Abstract
Introduction of Islamic Shariah principle based banking product by a number of international banks in recent past indicates the growing trend in Islamic banking in East Africa. Due to the expected growth, Islamic banking system is likely to face strong competition both from the well-known Islamic banks as well as conventional banks with Islamic banking products. To succesfully cope up with the competitive pressures, the Islamic banking service providers need to understand the important issues related to product design and delivery. The present paper aims to analyze the customers' and service providers' views on different issues related to Islamic banking service in Dar Es Salaam, Tanzania. The study is based on sample of 50 respondents from three selected banks in the city. The findings present details of critical factors instrumental in growth of Islamic banking services in this region.
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