Challenges and Solution of Nigerian Non-Interest Islamic Banking

Abstract

The Nigerian non-interest Islamic banking engenders varieties of debate, simply because the system is build based on Islamic principles. Islamic banking is market determinants with the moral principles and teaching of Islamic shariah, also an arrangement of saving money so as to steady by means of the standards of Islamic rule (Shari'ah) as well as practices through the improvement of Islamic economies. The paper examines idea, the challenges and prospects of non-interest banking in Nigerian dealing with some banks managers, employees, Muslims and non Muslims citizens, and library research by evaluation and examining various findings on the subject under study. Due to the high population and progressive opportunity, the study shows that nigeria has an opportunity of being a leader of African Islamic finance, but there are some various obstacles, challenges to the development of Nigerian Islamic finance which an instance Religious and cultural differences, inadequate of Financial Innovations, Lack of adequate knowledge, high Competition and Shari‟ah Related Issues and so on. The paper therefore recommends that Nigerian religious bodies and Central Bank of Nigeria ought to continuously organizing seminars, training and lectures on Islamic finance to banks staff, tertiary institution student, academicians as well as general public on adequate explanations of the aims also objectives as well as advantages of Islamic banking, also the institution should be highly be creative and innovative, attracting and maintaining well trained qualified employees.