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Halal business is not just about halal ingredients and production. Besides focusing on halal production, the right Halal business operators should also concentrate in adopting Halal financing that is called Islamic financing. However, the assessment of the level of awareness, knowledge and skills of Halal and Islamic financing among business operators should be prepared. This paper aims to bridge the Halal Literacy and Islamic Financial Literacy on the attitude of Halal business producers towards Islamic financing adoption. This study proposes the measurement and validity approach for Halal Literacy and Islamic Financial Literacy. Halal Literacy and Islamic Financial Literacy are two crucial concepts where it can lead to the behavior of person towards its decisions especially in adopting Islamic financing. Halal Literacy and Islamic Financial Literacy will be measured using true/false test questions with an option to choose don’t know. Then, Confirmatory Factor Analysis (CFA) will be used to analyze the scoring using Weighted Least Square method to test the construct validity. This study is attempted to contribute towards new theoretical knowledge especially in proposing the measurement items for Halal Literacy and Islamic Financial Literacy. This study also expected to help the policymaker to understand the level of literacy among consumers, especially from Halal business producer's perspective.
Antara et al. (Fri,) studied this question.