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Skill-Based and Interest-Free Microfinance Model of Entrepreneurship as the More Sustainable Model

In: Enhancing Financial Inclusion through Islamic Finance, Volume I

Author

Listed:
  • Farhat Mahmood

    (PIDE)

  • Adeeba Ishaq

    (PIDE)

Abstract

The chapter investigates whether or not skill-based interest-free microfinance to entrepreneurs in Pakistan is a more sustainable model of microfinance. The study is quantitative (descriptive statistics) and qualitative (multiple cases of Pakistani entrepreneurs who have successfully initiated their own businesses) in nature. The researchers are interested to compare three entrepreneurs’ microfinance models prevailing in the country which are interest-free skilled-based financial investment, interest-free financial investment and interest-based financial investment. The findings verify that out of tthree models discussed in this chapter, the skilled-based and interest-free model of microfinance is not only innovative but also more sustainable model of microfinance for entrepreneur.

Suggested Citation

  • Farhat Mahmood & Adeeba Ishaq, 2020. "Skill-Based and Interest-Free Microfinance Model of Entrepreneurship as the More Sustainable Model," Palgrave Studies in Islamic Banking, Finance and Economics, in: Abdelrahman Elzahi Saaid Ali & Khalifa Mohamed Ali & Muhammad Khaleequzzaman (ed.), Enhancing Financial Inclusion through Islamic Finance, Volume I, chapter 0, pages 221-241, Palgrave Macmillan.
    • Handle: RePEc:pal:psibcp:978-3-030-39935-1_11
    DOI: 10.1007/978-3-030-39935-1_11
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