Title: E-Salam finance for risk management Islamic fin-tech mobile-based micro-finance approach

Authors: Omer Hag Hamid

Addresses: Arab Open University, Building 890, A'ali, Kingdom of Bahrain

Abstract: The objective of this paper is to examine how disruptive technological innovations can mitigate the risk of microfinance operations using forward sales and to explore the extent to which this approach is tailored to the financial needs of farmers in rural areas. Quantitative methods used. Various sources were used to collect secondary data. A questionnaire was used to manage the primary data through MFIS staff to examine the research hypothesis. Questions coded and used in Smart PLS for analysis. Firstly, the paper proposed a tool to reduce risk through the risk-sharing mechanism and structure of Salam finance. Secondly, the report suggested a mode of microfinance to increase income, as MFIs have significant competitive advantages over fin-tech. Third, the paper gives MFIs the chance to offer positive social impacts through financial services. This paper offers a mobile application approach for microfinance. Can used to satisfy small business owners in agricultural activities; the first paper provides the e-Salam finance structure.

Keywords: Islamic fin-tech; Salam; financial inclusion; disruptive technology; risk mitigation.

DOI: 10.1504/IJBISE.2024.139146

International Journal of Business Intelligence and Systems Engineering, 2024 Vol.2 No.1, pp.43 - 59

Received: 10 Mar 2022
Received in revised form: 22 Dec 2022
Accepted: 27 Dec 2022
Published online: 15 Jun 2024 *

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