The Challenges of Islamic Microfinance (Indonesia Evidence)

Authors

  • Lucky Nugroho Prastowo Bank Syariah Mandiri

DOI:

https://doi.org/10.13135/2421-2172/793

Keywords:

Islamic micro finance, the act No.1 of 2013 regarding microfinance institutions, Baitul Mal Wa Tamwil, Transformation, Microfinance challenges, Islamic perspective

Abstract

Microfinance institutions and Islamic microfinance institutions that do not have a body would be transformed into cooperatives (Coop) or shareholder firms (SHFs) company under the act No.1 of 2013 (UU No.1 Tahun 2013) regarding microfinance institutions. One of Islamic microfinance institutions for being Baitul Mal Wa Tamwil (BMT) that currently a majority of non-governmental organizations are required to transform to become more professional, and should be answer the challenge in the future. In this literature review there are some challenges for BMT to be transformed and can be exist in future. The challenges of BMT, are what the microfinance market that also relevant to the Islamic perspective will be needed in future. This literature review is limited by three questions, (i) What is the purpose of BMT?, (ii) What are the challenges of BMT in the future?, (iii) What are the advantages BMT incorporated in?

Author Biography

Lucky Nugroho Prastowo, Bank Syariah Mandiri

Micro Banking

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http://www.republika.co.id/berita/bisnis-syariah/keuangan-perbankan/10/12/15/152187-mayoritas-bmt-belum-berbadan-hukum

http://www.republika.co.id/berita/ekonomi/syariah-ekonomi/12/06/28/m6byym-bmt-tak-takut-bersaing-dengan-bank-syariah

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Published

2015-03-10

How to Cite

Prastowo, L. N. (2015). The Challenges of Islamic Microfinance (Indonesia Evidence). European Journal of Islamic Finance, (1). https://doi.org/10.13135/2421-2172/793

Issue

No. 1 (2014): EJIF - European Journal of Islamic Finance, 1, 2014

Section

Peer-reviewed Articles

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Authors keep the copyrights for their work and give the journal the work's first publication copyright, which is at the same time licensed under a Creative Commons License – Attribution, which in turn allows other parties to share the work with an acknowledgement of the work's authorship and initial publication in this journal.