Islamic Microfinance: Lessons from Good & Bad Practices التمويل الإسلامي الأصغر: دروس من التطبيقات الجيدة والسيئة
Mohammed Obaidullah ()
Additional contact information
Mohammed Obaidullah: Islamic Research & Training Institute Islamic Development Bank, Jeddah, Saudi Arabia
Chapter 7 in Lectures in Islamic Economics and Finance, Selected From Wednesday Seminars-07 محاضرات في الاقتصاد والتمويل الإسلامي - مختارة من حوارات الأربعاء - 07, 2012, pp 611-625 from King Abdulaziz University, Islamic Economics Institute.
Abstract:
Microfinance and Islamic finance have much in common. As concepts, both emphasize the good of the society as a whole. Both advocate entrepreneurship and risk sharing and believe that the poor should take part in such activities. Both focus on developmental and social goals. Both advocate financial inclusion. Both involve participation by the poor. It is also an interesting coincidence that both ideas( ) witnessed their fruition around the same time, in the 1970s. In terms of practice, once again there have been striking similarities. Over the last four decades of their existence, both are largely believed to have experienced a “mission-drift” with most players ignoring the financial needs of large sections of the ultra-poor. While mainstream Islamic financial services industry is largely observed to cater to the needs corporate and high-networth clients, the microfinance industry has focused on financing the economically active and not-so-poor. The call for enhancing financial inclusion has coincided with the birth of the Islamic microfinance that involves not just a marriage between conventional models, best practices and Shariah-compliant for-profit modes of finance, but a rejuvenation of the institutions of Islamic philanthropy, cooperation and not- for-profit modes of finance. --
Date: 2012
References: View references in EconPapers View complete reference list from CitEc
Citations:
Downloads: (external link)
https://iei.kau.edu.sa/Files/121/Files/159007_EHBN-07.pdf#page=155 (application/pdf)
Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:abd:ieibch:710
Access Statistics for this chapter
More chapters in Chapters of books published by the Islamic Economics Institute, KAAU or its faculty members. from King Abdulaziz University, Islamic Economics Institute. Contact information at EDIRC.
Bibliographic data for series maintained by King Abdulaziz University, Islamic Economics Institute. ().