The Effect of Conventional and Islamic Microfinance on Poverty Alleviation in Bangladesh
Main Article Content
Abstract
Our study evaluated and examined the availability of credit services and outreach as well as propose better effect microfinance services in Bangladesh. The establishment of MFIs in Bangladesh is the result of multiple initiatives by successive government authorities. More recently, microfinance has become a system to address the challenge of poverty, and the past decade has seen a remarkable contribution from MFIs in different parts of the world. Our study used a sample of 400 Islamic and conventional microfinance clients through a simple random sampling technique. In analysing the descriptive data statistics, Pearson Moment correlations, Multiple Regression Analysis (MRA) and parametric tests such as independent t-test and ANOVA were used.
The study concluded that the credit facilities are available and accessible in the microfinance institutions irrespective of gender, type of business engaged by the client and the community he/she belongs.
Article Details
References
https://www.worldbank.org/en/publication/wdr2019
Mia, M. A. (2017). An Overview of the Microfinance Sector in Bangladesh. East asian journal of business management, 7(2), 31-38.
Jaiyeoba, H. B., Adewale, A. A., & Ibrahim, K. (2018). Measuring efficiencies of Bangladeshi and Indonesian microfinance institutions: A data envelopment analysis and latent growth curve modeling approach. International Journal of Bank Marketing, 36(2), 305–321.
Natoli, R. (2018). Factors contributing to financial literacy levels among a migrant group. International Journal of Social Economics, 45(5), 730–745.
Atmadja, A. S., Sharma, P., & Su, J. J. (2018). Microfinance and microenterprise performance in Indonesia: an extensive and updated survey. International Journal of Social Economics, 45(6), 957-972.
Shirazi, N. S., & Bin Amin, M. F. (2009). Poverty elimination through potential zakat collection in the OIC-member countries: Revisited. Pakistan Development Review, 48(4), 739–753.
Iqbal, S et all (2019), opt.
Bibi, U., Balli, H. O., Matthews, C. D., & Tripe, D. W. L. (2018). New approaches to measure the social performance of microfinance institutions (MFIs). International Review of Economics and Finance, 53, 88–97.
Ahmad, M. (2015). Role of Waqf in Sustainable Economic Development and Poverty Alleviation: Bangladesh Perspective Masoud. Journal of Law, Policy and Globalization, 42, 118–130.
Hasan, T., Quayes, S., & Khalily, B. (2019). Role of governance on performance of microfinance institutions in Bangladesh. Eurasian Economic Review, 9(1) 91–106.
Azad, M. A. K., Masum, A. K. M., Munisamy, S., & Sharmin, D. F. (2016). Efficiency analysis of major microfinance institutions in Bangladesh: a Malmquist index approach. Quality and Quantity, 50(4), 1525–1537.
Kazemian, S., Abdul Rahman, R., Mohd Sanusi, Z., & Adewale, A. A. (2016). Role of market orientation in sustainable performance: The case of a leading microfinance provider. Humanomics, 32(3), 352-375.
Abdul Rahman, R., & Dean, F. (2013). Challenges and solutions in Islamic microfinance. Humanomics, 29(4), 293-306.
Dhaoui, E. (2015). The role of Islamic Microfinance in Poverty Alleviation: Lessons from Bangladesh Experience.
Saad, N. (2011). Selecting High-income Generating Activities for Micro-entrepreneurs : The Case Study of Amanah Ikhtiar Malaysia. International Journal of Humanities and Social Science, 1(5), 258–264. Retrieved from http://www.ijhssnet.com/journals/Vol._1_No._5;_May_2011/29.pdf
Hamdan, H., Othman, P., Sabri Wan Hussin, W., Sabri, W.Hussin. (2012). Is Microfinance Program in Malaysia Really Effective in Helping the Poor ? World Review of Business Research, 2(1), 79-97. Retrieved from http://www.wbiaus.org/6. Hamdino.pdf
Hasan, T., Quayes, S., & Khalily, B. (2018). Role of governance on performance of microfinance institutions in Bangladesh. Eurasian Economic Review.
