Promoting Sustainable Innovation Through Islamic Financial Literacy and Inclusion in Thailand's Five Southern Border Provinces
Islamic Financial Literacy and Inclusion in the Five Southernmost Provinces of Thailand
Keywords:
Islamic Financial Literacy, Sustainable Innovation, Financial Inclusion, Islamic Finance, Southern Border ProvincesAbstract
Objective: The purpose of this study is to evaluate the present level of Islamic financial literacy and inclusion of Muslims in five southern border provinces of Thailand as well as to analyse how they could influence financial decision-making and economic behaviour.
Methodology: This study examines Islamic financial literacy and participation of Muslims in Thailand’s five southernmost. A mixed-methods research design was employed, using questionnaires to collect quantitative data from Muslim sample and semi-structured interviews to gather qualitative data from workers in organisations that are associated with Islamic finance.
Research findings: Based on the findings, respondents had basic Islamic financial knowledge but struggled with complex concepts. Despite awareness of Islamic financial services, there was a negative perception due to perceived similarities with conventional banks. Overall, financial literacy was neutral to positive. Additionally, over 50% of the participants were unable to access Islamic financial services. Key barriers comprised a lack of trust, high costs, and insufficient documentation, highlighting the need for improved education and tailored financial products.
Contributions: This research contributes to the corpus of knowledge by gathering a significant amount of data on the patterns of Islamic financial inclusion and literacy and how they relate to Thailand's Islamic financial sector. Considering that there is a Muslim minority in Thailand, this information could be used to encourage economic growth in the larger community and to advertise business opportunities to all demographics. Additionally, this research adds to the body of literature by illuminating the significance of Islamic finance in expanding financial access in Thailand and its potential to strengthen the nation's financial market.
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