INTEGRATING ISLAMIC CORPORATE SOCIAL RESPONSIBILITY INTO THE THEORY OF PLANNED BEHAVIOUR: A CONCEPTUAL FRAMEWORK FOR ISLAMIC HOME FINANCING ADOPTION

Abstract

Despite Malaysia's position as a global leader in Islamic banking, the adoption rate of Islamic home financing (IHF) remains lower than expected among Muslim consumers. Existing studies have primarily focused on financial and behavioural determinants, such as attitude, subjective norm, and perceived behavioural control, to explain customers’ intention to adopt Islamic financial products. However, limited attention has been given to the role of Islamic Corporate Social Responsibility (i-CSR) as a strategic organisational factor that may strengthen the influence of these behavioural determinants on adoption intention. Grounded in the Theory of Planned Behaviour (TPB) and Stakeholder Theory, this conceptual paper proposes an extended framework that incorporates i-CSR as a moderating variable in the relationships between attitude, subjective norm, perceived behavioural control, and the intention to adopt Islamic home financing. Drawing upon the principles of Maqasid al-Shariah, Maslahah, and Taqwa, i-CSR is conceptualised as a value-driven organisational practice that enhances customers’ trust, perceptions, and confidence in Islamic financial institutions. The proposed framework suggests that consumers who perceive higher levels of i-CSR are more likely to translate favourable attitudes, social influences, and perceived behavioural control into stronger intentions to adopt Islamic home financing. This paper contributes to the Islamic finance literature by extending the TPB through the integration of Stakeholder Theory and an Islamic ethical perspective on social responsibility. The proposed framework also offers practical insights for Islamic financial institutions seeking to enhance market penetration, strengthen customer engagement, and promote value-based financing practices that align with both commercial and societal objectives.