First study on Morocco¹s retail Islamic finance sector launched
by Isla MacFarlane
First study on Morocco’s retail Islamic finance sector launched
IFAAS announces the launch of the first independent study of Morocco’s emerging retail Islamic finance sector: Islamic Finance in Morocco – sizing the retail market
IFAAS (Islamic Finance Advisory & Assurance Services), the international Islamic finance consultancy, has announced the imminent launch of its exclusive report entitled, Islamic Finance in Morocco – sizing the retail market, analysing the consumer retail market for Islamic financial products and services in Morocco. The report is the first of its kind for the country and is due to be launched in June. It is the result of an independent survey performed on a representative random sample of the Moroccan population across all major regions of the Kingdom.
Islamic Finance in Morocco – sizing the retail market, sets out the market opportunities for financial institutions with interest in the Moroccan market. The report measures the potential market size for Islamic retail banking, finance and Islamic insurance Takaful and assesses how it will compete with mainstream, conventional finance.
This report will be of particular importance for financial institutions looking to set-up their Islamic operations in Morocco as IFAAS’ report provides full analysis of the consumer demand for Islamic finance in the Kingdom. It profiles consumers according to their existing use of financial products and services, evaluates their attitudes towards Islamic Finance and reports on their tendency to take out Islamic products and services. The report also analyses consumer understanding of how Islamic financial products and services work and their likely behaviour when Islamic financial products become available in the Moroccan market.
With Islamic Finance in Morocco – sizing the retail market, bankers and insurers with interests in the Moroccan market will find answers to a number of key questions including, how receptive are Moroccan consumers to switch from conventional to Islamic products; under which conditions and how quickly? Which Islamic finance products are most desired? How price sensitive is the Moroccan consumer and would more expensive products be acceptable? Do Moroccan consumers understand the difference between a fully-fledged Islamic bank and an Islamic window of a conventional bank? How important is the institution’s compliance with Shari’ah principles and its Shari’ah Board rulings for the consumer? How much new business is anticipated with the launch of Islamic financial products in the country? In a nutshell, IFAAS’ report provides a comprehensive overview on the real potential of the retail Islamic finance within the Moroccan market.
Commenting on the forthcoming launch of the report, Farrukh Raza, managing director of IFAAS said, “Decision makers looking to develop a retail offering need concrete data and consumer insights in order to make critical business decisions”. IFAAS’ report, Islamic Finance in Morocco – sizing the retail market, based on scientifically validated information, fulfils the demand for this data enabling financial institutions to build appropriate business and product strategies. The report is a must-have for any institution considering its next move in the nascent Moroccan Islamic finance sector.”
IFAAS commissioned a highly reputed local research firm to independently undertake the quantitative survey. Random, face-to-face, street interviews were conducted on a weighted sample size of over 800 individuals, reflecting a true picture of the Moroccan consumer market… The target sample was composed of men and women aged 18 to 55 years, from a variety of socio-economic categories, living in urban and rural areas and consisted of both banked and unbanked groups of the population. In terms of geographical coverage, the study was conducted in towns and surrounding rural municipalities of Casablanca, Rabat, Marrakech, Agadir, Fez, Tangier and Oujda.