The Future of Islamic Banking in Sultanate of Oman

Abstract

The study aims to identify the future of Islamic Banking in Sultanate of Oman. Islamic Banks adhere to the concepts of (Sharia’ah) Islamic law. The basic source of shariah principles are the Holy Quran which are followed by the consensus of the jurisits and interpreters of Islamic law. The shariah prohibits dealing with interest (Riba) in any shape or form which is the most essential feature of Islamic Banking. The study identified the phenomena related to future of Islamic Banking, Customer’s attitudes of Islamic Banking and the effect of Islamic Banking on economy of Oman. Descriptive research design was adopted and proportionate stratified random sampling was chosen for study. The strata were mutually exclusive. Questionnaires on the future of Islamic Banking in sultanate of Oman were distributed among customers and economist in Muscat, Sultanate of Oman. Eighty questionnaires were received from the respondents (customers) and twenty four questionnaires were received from the Economist. Data were refined, tabulated and analyzed. Result indicated that the respondents showed a positive attitude towards dealing with Islamic banking and it supports the national economy.