A REVIEW ON PRODUCT DEVELOPMENT OF ISLAMIC SOCIAL FINANCE IN TIJARI SECTOR

Authors

  • Norafni @ Farlina Rahim Department of Muamalat Kolej Pengajian Islam Johor Johor Bahru, Johor Darul Ta’zim
  • Syahidawati Shahwan Islamic Finance and Wealth Management Institute (IFWMI) Faculty of Economics & Muamalat Universiti Sains Islam Malaysia
  • Zurina Shafii Islamic Finance and Wealth Management Institute (IFWMI) Faculty of Economics & Muamalat Universiti Sains Islam Malaysia
  • Azrul Azlan Iskandar Mirza Islamic Finance and Wealth Management Institute (IFWMI) Faculty of Economics & Muamalat Universiti Sains Islam Malaysia
  • Safeza Sapian Islamic Finance and Wealth Management Institute (IFWMI) Faculty of Economics & Muamalat Universiti Sains Islam Malaysia
  • Supiah Salleh Islamic Finance and Wealth Management Institute (IFWMI) Faculty of Economics & Muamalat Universiti Sains Islam Malaysia
  • Norhaziah Nawai Islamic Finance and Wealth Management Institute (IFWMI) Faculty of Economics & Muamalat Universiti Sains Islam Malaysia
  • Norhazlina Ibrahim Islamic Finance and Wealth Management Institute (IFWMI) Faculty of Economics & Muamalat Universiti Sains Islam Malaysia
  • Asmaddy Haris Islamic Finance and Wealth Management Institute (IFWMI) Faculty of Economics & Muamalat Universiti Sains Islam Malaysia

Keywords:

Islamic social finance, tijari Sector, Islamic economy paradigm, product development

Abstract

Social finance is not new, but most low-income earners are not keen to utilize social finance products due to its association with riba (usury). Islamic social finance on the other hand offers the alternative to generate economy and create wealth, with its Shariah-compliant underlying principles. This new mechanism offers the alternative for people under the paradigm of Islamic economic system. This instrument covers the deficiency of Islamic finance, in both ijtimai’e and tijari sectors. Thus, it is crucial to the stages involved in the creation of Shariah-compliant products that can meet the objectives of ijtimai’e and tijari sectors. The main objective of this paper is to review the concept and paradigm of Islamic economic system and the position of Islamic social finance. It also reviews the product development and innovation of this mechanism. The methodology used for this is qualitative in nature, namely content analysis of the secondary sources of similar themes. It was found that there is very limited discussion on product development in Islamic social finance.

Additional Files

Published

2018-12-31

Issue

Section

Articles