Obstacles to the transformation of Islamic banking in Libya
DOI:
https://doi.org/10.54172/9ckfs982Keywords:
Islamic Banking, Conventional Banks, Transformation Obstacles, Libyan Commercial Banks, Banking TransformationAbstract
The transformation of conventional banks to Islamic Shari'a law requires them to adhere to Islamic banking standards and foundations. Due to the nature of the fundamental difference between the two systems, the process of transition is subject to many obstacles. The main objective of the study is to identify the obstacles that can affect the process of transformation of Libyan commercial banks to Islamic banking. To realize the objectives of the study, the descriptive analytical method was used throughout designing a questionnaire. It was distributed to the employees of the public administration at Commercial Banks which are operating in the Eastern Region of Libya, and they were three managements, where 120 questionnaires were distributed. 108 forms entered The statistical analysis - i.e. - 90%. And to analyze the data which were collected from the study samples, the statistical package for social sciences (SPSS) was used. The percentages, arithmetic averages, standard deviations and alpha-Cronbach were used. The (t)test was used for one independent sample and the (t) test for two independent samples to find out the hypotheses of the study. The study reached a number of results, the most important are: The Libyan commercial banks, during their transformation into Islamic banking, face several obstacles such as (legislative, legal, administrative, technical, cultural and human). All of these obstacles have the same level of impact on the process of transformation of Libyan commercial banks to Islamic banking.References
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