Why is growth of Islamic microfinance lower than its conventional counterparts in indonesia?
Joint Authors
Source
Issue
Vol. 21, Issue 1 (30 Jun. 2013), pp.35-62, 28 p.
Publisher
Islamic Development Bank (IDB) Islamic Research and Training Institute (IRTI)
Publication Date
2013-06-30
Country of Publication
Saudi Arabia
No. of Pages
28
Main Subjects
Economy and Commerce
Religion
Islamic Studies
Topics
- Banks
- Islamic jurisprudence
- Financial institutions
- Islam
- Supply and demand
- Microfinance
- Indonesia
- Religious aspects
- Customers
- Islamic Banks
Abstract EN
The aim of this paper is to examine the demand factors for microfinance services in Indonesia consisting of the understandings, perceptions and preferences of 581 micro finance institutions (MFIs) clients of four MFIs two Islamic (BMT and BPRS) and two conventional (BRI and BPR).
The results show that MFIs clients’ preferences are driven by economic (low interest rates, low collateral and size of loan) and non-economic factors (such as quality of services variables ; easiness, speed, nearness, payment method and loan officers’ profile).
The results also indicate that BRI, a conventional MFI, is ranked the most competitive according to these factors, followed by BPRS (Islamic rural banks), BPR (conventional rural banks) and BMT (Baitul Maal wa Tamwi).
The survey also identifies the gaps in which Islamic MFIs should fulfill in enhancing their roles to reduce unemployment and poverty.
American Psychological Association (APA)
Masyita, Dian& Ahmad, Habib. 2013. Why is growth of Islamic microfinance lower than its conventional counterparts in indonesia?. Islamic Economic Studies،Vol. 21, no. 1, pp.35-62.
https://search.emarefa.net/detail/BIM-328432
Modern Language Association (MLA)
Masyita, Dian& Ahmad, Habib. Why is growth of Islamic microfinance lower than its conventional counterparts in indonesia?. Islamic Economic Studies Vol. 21, no. 1 (Jun. 2013), pp.35-62.
https://search.emarefa.net/detail/BIM-328432
American Medical Association (AMA)
Masyita, Dian& Ahmad, Habib. Why is growth of Islamic microfinance lower than its conventional counterparts in indonesia?. Islamic Economic Studies. 2013. Vol. 21, no. 1, pp.35-62.
https://search.emarefa.net/detail/BIM-328432
Data Type
Journal Articles
Language
English
Notes
Includes bibliographical references : p. 62
Record ID
BIM-328432