Customers awareness of financing through Islamic banking scheme a case study at Mayban Finance, Sarikei branch / Awang Ismail Awang Madian

The main objective of Islamic banking in Malaysia is to provide banking facilities and services in accordance with Islamic principles to all Muslims as well as the population of this country. There is no doubt that Islamic banking has served as an alternative to the Muslims and all other Malaysian citizens who wish to avoid any interest-based financing system in the country. The introduction of Interest Free Banking Scheme (SPTF) in 1993 or latter known as Islamic Banking Scheme (SPI) has proved to be the most effective mechanism to disseminate Islamic banking on a nationwide basis with as many players as possible and within the shortest period possible. Mayban Finance Berhad through its parent company Malayan Banking Berhad, one of the three commercial banks selected as pilot basis to introduce SPTF in 1993 has proved that implementation of Islamic banking is possible in our banking system. Today our Islamic banking is recognised to be the best Islamic banking system throughout the world. But when focusing on the small branch level of Mayban Finance, the development seems to be unimpressive as in the case of Sarikei branch in this study. Even though the growth of overall Islamic banking have shown an increasing pace, the banking system now seems to be more towards depositing money rather than for financing purposes.