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Purpose

This study investigated drivers that explain qardhul hassan financing acceptance in Malaysia involving staff of two universities namely A in East Malaysia and B in West Malaysia.

Design/methodology/approach

The attitude-social influence-self-efficacy (ASE) model was tested to examine 422 respondents’ acceptance using SPSS 27.

Findings

The study confirmed the significance of all tested hypotheses, with attitude playing a key mediating role. Further, this study uncovered significant results of relative advantage and Islamic debt collection policy, offering novel contributions to this discipline.

Research limitations/implications

The generalisation of the findings generated was limited to the context concerned and the limited variables tested.

Practical implications

The results offer a directive for universities to offer qardhul hassan in the future to attract demand and acceptance.

Originality/value

This study introduced a modified ASE called the QH-ASE framework to analyse its adoption, adaptability and impact on qardhul hassan financing usefulness.

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