Al-Mubadarat Al-Riyfia: An Islamic finance product for the underserved segment and the third sector of the economy

Authors

  • Adamu Ahmed Wudil International Islamic University Malaysia
  • Rislanudeen Muhammad Bank of Industry Nigeria, Lagos, Nigeria

DOI:

https://doi.org/10.24191/jeeir.v11i3.22610%20

Keywords:

Islamic finance, Almubadarat alriyfia, Underserved segment, Third sector

Abstract

This paper presents al-Mubadarat al-Riyfia, an innovative Islamic financing product designed to serve the marginalised segment and the third sector of the economy. This paper aims to address the disparity in Islamic finance by emphasising inclusiveness and collective economic well-being. Al-Mubadarat al-Riyfia adopts a group-based approach and focuses primarily on the real business sector, aligning with the principles of value-based intermediation (VBI) in Islamic financing. The primary objective is to provide sustainable financial services to households at low income levels, serving financial needs that often fall within the range of approximately RM500 to RM1000 (approximately US$125-250). The initiative seeks to reach an estimated 40 million households worldwide. This initiative not only addresses the pressing issue of financial inclusion but also contributes significantly to the evolution of Islamic finance. It represents a pioneering effort to integrate underserved populations into the economic mainstream while upholding Islamic finance principles. The study's unique contribution lies in its potential to reshape the landscape of Islamic finance, foster shared prosperity, and provide a model for sustainable development.

Author Biographies

Adamu Ahmed Wudil, International Islamic University Malaysia

Adamu Ahmed Wudil, a Ph.D. candidate at the International Islamic University Malaysia, excels in Financial, Social, Islamic Finance, and Sustainable Development research, published in prestigious journals. He actively contributes to academia and his profession, fostering academic growth as a Graduate/Research Assistant. His prior role as an Assistant Manager at the Bank of Agriculture Limited in Nigeria showcased his expertise in macro and microeconomic research. Adamu is a member of esteemed professional bodies like the Nigerian Economic Society and Chartered Institute of Loan and Risk Management of Nigeria. Notable leadership roles include President of the Nigerian Economics Students Association. His achievements include prestigious scholarship awards. Contact: adamwudil@gmail.com, ORCID: https://orcid.org/0000-0003-1430-0808.

Rislanudeen Muhammad, Bank of Industry Nigeria, Lagos, Nigeria

Dr. Rislanudeen Muhammad PhD, the Head of Strategy and Research at the Bank of Industry, earned his Economics Ph.D. from Bayero University Kano, Nigeria. He serves as an Adjunct Lecturer at Bayero University, Kano, and Nile University, Abuja. With alumni status at renowned Business Schools like Lagos, Harvard, London, and Galilee International Management Institute, he emphasizes continuous learning. Dr. Rislanudeen holds affiliations with prestigious organizations like the Nigerian Economic Society and the Chartered Institute of Bankers of Nigeria. With 33+ years of experience, his expertise spans Budget and Economic Planning, Corporate Banking, Risk Management, Investment Advisory, among other areas. Contact: rislanudeen@gmail.com, ORCID: https://orcid.org/0009-0001-8264-2124.

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Published

2023-09-30

How to Cite

Wudil, A. A., & Muhammad, R. (2023). Al-Mubadarat Al-Riyfia: An Islamic finance product for the underserved segment and the third sector of the economy. Journal of Emerging Economies and Islamic Research, 11(3), 65–79. https://doi.org/10.24191/jeeir.v11i3.22610

Issue

Vol. 11 No. 3 (2023): September 2023 Issue

Section

Articles

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Copyright (c) 2023 Adamu Ahmed Wudil, Rislanudeen Muhammad

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