Authors
1
M.A. Graduate in Financial Management, Faculty of Management, Imam Sadiq University, Tehran, Iran
2
Associate Professor, Department of Finance, Faculty of Islamic Studies and Management, Imam Sadiq University, Tehran, Iran
10.30471/jee.2026.11728.2570
Abstract
Islamic financial literacy is recognized as a fundamental prerequisite for the effectiveness of Islamic banking systems, playing a critical role in improving service quality, ensuring Shariah compliance, and enhancing financial decision-making. Despite its importance, no indigenous and validated instrument has yet been developed to measure the Islamic financial literacy of employees within the banking system of the Islamic Republic of Iran. To address this gap, the present study aims to develop and validate a comprehensive, context-specific Islamic Financial Literacy (IFL) scale for Iranian banking employees. In the first stage, a meta-synthesis approach was employed to systematically analyze 46 relevant studies, through which three core dimensions of IFL—Islamic Financial Knowledge, Islamic Financial Attitude, and Islamic Financial Behavior—were identified. These dimensions were subsequently operationalized into measurable indicators, forming the initial version of the scale. In the next stage, the content validity of the instrument was assessed through expert evaluation involving 25 specialists in Islamic banking and Shariah supervisory bodies. To examine construct validity and reliability, both the measurement and structural models were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). The results demonstrate that the proposed scale exhibits satisfactory internal consistency, convergent validity, and discriminant validity, while the structural model confirms statistically significant relationships among the identified dimensions. The findings further reveal that Islamic financial knowledge influences Islamic financial behavior indirectly through Islamic financial attitude, highlighting the mediating role of attitude in translating knowledge into behavior. The finalized scale provides a valid and reliable tool for assessing current literacy levels, designing targeted training programs, developing human resources, and improving policy formulation within Iran’s Islamic banking system. This study also offers a foundation for future research on the measurement, education, and enhancement of Islamic financial literacy at both individual and institutional levels.
Keywords
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