Prospects of a partnership-based Islamic microfnance model in Bangladesh: clients perspectives

Muhammad, Niaz Makhdum and Kassim, Salina and Mahadi, Nur Farhah and Engku Ali, Engku Rabiah Adawiah (2024) Prospects of a partnership-based Islamic microfnance model in Bangladesh: clients perspectives. In: Islamic Finance: New Trends in Law and Regulation. Contributions to Management Science, Part F2529 . Springer, Switzerland, pp. 159-169. ISBN 978-3-031-48769-9

	PDF - Published Version Restricted to Registered users only Download (1MB) | Request a copy
Preview	PDF - Supplemental Material Download (173kB) | Preview

Abstract

Islamic microfinance is a powerful Shariah-compliant tool for helping the impoverished escape the cycle of poverty in Bangladesh. Despite a few applications of Islamic microfinance instruments, most of the instruments have been based on Murabahah contracts, while the use of equity or partnership-based contracts has been very minimal. This study aims to analyse the opinions and perspectives of microfinance recipients of Bangladesh regarding the prospects of implementing a partnership-based Islamic microfinance model in Bangladesh where the concepts of Mudarabah and Musharakah will be applied. A mixed-method research method has been adopted in this study. A total of 400 recipients of Islamic microfinance products were surveyed using a close-ended questionnaire to determine their viewpoints about Mudarabah and Musharakah-based Islamic microfinance model. At the same time, secondary data were collected from books, peer-reviewed journals, and conference proceedings, and a critical analysis approach was adopted in the process. The study finds that partnership based Islamic microfinance has a bright prospect to be implemented in Bangladesh. If properly put into practice, partnership-based Islamic microfinance will effectively assist the nation’s poor in enhancing both their financial inclusion and general socioeconomic conditions.

Item Type:	Book Chapter
Subjects:	BPH Islamic Economics
Kulliyyahs/Centres/Divisions/Institutes (Can select more than one option. Press CONTROL button):	Institute of Islamic Banking & Finance (IIiBF)
Depositing User:	Dr Nur Farhah Mahadi
Date Deposited:	05 Nov 2024 16:31
Last Modified:	05 Nov 2024 16:35
URI:	http://irep.iium.edu.my/id/eprint/115543

Actions (login required)

View Item