Cash waqaf and Islamic microfinance - untapped economic opportunities

The success of microfinance programs in alleviating poverty in many countries has spurred the development of faith-based microfinance institutions. Muslims have combined certain elements in Islamic finance and microfinance to create a new program called Islamic microfinance and use it as a tool to f...

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Main Authors:	Md Saad, Norma, Anuar, Azizah
Format:	Article
Language:	English
Published:	Institute of Advanced Islamic Studies 2009
Subjects:	HG1501 Banking
Online Access:	http://irep.iium.edu.my/3316/ http://irep.iium.edu.my/3316/ http://irep.iium.edu.my/3316/1/Cash_Waqf_and_Islamic_Microfinance.pdf

id	iium-3316
recordtype	eprints
spelling	iium-33162012-04-09T00:07:52Z http://irep.iium.edu.my/3316/ Cash waqaf and Islamic microfinance - untapped economic opportunities Md Saad, Norma Anuar, Azizah HG1501 Banking The success of microfinance programs in alleviating poverty in many countries has spurred the development of faith-based microfinance institutions. Muslims have combined certain elements in Islamic finance and microfinance to create a new program called Islamic microfinance and use it as a tool to fight poverty in their community. Even though microfinance is proven successful in fighting poverty, current microfinance practiced by commercial banks in Malaysia has several shortcomings. Among other things, the weaknesses are stringent credit evaluation and missing the real target group, i.e., the poor and the needy. Furthermore, the mode of financing is mostly personal loan using bai-al inah, whereby the use of the loan is to fulfill personal consumption instead of income generating activities. Given these shortcomings, the paper explores the possibility of using cash waqaf as a new source of fund for Islamic microfinance and proposes new concept and application of Islamic microfinance so that it is truly in line with the Islamic spirit of microfinance. It is hoped that with this new concept and application of Islamic microfinance, the use of microfinance is genuinely to cater for the needs of the poor and the needy and as a means to combat poverty as well as generating socio-economic growth of the Muslim Ummah. Institute of Advanced Islamic Studies 2009 Article PeerReviewed application/pdf en http://irep.iium.edu.my/3316/1/Cash_Waqf_and_Islamic_Microfinance.pdf Md Saad, Norma and Anuar, Azizah (2009) Cash waqaf and Islamic microfinance - untapped economic opportunities. IAIS Islam and Civilisational Renewal Journal, 1 (2). pp. 337-354. http://www.iais.org.my/en/publications/icr-journal/246-journal1-2-00.html
repository_type	Digital Repository
institution_category	Local University
institution	International Islamic University Malaysia
building	IIUM Repository
collection	Online Access
language	English
topic	HG1501 Banking
spellingShingle	HG1501 Banking Md Saad, Norma Anuar, Azizah Cash waqaf and Islamic microfinance - untapped economic opportunities
description	The success of microfinance programs in alleviating poverty in many countries has spurred the development of faith-based microfinance institutions. Muslims have combined certain elements in Islamic finance and microfinance to create a new program called Islamic microfinance and use it as a tool to fight poverty in their community. Even though microfinance is proven successful in fighting poverty, current microfinance practiced by commercial banks in Malaysia has several shortcomings. Among other things, the weaknesses are stringent credit evaluation and missing the real target group, i.e., the poor and the needy. Furthermore, the mode of financing is mostly personal loan using bai-al inah, whereby the use of the loan is to fulfill personal consumption instead of income generating activities. Given these shortcomings, the paper explores the possibility of using cash waqaf as a new source of fund for Islamic microfinance and proposes new concept and application of Islamic microfinance so that it is truly in line with the Islamic spirit of microfinance. It is hoped that with this new concept and application of Islamic microfinance, the use of microfinance is genuinely to cater for the needs of the poor and the needy and as a means to combat poverty as well as generating socio-economic growth of the Muslim Ummah.
format	Article
author	Md Saad, Norma Anuar, Azizah
author_facet	Md Saad, Norma Anuar, Azizah
author_sort	Md Saad, Norma
title	Cash waqaf and Islamic microfinance - untapped economic opportunities
title_short	Cash waqaf and Islamic microfinance - untapped economic opportunities
title_full	Cash waqaf and Islamic microfinance - untapped economic opportunities
title_fullStr	Cash waqaf and Islamic microfinance - untapped economic opportunities
title_full_unstemmed	Cash waqaf and Islamic microfinance - untapped economic opportunities
title_sort	cash waqaf and islamic microfinance - untapped economic opportunities
publisher	Institute of Advanced Islamic Studies
publishDate	2009
url	http://irep.iium.edu.my/3316/ http://irep.iium.edu.my/3316/ http://irep.iium.edu.my/3316/1/Cash_Waqf_and_Islamic_Microfinance.pdf
first_indexed	2023-09-18T20:11:06Z
last_indexed	2023-09-18T20:11:06Z
_version_	1777407483429519360

Cash waqaf and Islamic microfinance - untapped economic opportunities

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