Abstract:
Islamic banking as an alternative banking and finance method is one of the fastest
growing industries in the world.With double digit growth rate, the operations of Islamic Banks had
been accepted and adopted in more than 75 countries. In Sri Lanka, Islamic Banking and Finance
operations started in late 90`s. Since then this industry is growing in term of Islamic Financial
Institutions, customer base as well as asset value. Even though the growth had been slow in Sri Lanka
compared to other countries still the industry claims that their penetration in the market had been
gradual and stable. The purpose of the study is to explore the concept of Islamic Banking among the
Islamic Banking customers. The Objective of this paper is to explore whether the Islamic Banking
customers are aware of the fundamentals of Islamic Banking. The methodology used is
anexploratorydescriptive study. Sample sizes of 150 Islamic Banking customers in Colombo district
were selected for this study. Research findings show that the Islamic Banking customers are aware of
the concept of Islamic Banking, and are positive and futuristic about the Islamic Banking in Sri
Lanka. This study contribute significantly to understand the Islamic Banking customers and is the first
study in this nature in Sri Lanka
