The role of technology in enhancing Islamic social finance in assisting poor communities in the post COVID-19 era
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Although Islamic social finance is a relatively new term compared to Islamic commercial finance, there is ample evidence to prove that it has always been in practice in Muslim societies. For instance, zakat as the third pillar of Islam, is implemented and practiced as a form of 'ibadah (worship). The types of Islamic social financial instruments include zakat, sadaqat and infaq, waqf, takaful and microfinance in line with Islamic law of contracts. Using technology, the challenges facing the effective collection, management and distribution of these modes of Islamic social finance can be resolved. However, to adopt technology in this regard, some initial considerations and investments will be required, and proper technology governance mechanisms adopted to implement Shari'ah governance, in addition to corporate governance mechanisms addition to corporate governance mechanisms in respective organisations. This paper covers some tools and approaches that could be adopted in Islamic social finance to assist the poor particularly in the perspective of the COVID-19. As a preamble, it also discusses the principles and rationale of Islamic social finance, and the challenges faced in implementation of the suggested approaches.
COVID-19 , Role of technology , Islamic social finance , Poor communities
Muneeza, A. (2021). The role of technology in enhancing Islamic social finance in assisting poor communities in the post COVID-19 era. Journal of Islamic Finance Accountancy (JOIFA), 6(1), 60-65.