Date of Conferral
2021
Degree
Ph.D.
School
Management
Advisor
Robert E. Levasseur
Abstract
Somalia’s financial industry is transforming. Some remittance companies havetransformed into Islamic banks, which was not easy because the remittance companies lacked the technology, finance, and human capital necessary to make the banks sustainable. Money transfer operators that transform into Islamic banks also risk failure due to limited knowledge of the transformation’s effects. The purpose of this descriptive phenomenological study was to explore the lived experiences of a sample of leaders of Somali remittance companies that were transformed into Islamic banks. A three-step conceptual framework consisting of goal, process, and outcome guided the inquiry. The research question concerned the lived experiences of bank leaders who participated in a transformation from a remittance company to an Islamic bank. In-depth interviews of a purposeful sample of 10 participants yielded the study data. The results showed that existing demand was the most significant driver of organizational change. Apart from the scarce Islamic banking expertise in Somalia, one of the significant challenges the new banks faced was resistance to organizational change. Further research on the effectiveness of the new banks and their effect on Somali society is necessary. This study could contribute to positive social change if other bank leaders who face the need to change from a remittance company to an Islamic bank use the study findings to ensure a successful, sustainable transformation, thus providing Somalians with greater access to shariah-compliant products and services.
Recommended Citation
Farah, Ali Abdi, "Somali Remittance Companies’ Transition to Islamic Banks" (2021). Walden Dissertations and Doctoral Studies. 10230.
https://scholarworks.waldenu.edu/dissertations/10230
