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The paper reports and discusses a study which was conducted on 490 Muslim respondents from the young generation between the ages 18 to 40 years. The study aimed to identify the popularity of the Islamic banking system among the students of the National University of Malaysia, and the role of Islamic education in promoting the Islamic banking system to the respondents. The findings of the study could be used to popularise further the Islamic banking system in the country. The respondents were selected randomly from The National University of Malaysia. Each respondent was given a booklet of questionnaires containing statements with given choices of yes or no answers as well as the open ended questions. The responses were analysed using the Statistical Package for the Social Sciences (SPSS), to obtain the percentages of the responses. The findings of the study indicated that the Islamic banking system was very popular among the younger generation. About 63% of respondents kept their savings in the Islamic banking system. The findings also shown that the respondents who are most inclined towards the system were those who had been educated in the Islamic education system. 85.0% of the students of the Islamic Studies Faculty saved their money in the Islamic banking system, followed by the respondents from the Faculty of Education (73%) and also the Faculty of Law (72.3%). The controlled groups i.e. the respondents from the other faculties, where the Islamic education was not thought, the percentages of the respondents who saved in the Islamic banking system were much lower.

The Role of Religious Education in Promoting the Islamic Banking System among the Young Muslim Generation: A Case Study