The challenge in poverty alleviation: role of Islamic microfinance and social capital

Humanomics ◽  
2014 ◽  
Vol 30 (1) ◽  
pp. 76-90 ◽  
Author(s):  
Abul Hassan
Keyword(s):  
Social Capital ◽  
Poverty Alleviation ◽  
Islamic Microfinance

scholarly journals THE ROLE OF SOCIAL CAPITAL AND INTERPERSONAL RELATIONS IN THE ALLEVIATION OF EXTREME POVERTY AND SPATIAL SEGREGATION OF ROMANI PEOPLE IN SZEGED

2020 ◽  
Vol 9 (1) ◽  
Author(s):  
Boglárka MÉREINÉ BERKI ◽  
György MÁLOVICS ◽  
Janka TÓTH ◽  
Remus CREŢAN
Keyword(s):  
Social Capital ◽  
Social Mobility ◽  
Poverty Alleviation ◽  
Interpersonal Relations ◽  
Social Institutions ◽  
Spatial Segregation ◽  
Extreme Poverty ◽  
Urban Underclass ◽  
Bridging Capital

Even more emphasis is set on social capital in understanding, analyzing and planning poverty alleviation measures and policies. However, our understanding of the role of social capital in alleviating extreme poverty, enhancing social mobility and fighting spatial segregation, is still inadequate. Within the present study, we aim to examine and understand (1) the mechanisms that relate to social capital in the case of the segregated urban underclass and (2) the potential interventions for poverty alleviation concerning social capital. In order to examine the dynamics of poverty alleviation measures related to social capital, special attention is paid to the experiences of a cooperative network aimed at creating artificial bridging capital through the introduction of interpersonal relations locally between the middle class and underclass, the patronage network, which was initiated within a broader participatory action research (PAR) process. Our results show that bonding ties and related specific norms as tools for everyday survival easily overwrite system integration efforts for poverty alleviation and social mobility with long-term and uncertain benefits for the segregated urban underclass. In order to overcome this failure, social institutions should place more emphasis on developing meaningful interpersonal relations with the underclass since these might be able to provide personalized help, facilitation, and approximation of perspectives - all being vital for poverty alleviation and social mobility.

scholarly journals The Role of Religious Ritual in Social Capital Formation for Poverty Alleviation and Social Development. Theoretical and Methodological Points of Departure of a South African Exploration

2010 ◽  
Vol 17 (1-2) ◽  
pp. 61-82 ◽  
Author(s):  
Cas Wepener ◽  
Marcel Barnard ◽  
Ignatius Swart ◽  
Gerrie ter Haar
Keyword(s):  
Social Capital ◽  
Social Development ◽  
South African ◽  
Poverty Alleviation ◽  
Capital Formation ◽  
Western Cape ◽  
Research Project ◽  
South African Society ◽  
Religious Ritual

AbstractThe article is a presentation of a South African research project in which researchers in the fields of ritual-liturgical studies and social development are collaborating to explore the role of religious ritual in the kinds of social capital formation that have a direct significance and implication for alleviating poverty and promoting social development at grassroots level. Focusing on Christian congregations in poor socio-economic contexts in the Western Cape and KwaZulu-Natal, the aim of the research is to understand social capital formation through the lens of religious ritual. The research project builds on the hypothesis that social capital has a role to play in the related goals of poverty alleviation and social development, something which it seeks to conceptualise and explore in greater detail. Within this framework the discussion explores and contextualises the conceptual link between social capital and the practice of religious ritual in present-day South African society by drawing on existing research and theoretical debates, both nationally and internationally. This enables the authors to present some additional notes on the key theoretical, conceptual and methodological points of departure of the undertaken project. These are followed by a number of concluding observations about the modes of investigation and action steps through which the research topic is currently being further developed.

