Publication Details
Abstract
This study examines the influence of Islamic financial literacy and social environment on students' interest in saving at Islamic banks in Indonesia. A quantitative survey of 100 students at Universitas Sumatera Utara, analyzed using Structural Equation Modeling (SEM) based on Partial Least Squares (PLS), reveals that both Islamic financial literacy and social factors, including religiosity, peer influence, and societal norms, significantly impact saving behavior, with social factors having a stronger effect. The research highlights challenges in improving students' Islamic financial knowledge and advocates for targeted educational programs. It suggests that aligning Islamic banking services with students' social and religious values can enhance saving intentions. The findings contribute to understanding how education and social environments shape financial behavior in the Islamic banking sector and propose strategies to enhance financial literacy for inclusive growth.