Frontiers of Islamic Banks: A Synthesis of the Social Role and Microfinance

Islamic Microfinance Institutions have seen slow progress due to their lack of funds and dearth of trained employees. There is no doubt that the workings of these institutions must be modified to pave the way for economic success among the poor. According to this article, there is evidence that Islamic banks can provide microfinance services more efficiently and easily due to their broad scale of operations. Results and examples are provided from the experience of the Rural Development Scheme, a microfinance institution based in the Islami Bank Bangladesh Limited as well as the Islamic Development Bank.