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Islamic micro finance is based on sharia and non interest based.it involves giving credit facilities for physical sharia compliance products. It is markup or profit and loss sharing based.
Islamic Micro Finance should be Based of Musharikah or Modaribah in which islamic banks provide funds to small business to grow and contribute in the countries economy.
Thanks for invitation,
Islamic Micro finance, is a sector with a great potential to expand, but up to date, it is only concentrated in three main countries: Indonesia, Bangladesh and Sudan
As a principle, Islamic micro finance complies with principles of Islam and to involve in projects "halal", (allowed by sharia). Projects must be charitable or helping to develop the economy of a country.
Despite the impressive increase in the number of suppliers and customers of Islamic micro finance sector, it is still dominated by a few suppliers in some countries that rely primarily on just two products (Murabaha and Qard Hassan) Thus, from the specialized people views, the Islamic micro finance sector needs a concerted and expanding action from the different concerned parties.
to making small loans available to poor people (especially those traditionally
excluded from financial services) through programmes designed specifically to meet their
particular needs and circumstances
