A Qualitative Study on The Islamic Bank Patronage

Abstract:

In a free market system, Islamic banks should compete with conventional banks, which can explicitly and implicitly charge interest on loans and deposits (Erol & El Bdour, 1989). In contrast. The Islamic bank, which refers to the institution that operates in accordance with Islamic economic doctrines, is not allowed to gain interest on loans or deposits given to its customers other than profit and loss sharing (Erol & El Bdour, 1989). Since the conception of the modern Islamic bank in Egypt in 1970, the industry assets have grown to over US $1.6 trillion in 2012 and is predicted to reach US $6.1 trillion by the end of 2020 (Gewal, 2013).