The Moroccan Participatory Banking Model and Deposit Management: An Empirical Analysis of Public Attitudes in the Souss-Massa Region

Abstract

Mobilizing savings is a major challenge for participatory banks, whose deposit mechanisms differ from those of conventional banks in that they comply with Charia principles, particularly through the principle of profit and loss sharing. In this context, this study analyzes the general public’s attitudes toward participatory banking deposit products in Morocco and examines the main factors likely to influence the decision to deposit savings with such banks. Empirically, the study is based on a quantitative survey conducted among a sample of the population in the Souss-Massa region. The results reveal a favorable attitude among the general public toward opening deposit accounts with participatory banks, despite an insufficient level of knowledge regarding the characteristics and principles governing these products. They also show that the decision to use these products is not based exclusively on religious considerations but is also influenced by factors related to the bank’s reputation, expected returns, and deposit protection. Furthermore, respondents expressed a high level of concern about the risk of capital loss and placed particular importance on the security and protection of their savings. These results thus highlight the significant potential for participatory banks to mobilize savings, while also underscoring the need to improve public information and awareness and to strengthen savers’ confidence in participatory deposit products.