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International Journal of Scientific and Research Publications

IJSRP, Volume 12, Issue 1, January 2022 Edition [ISSN 2250-3153]


The influence of legal regulatory requirements as strategic growth on Islamic banking in Kenya. A case a case of selected commercial banks in Kenya
      Anis Mohamed Adan, Prof Felix Mwambia and Simon Murithi
Abstract: In Kenya conventional banking, Islamic banking is not a novel concept. Many banks have chosen to provide Muslim and non-Muslim customers alternate banking options. Banks, on the other hand, confront a number of issues, including social, political, and legal issues. The goal of this research was to look at the strategic elements that influence Islamic banking growth using a case study of a few Kenyan commercial banks. From a population of 16 management officers and 80 consumers, 56 participants, 16 management officials, and 40 consumers were selected. Customers were sampled using probability sampling techniques, whereas management was sampled using census sampling. In this thesis, a questionnaire was used to collect data semi quantitatively using open and closed ended questions. Data collected was extracted into excel spread sheets, and later exported to SPSS for statistical analysis. Descriptive statistics and test of normality was calculated. Inferential analysis was also done for correlation and regression analysis to determine the effect of each factor on adoption of Islamic banking. Findings showed that the respondents knew the products very well as provided by the Islamic banking manuals. Consumer protection and legal concerns affected the establishment of Islamic banks in a positive and non-significant way. Risk perception, on the other side, had a minor and insignificant impact on the expansion of Islamic banks. It was concluded that others factor other than the three factors studied are better predictors of growth of Islamic banks are expressed by the regression model. This study therefore recommends that factors other than the three determinants be explored to establish the factors with greater impact as determinants of growth for Islamic banks in Kenya.

Reference this Research Paper (copy & paste below code):

Anis Mohamed Adan, Prof Felix Mwambia and Simon Murithi (2022); The influence of legal regulatory requirements as strategic growth on Islamic banking in Kenya. A case a case of selected commercial banks in Kenya; International Journal of Scientific and Research Publications (IJSRP) 12(1) (ISSN: 2250-3153), DOI: http://dx.doi.org/10.29322/IJSRP.12.01.2022.p12166
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