García-Pérez, I., Muñoz-Torres, M. J., & Fernández-Izquierdo, M. Á. (2017). Microfinance literature: A sustainability level perspective survey. Journal of Cleaner Production, 142, 3382–3395.
Iqbal, S.,( 2019), opt.
Noordin, N. H., & Kassim, S. (2019), opt.
Hartarska, V., Mersland, R., Nadolnyak, D. A., & Parmeter, C. F. (2018). Governance and Scope Economies in Microfinance Institutions. Ssrn, 4(1), 74–96.
Opt.
Islam, T. (2018). Social justice : The rural development scheme ( RDS ) in. International Journal of Islamic Thoughts, 7 (1), 53-78,
Wahab, H. A., Bunyau, W., & Rezaul Islam, M. (2018). Microcredit for rural poverty alleviation and social well-being: A study of Sabah, Malaysia. Asian Social Work and Policy Review, 12(1), 4–16.
Mia, M. A., Lee, H. A., Chandran, V. G. R., Rasiah, R., & Rahman, M. (2019). History of microfinance in Bangladesh: A life cycle theory approach. Business History, 61(4), 703-733.
Abdulai, A., & Tewari, D. D. (2017). Trade-off between outreach and sustainability of microfinance institutions: evidence from sub-Saharan Africa. Enterprise Development and Microfinance, 28(3), 162–181.
Rahman, M. W., Luo, J., Hafeez, A. S. M., & Sun, T. (2015). A comprehensive review of microfinance impacts, sustainability and outreach. Asian Journal of Agricultural Extension, Economics & Sociology, 6(2), 64-76.
MIA M ( 2017), opt.
Opt.
Ali, I., Hatta, Z. A., Azman, A., & Islam, S. (2017). Microfinance as a Development and Poverty Alleviation Tool in Rural Bangladesh: A Critical Assessment. Asian Social Work and Policy Review, 11(1), 4–15.
Thrikawala, S. S., Locke, S., & Reddy, K. (2013). Corporate Governance – Performance Relationship in Microfinance Institutions (MFIs). Asian Journal of Finance & Accounting, 5(1), 1–22.
Ahmed, K., & Khan, R. (2016). Disclosure practices and governance quality: evidence from micro finance institutions. Journal of Accounting & Organizational Change, 12(3), 325-350.
Van Damme, P., Wijesiri, M., & Meoli, M. (2016). Governance and Efficiency of Microfinance Institutions: Empirical Evidence from Sri Lanka. South Asia Economic Journal, 17(2), 236–247.
Usman, A. S., & Tasmin, R. (2016). The Relevance of Islamic Micro-finance in achieving the Sustainable Development Goals. International Journal of Latest Trends in Finance and Economic Sciences, 6(2), 1115–1125.
Ahmed, K., & Khan, R. (2016), opt.
Anis, F. M., & Kassim, S. H. (2016). Effectiveness of Zakat-Based Programs on Poverty Alleviation and Economic Empowerment of Poor Women: a Case Study of Bangladesh. Journal of Islamic Monetary Economics and Finance, 1(2), 229–258.
Opt.
Tunisan, E. D. (2015), opt.
Tunisan, E. D. (2015), opt
Alamgir, D. rt al (2018), opt.
Suraya Hanim Mokhtar, Gilbert Nartea, & Christopher Gan. (2012). The Malaysian microfinance system and a comparison with the Grameen Bank (Bangladesh) and Bank Perkreditan Rakyat (BPR-Indonesia). Journal of Arts and Humanities, 1(3), 1–18. Retrieved from http://www.theartsjournal.org/index.php/site/article/view/35
Noordin, N. H., & Kassim, S. (2019), opt.
Lensink, R., Mersland, R., Vu, N. T. H., & Zamore, S. (2018). Do microfinance institutions benefit from integrating financial and nonfinancial services?. Applied Economics, 50(21), 2386-2401.