Perceptions of Islamic Finance among Muslim Women: Evidence from Sangli District, Western Maharashtra

Abstract

This study examines how Muslim women in Western Maharashtra perceive Islamic finance, drawing on a survey of 400 Muslim women in Sangli District and insights from 25 scholarly sources. The research explores socio-cultural factors, religious beliefs, and socio-economic conditions that shape women’s financial literacy, decision-making, and attitudes towards Islamic financial practices. A stratified sampling approach captures diverse subgroups (urban/rural, working/non-working, various ages and education levels). Quantitative data were analyzed using descriptive statistics, chi-square tests, ANOVA, correlation, and regression, while qualitative inputs were thematically analyzed. Findings indicate that respondents generally have moderate financial literacy and awareness of basic Islamic finance principles (e.g. zakat and avoidance of riba), but detailed knowledge (e.g. specific Islamic banking products) is limited. Socio-cultural norms and gender roles significantly influence financial participation: urban and working women show higher involvement in household financial planning than rural or non-working women. Statistical analyses confirm that education level, employment status, and exposure to Islamic financial knowledge positively correlate with both financial literacy and openness to Islamic finance. Conversely, traditional patriarchal norms and limited mobility constrain women’s financial agency. The study’s conceptual framework illustrates these dynamics and their impact on household economic well-being. The discussion situates these findings in the context of prior literature, highlighting consistent trends and unique regional nuances. This research contributes to understanding barriers and enablers for Muslim women’s financial empowerment, offering recommendations to enhance Islamic financial literacy and inclusion. Limitations (such as geographic scope and self-reported data) are noted, and directions for future research are proposed to generalize and deepen insights.