Islamic Banking and the Perspectives of Savings Mobilization in Tunisia

Abstract

This paper analyzed the prospects of Islamic banking perspectives in savings mobilization in order to finance the development process in Tunisia. Besides the examination of the savings reality in Tunisia, this study investigated and compared Tunisians’ perceptions of savings in Islamic banks and conventional ones through a qualitative approach. The opinion poll of a sample of Tunisian adults proved that the potential of Islamic banking to mobilize savings is mediated by both the degree of Islamic banking saving awareness and contextual factors. Thus, Islamic banks can influence Tunisian savings by expanding knowledge of Islamic banking regardless of social demographic differences. Other obstacles to the adoption of Islamic savings products include the distrust and the questioning of the loyalty of Islamic banks as well as the limited number of Islamic banks and Islamic bank branches. Consequently, it is recommended to elaborate appropriate marketing strategies and highlight the specificities of Islamic savings products compared to conventional ones which in return would enable Islamic banking savings products to raise more funds for investment purposes.