FinTech: Millennials Driving Demand For Shariah (Islamic) Banking – Mambu

https://dailyalts.com/wp-content/uploads/2021/08/ramadan-3380068_640.jpg

Mambu recently conducted a survey of the younger Muslim community and their views of Islamic finance.

A survey by SaaS cloud banking platform Mambu found that over half (53%) of young Muslims said they would choose Islamic banking – if barriers to entry were removed, and it became more accessible.

Mambu surveyed 2,000 millennial and Gen Z consumers globally and released the results in a report titled ‘Faith and finance: The changing face of Islamic banking.’

It appears that consumers are making more sustainable and socially conscious choices in the wake of the pandemic.

Furthermore, younger consumers are demanding both financial change and inclusion.

Elliott Limb, Chief Customer Officer at Mambu, said: “Younger consumers are demanding financial change, and the Islamic finance market is no exception. Our research illustrates how Islamic banking trends mirror the demand we’re seeing for ethical banking practices more broadly.”

“With 1.9 billion Muslims underserved globally, it’s clear that there’s a huge opportunity for both Islamic and conventional banks, alike, to provide compliant solutions for the modern consumer,” he added.

Key findings

  • 76% of young Muslims said the availability of online banking options was a dealbreaker
  • 32% claimed they do not have access to banks that adhere to Islamic principles
  • 70% said that it’s important they can make an investment without having to see someone in person
  • 74% said it’s important they can access their bank’s services via a mobile app
  • 80% said it’s important they can access banking services anywhere, at any time
  • 78% thought customer service was important
  • 74% said it was important the investments their bank makes using their money are ethical

Miljan Stamenkovic, General Manager MENA at Mambu, said that younger generations are set to account for three quarters of all Islamic banking revenue by 2023.

Indeed, total assets in the Islamic finance sector have exceeded $2 trillion in recent years and are expected to reach $3.8 trillion by 2023.

“The industry must listen to the demands of these digital natives, both in the Middle East and beyond, if it wants to stay ahead of the curve.”

Related Story:  SaaS Banking Platform Mambu Is First Off The Block With A Shariah Version

Free Industry News

Subscribe to our free newsletter for updates and news about alternatives investments.

  • This field is for validation purposes and should be left unchanged.


Shape

Latest Alternative Investment News

https://dailyalts.com/wp-content/uploads/2023/02/the-eleventh-hour-gfac76b1a4_640.png
Alternative Investments/ESG: Six New Responsible Funds Flag Off Morgan Stanley’s ETF Platform

Morgan Stanley Investment Management (MSIM) has launched its ETF platform with six Calvert ETFs listed on NYSE Arca. The ETFs feature Calvert’s responsible investing approach and offer access to four…

https://dailyalts.com/wp-content/uploads/2023/02/adi-goldstein-i3gs_IIyvuI-unsplash.jpg
Artificial Intelligence: MusicLM, A New Generative AI Tool From Google, Creates Music From Text
February 2, 2023     Artificial Intelligence, News

Google (NASDAQ: GOOGL) recently published a research paper on its new AI tool, MusicLM, designed to create music. The tool is based on machine learning and is trained on vast…

https://dailyalts.com/wp-content/uploads/2023/02/augmented-reality-g86922a9f7_640.jpg
Artificial Intelligence: Snap Mulling AR Glasses Powered By Generative AI
February 2, 2023     Artificial Intelligence, News

Snap (NYSE: SNAP), the parent company of Snapchat, has hinted at future AR glasses powered by generative AI technology. CEO Evan Spiegel stated that AI will be critical to the…

https://dailyalts.com/wp-content/uploads/2023/02/94280bca-3fa2-430a-a5cd-2b2b997f622b.png
Digital Assets: Binance And Mastercard Launch Prepaid Crypto Card In Brazil
February 1, 2023     Digital Assets, News

Binance and Mastercard (NYSE: MA) have jointly launched the Binance Card in Brazil, allowing Binance users in the country to make purchases and pay bills with cryptocurrencies like bitcoin and…