PERAN MODAL SOSIAL SEBAGAI MEDIATOR LITERASI KEUANGAN DAN INKLUSI KEUANGAN PADA USIA PRODUKTIF DI KABUPATEN GUNUNGKIDUL

2020 ◽  
Vol 15 (1) ◽  
pp. 27
Author(s):  
Elizabeth Fiesta Clara SB ◽  
Astrie Krisnawati
Keyword(s):  
Social Capital ◽  
Financial Literacy ◽  
Poverty Alleviation ◽  
Sampling Technique ◽  
Financial Inclusion ◽  
The Other ◽  
Probability Sampling ◽  
The Relationship ◽  
Determinant Factor

ABSTRACT Financial inclusion is proven to decrease poverty and social gap if it is done maximally. Gunungkidul regency as one of all regency with the poorest population in Daerah Istimewa Yogyakarta. The determinant factor in successful financial inclusion is financial literacy toward the population themselves. Furthermore, the other factor to accelerate poverty alleviation is the role of the productive population.This research aims to discover the role of social capital as the financial literacy and financial inclusion mediator of Gunungkidul’s Regency productive population. With social capital is expected to be a mediator in improving literacy and inclusion finance.The population in this research is 729.364 productive ages of Gunungkidul’s Regency population and the sample was taken by non-probability sampling technique which produced 424 samples. This study adopted Sobel test also Kenny and Baron method to examine the effect of mediaton of social capital in the relationship between financial literasion and financial inclusion. The result of this study found that social capital proved to partially mediate the association beteen financial literacy and financial inclusion of productivity age in Gunungkidul Regency. Keywords: Poverty, Financial Literacy, Financial Inclusion, Social Capital, Partially Mediation, Gunungkidul Regency. ABSTRAK Gunungkidul termasuk Kabupaten dengan jumlah warga miskin Yogyakarta. Inklusi keuangan dipercaya dapat menurukan kemiskinan apabila dilakukan secara maksmial serta dapat mengurangi kesenjangan sosial. Salah satu faktor penentu keberhasilan inklusi keuangan adalah adanya literasi keuangan pada masyarakat itu sendiri, faktor lain yang dapat mempercepat pengentasan kemiskinan adalah peran masyarakat produktif. Penelitian ini bertujuan untuk mengetahui peran modal sosial sebagai mediator literasi keuangan dan inklusi keuangan pada usia produktif di Kabupaten Gunungkidul yang diharapkan dapat meningkatkan literasi keuangan dan inklusi keuangan itu sendiri. Populasi penelitian ini adalah masyarakat Kabupaten Gunungkidul berusia produktif sebesar 729.364 jiwa. Pengambilan sampel dengan teknik non-probability sampling menghasilkan sampel sejumlah 424 jiwa. Penelitian mengadopsi dan menggunakan tes Sobel serta metode Baron dan Kenny dalam pengujian pengaruh mediasi modal sosial pada hubungan literasi keuangan dan inklusi keuangan. Hasil penelitian menemukan bahwa modal sosial terbukti secara parsial memediasi hubungan antara literasi keuangan dan inklusi keuangan pada usia produktif di Kabupaten Gunungkidul. Kata kunci: Usia Produktif, Literasi Keuangan, Inklusi Keuangan, Modal Sosial, Kabupaten Gunungkidul.

scholarly journals Poverty Alleviation and Sustainable Development: The Role of Social Capital

2008 ◽  
Vol 4 (3) ◽  
pp. 202-215 ◽  
Author(s):  
Ali Asadi ◽  
Morteza Akbari ◽  
Hossain Shabanali Fami ◽  
Hoshang Iravani ◽  
Farahnaz Rostami ◽  
...  
Keyword(s):  
Social Capital ◽  
Sustainable Development ◽  
Poverty Alleviation

scholarly journals THE ROLE OF COOPERATIVES IN THE SMES EMPOWERMENT IN RURAL AREAS

2019 ◽  
Vol 7 (2) ◽  
pp. 226-232
Author(s):  
Safaah Restuning Hayati ◽  
Miftakhul Khasanah
Keyword(s):  
Rural Areas ◽  
Poverty Alleviation ◽  
Bargaining Power ◽  
Capability Approach ◽  
Positive Relation ◽  
Grameen Bank ◽  
Islamic Microfinance ◽  
Spss Software ◽  
Sen’S Capability Approach

