

Abstract

This study investigates the impact of Islamic Financial Literacy, Religiosity, Islamic Bank Reputation, and Trust in Sharia Compliance on the Adoption of Islamic Banking Products in West Nusa Tenggara, Indonesia. A cross-sectional survey of 300 respondents was conducted using a structured questionnaire, with data analyzed through Structural Equation Modeling (SEM) using Smart PLS software. The findings reveal that Islamic Financial Literacy and Religiosity significantly influence the Adoption of Islamic Banking Products, both directly and indirectly, via Islamic Bank Reputation. Trust in Sharia Compliance moderates the relationship between Islamic Bank Reputation and Adoption, amplifying its effect. The measurement items were validated through a pilot test, ensuring their reliability and validity. This study offers theoretical and practical insights for Islamic banking institutions, emphasizing the importance of financial literacy, religiosity, and trust in fostering customer adoption of Islamic banking products.
The Urgency of Islamic Investment Literacy in Managing Muslim Personal Finance Zamroni Alpian Muhtarom; Adrianda Anwar; Abdurrahman Abdurahman; Mohammad Najib Roodhi
Journal of Accounting, Management, and Economic Development Vol. 1 No. 1 (2025): March, 2025
Publisher : CV. Abhinaya Indo Group

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Abstract

The Islamic finance industry has demonstrated positive growth trends in Indonesia. However, the level of literacy regarding Islamic investment remains relatively low, especially among Muslim individuals. A limited understanding of Sharia-compliant investment principles and instruments has led to suboptimal financial decisions that may conflict with Islamic values. This study aims to explore the urgency of Islamic investment literacy within the context of personal financial management for Muslims and to identify key challenges and strategies for improvement. Employing a qualitative approach through literature analysis, this article examines the concepts of financial literacy in Islamic perspective, types of Sharia-compliant investment instruments, and factors influencing individuals’ understanding of Islamic investment products. The findings reveal that Islamic investment literacy is not only an economic necessity but also a spiritual obligation grounded in the Maqāṣid al-Sharīʿah, especially the principle of safeguarding wealth (ḥifẓ al-māl). The study recommends that stakeholders—governments, financial institutions, and educational bodies—collaborate to develop structured and sustainable strategies for enhancing Islamic financial literacy