Studying the Market Potential of Islamic Financial Services

The Challenge of Financial Inclusion for Muslim Filipinos 

Filipino Muslims face challenges with financial inclusion, with many not having access to formal bank accounts. A key challenge is a belief that interest (Reba) is prohibited by the Islamic faith. Curiosity partnered with Gabay Research to study the demand and viability of Islamic financial services in the Philippines for the Asian Development Bank (ADB).

Interviews and Focus Group Discussions 

The research included in-depth interviews with business owners and focus group discussions with retail banking clients. The project explored the beliefs, values, and needs of Filipino Muslims. The research revealed the complexity of language in defining what is haram (prohibited) and halal (permitted), and generational differences when it came to banking.

Insights and Recommendations 

The study concluded that Islamic banking could be made more appealing by education, as some non-Muslim Filipinos found the security and safety of these services to be desirable. It also highlighted the importance of open conversations to better understand the lived experiences of underserved communities.