Determinants of Saving Behavior in Islamic Banks: The Role of Financial Literacy, Social Influence, and Moral Identity with Digitalization as Moderator

Abstract

Purpose – This study examines the effects of Islamic financial literacy, social influence, and moral identity on saving behavior in Islamic banks, with Islamic bank digitalization as a moderating variable.

Methodology - This study employs a quantitative associative approach using primary data collected through an online questionnaire. A purposive sampling technique was applied, resulting in 209 respondents (n=209). Data were analyzed using Structural Equation Modeling–Partial Least Squares (SEM-PLS).

Findings - The results indicate that Islamic financial literacy, social influence, and moral identity have significant positive effects on saving behavior in Islamic banks. Islamic bank digitalization strengthens the relationship between Islamic financial literacy and saving behavior, but weakens the influence of moral identity. However, digitalization does not moderate the effect of social influence on saving behavior.

Implication - his study contributes to the literature on Islamic financial behavior by integrating cognitive, social, and moral factors with digitalization as a moderating variable. The findings highlight the importance of enhancing financial literacy, strengthening value-based approaches, and optimizing digital services to improve saving behavior in Islamic banks