Indonesia Conference Directory

This study aims to describe the relationship between Islamic financial institutional literacy and the preferences of Islamic financial institutions. The institutional literacy of Islamic finance is explained by indicators of knowledge of the terms sharia, sharia substance and sharia institutions. The subject of this study were students of the economic faculty of the State University of Malang from three majors : Management, Accounting and Development Economics. Samples were taken randomly and proportionally from the three majors. The results of the study show that most students of economic faculties do not yet understand the basic principles of Islamic finance. Most of the students also have literacy that is sufficient about cooperative institutions. Economic students have a good preference for sharia cooperatives. Islamic financial institution literacy influences the preference of sharia financial institutions.