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All Journal Li Falah: Jurnal Studi Ekonomi dan Bisnis Islam
Abdulqadir Maikabara Abdullateef
International Islamic University Malaysia
Humanities Decision Sciences, Operations Research & Management Social Sciences

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Applicability of Islamic microfinance as an alternative tool for Poverty Eradication in Nigeria Abdulqadir Maikabara Abdullateef
Li Falah: Jurnal Studi Ekonomi dan Bisnis Islam Vol 8, No 1 (2023): June 2023
Publisher : Institut Agama Islam Negeri Kendari

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.31332/lifalah.v8i1.6496

Abstract

The microfinance system is one of the governmental and non-governmental initiatives to eradicate poverty, even though conventional microfinance does not satisfactorily serve the needs of underprivileged households in Nigeria. However, Islamic microfinance has great potential to facilitate its roles in providing financial services per Islamic values. This research examines Islamic microfinance's perception of poverty eradication in the Kwara State of Nigeria. The 364 responses from microfinance clients in Ilorin, Kwara State of Nigeria, were analyzed through SPSS using descriptive and Pearson coefficient moment correlation (PPMC). The findings indicated a positive statistically significant correlation between Islamic microfinance and household income (PEHI), healthcare (PEHC), education(PEED), and employment(PEEM). This study is significant as it presents the applicability of Islamic microfinance for eradicating poverty in the study area. Policymakers should widely institutionalize Islamic microfinance institutions nationwide and take necessary and exclusive measures to ensure their effectiveness for poverty eradication and achieving sustainable socioeconomic development.
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