Mobilizing Informal Sector Operators to the Islamic Banking Products in Nigeria

Abstract

This paper analyses how Islamic banks could mobilize the informal sector operators to their banking products and services. The informal sector operators are known to suffer from lack of access to formal financial services. One of the reasons for this lack of access is the lack of understanding of the banking products and services by the operators. The paper argued that there might be some common financing values and norms between the informal sector operators and the Islamic banks. The common values and norms may serve as a link for mobilizing the informal sector operators by the Islamic banks. The paper supports its argument with evidence from existing literature and personal interaction with the informal sector operators. What Islamic banks need to do is to educate the operators on their products and services and invite them to patronize the products of the banks.