REASSESSING THE ROLE OF ISLAMIC MICROFINANCE FOR FINANCING FUQÂRÂAND MASÂKIN

Abstract

Reassessing the Role of Islamic Microfinance for Financing Fuqârâ and Masâkîn. As 
a country with the largest number of muslim population in the world, Indonesia sholud consider 
the high potential of Islamic microfinance. While providing microfinance to the poorest of the poor 
remains a challenge, lessons learned from Bangladesh experinces can be used to develop new method 
and strategy that is applicable and suits the condition in Indonesia. It should be taken into account 
to distinguish the program based on regional and cultural differences as Indonesia consists of such 
diversity. Furthermore, different social and economy structure in urban and rural requires different 
treatment to overcome poverty in each area.

Keywords: microfinance, poverty, Islamic finance