Consumer attitude towards Islamic financing

The main objective of this paper is to review current status of knowledge about Islamic ways of financing with focusing on customers’ attitude towards Islamic financial products and services.For this purpose, empirical literature related to Islamic financing (particularly Islamic banking products and services) has been reviewed. Review shows that religious conviction is a key variable in the use of Islamic financial products and services. However, along with religious conviction, consumers also give priorityto reputation of bank (corporate branding), quality of services and pricing. The knowledge level of customers about Islamic financial services is still low. There is a further need to offer more products and services particularly in Muslim countries and high density Muslim population segments in non- Muslim countries. Research is still limited to few Arab countries, East Asia and Turkey. There is a need to use a variety of samples from different countries. This paper combines existing knowledge about Islamic financing and provides future research directions focusing on customer's perspective.