Shari'ah-compliant fintech usage among microentrepreneurs in Malaysia: An extension of UTAUT model

Document Type

Article

Publication Date

1-1-2022

Abstract

Fintech has been beneficial to the financial services industry and has markedly enhanced financial inclusivity. While the fintech has already made its mark, there has been somewhat limited use of shari'ah-compliant fintech (such as P2P lending, crowdfunding, wealthtech, e-wallets) by Muslim microentrepreneurs (MEs) in Malaysia. Hence, this study examines the factors that affect shari'ah-compliant fintech usage and its effect on income sustainability via an extended Unified Theory of Acceptance and Use of Technology (UTAUT). One hundred sixty-five (165) questionnaires were distributed to Muslim MEs who are users of shari'ah-compliant fintech. This study reveals that performance expectancy and facilitating conditions have positive and significant effects on the use of shari'ah-compliant fintech. The extended relationship of shari'ahcompliant fintech adoption and income sustainability also presents a significant and positive relationship in which shari'ah-compliant fintech has the potential to increase and, more importantly, sustain MEs' income level. © 2022 ournal of Islamic Monetary Economics and Finance. All rights reserved.

Keywords

financial services industry, Financial inclusivity, Sharīʿah-compliant fintech, Muslim microentrepreneurs

Divisions

Faculty_of_Business_and_Accountancy

Funders

None

Publication Title

Journal of Islamic Monetary Economics and Finance

Volume

8

Issue

2

Publisher

Bank Indonesia Institute

Additional Information

Cited by: 4

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