Purpose: This study aims to analyze the role of Mitra Dhuafa Cooperative in Gemolong Sub-district of Sragen, Indonesia, in empowering rural microenterprise, and to analyze its success rate by measuring the correlation between micro financing and the level of capability, and poverty alleviation. Methodology: The method used in this study is quantitative analysis. The data collection was obtained through a survey by distributing questionnaires to 100 members of Mitra Dhuafa Cooperative. The data was analyzed using Somers'd Correlation Test, with Statistical Package for Social Science (SPSS) software. Main Findings: The result of data analysis shows a positive relation (0.320) between the level of capability of micro business actors and poverty alleviation. The Indicators of empowerment success were measured by Amartya Sen's capability indicators, namely, opportunities and access in the economic, social, health, education, openness, and security fields. The research concludes by stating that Mitra Dhuafa Cooperative has succeeded in reducing the level of poverty by increasing the capability, bargaining power and independence of micro business actors. Applications: This study can be useful for implementing poverty alleviation program and Islamic microfinance programs in rural areas. Novelty/Originality: The combined implementation of Grameen Bank model and Sen’s capability approach to analyze its success for poverty alleviation in rural areas.

scholarly journals The Role of Islamic Microfinance for Poverty Alleviation in Mogadishu, Somalia: An Exploratory Study

2019 ◽  
Vol 6 (4) ◽  
pp. 355-365
Author(s):  
Mohamed Abdi Elmi Xalane ◽  
Marhanum Che Mohd Salleh
Keyword(s):  
Poverty Alleviation ◽  
Poverty Reduction ◽  
Current Practice ◽  
Descriptive Analysis ◽  
Quantitative Methodology ◽  
Microfinance Institutions ◽  
The Poor ◽  
Standards Of Living ◽  
Islamic Microfinance

This research aims to investigate the current practice of Islamic microfinance in Mogadishu, Somalia and to examine the effectiveness of Islamic microfinance institutions in Somalia on poverty reduction. In total, 65 microfinance recipients participated in the survey. This research adopts a quantitative methodology, using a survey and descriptive analysis. Findings show that the current practice of Islamic microfinance in Mogadishu is serving the poor and that these microfinance activities are effective in terms of obtaining loans, enhancement of standards of living and usefulness of the system. Nonetheless, there is a low level of awareness among the locals regarding the availability of Islamic microfinance.

Enhancing the role of Baitul Maal in giving Qardhul Hassan financing to the poor at the bottom of the economic pyramid

2019 ◽  
Vol 10 (3) ◽  
pp. 382-391
Author(s):  
Permata Wulandari
Keyword(s):  
Qualitative Analysis ◽  
Poverty Alleviation ◽  
Design Methodology ◽  
Content Type ◽  
The Poor ◽  
The People ◽  
Microfinance Institution ◽  
Islamic Microfinance

Purpose Baitul Maal wa Tamwil (BMT) is an Islamic microfinance institution created by combining the functionality of Baitul Maal and Baitul Tamwil in Indonesia. While Baitul Maal plays the role of an institution that collects funds from zakah, cash waqf, infaq and sadakah, Baitul Tamwil then distributes these funds in the form of Qardhul Hassan financing to the poor at the bottom of the economic pyramid (BOP). This study aims to explain the poverty alleviation effort by BMT regarding its role in providing Qardhul Hassan financing to the people at the BOP and provide practical suggestions to maximize the outreach performance of the BMT. Design/methodology/approach In this methodology, the study adopts the qualitative analysis of reviewing the literature and interviewing the BMT staff in Jakarta, Makassar and Nusa Tenggara Barat areas to present the views of the practitioners related to the role of Baitul Maal in giving Qardhul Hassan financing to the people at the BOP using appreciative intelligence framework. Findings The study finds that BMT in Indonesia needs several stage-specific structures and roles to be effective. In particular, there is a need to separate the function of Baitul Maal from Baitul Tamwil to enhance its role when giving Qardhul Hassan financing to the people at the BOP. The role of Baitul Maal in alleviating the poverty figure is also drawn in this study. Originality/value The findings of this study add to the literature on Baitul Maal by enabling researchers and practitioners to appreciate the role of Baitul Maal, and these findings also contribute towards enriching the knowledge in Baitul Maal and financing requirements of the poor at the BOP. This paper also contributes to the field of Islamic accounting which is currently getting prominent.

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