Simulating the cause and effect of providing microtakaful protection using zakat and waqf to the poor

Islam recognize the problems of poverty and has several instruments to tackle the problem of poverty such as zakat and waqf. Both instruments capable of providing financial protection to the poor as known as microtakaful. Complexity and uncertainty cash flows of microtakaful need to be studied in or...

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Published in:AIP Conference Proceedings
Main Author: Mohamad A.I.; Zulkepli J.; Abidin N.Z.
Format: Conference paper
Language:English
Published: American Institute of Physics Inc. 2023
Online Access:https://www.scopus.com/inward/record.uri?eid=2-s2.0-85179788920&doi=10.1063%2f5.0177168&partnerID=40&md5=fd1839f50284ab5a5117d6450dc6bf80
id 2-s2.0-85179788920
spelling 2-s2.0-85179788920
Mohamad A.I.; Zulkepli J.; Abidin N.Z.
Simulating the cause and effect of providing microtakaful protection using zakat and waqf to the poor
2023
AIP Conference Proceedings
2896
1
10.1063/5.0177168
https://www.scopus.com/inward/record.uri?eid=2-s2.0-85179788920&doi=10.1063%2f5.0177168&partnerID=40&md5=fd1839f50284ab5a5117d6450dc6bf80
Islam recognize the problems of poverty and has several instruments to tackle the problem of poverty such as zakat and waqf. Both instruments capable of providing financial protection to the poor as known as microtakaful. Complexity and uncertainty cash flows of microtakaful need to be studied in order to provide the protection in the long term. System Dynamics Modelling (SDM) capable of providing simulation results that shows the impact of changes in the key variables of the microtakaful. The main aim of the paper is to find minimum contribution required which is affordable to the poor but also sustainable for the microtakaful provider in the long run. Analysis from the model shows that the minimum contribution of RM160 per year is required to sustain all the funds involved. The simulation results can benefit the decision makers such as zakat and waqf institutions in providing microtakaful protection to the poor in the long run. Further analysis of other key variables and other combining with other approach in determining the contribution should be done in order to get more insight of the model. © 2023 Author(s).
American Institute of Physics Inc.
0094243X
English
Conference paper

author Mohamad A.I.; Zulkepli J.; Abidin N.Z.
spellingShingle Mohamad A.I.; Zulkepli J.; Abidin N.Z.
Simulating the cause and effect of providing microtakaful protection using zakat and waqf to the poor
author_facet Mohamad A.I.; Zulkepli J.; Abidin N.Z.
author_sort Mohamad A.I.; Zulkepli J.; Abidin N.Z.
title Simulating the cause and effect of providing microtakaful protection using zakat and waqf to the poor
title_short Simulating the cause and effect of providing microtakaful protection using zakat and waqf to the poor
title_full Simulating the cause and effect of providing microtakaful protection using zakat and waqf to the poor
title_fullStr Simulating the cause and effect of providing microtakaful protection using zakat and waqf to the poor
title_full_unstemmed Simulating the cause and effect of providing microtakaful protection using zakat and waqf to the poor
title_sort Simulating the cause and effect of providing microtakaful protection using zakat and waqf to the poor
publishDate 2023
container_title AIP Conference Proceedings
container_volume 2896
container_issue 1
doi_str_mv 10.1063/5.0177168
url https://www.scopus.com/inward/record.uri?eid=2-s2.0-85179788920&doi=10.1063%2f5.0177168&partnerID=40&md5=fd1839f50284ab5a5117d6450dc6bf80
description Islam recognize the problems of poverty and has several instruments to tackle the problem of poverty such as zakat and waqf. Both instruments capable of providing financial protection to the poor as known as microtakaful. Complexity and uncertainty cash flows of microtakaful need to be studied in order to provide the protection in the long term. System Dynamics Modelling (SDM) capable of providing simulation results that shows the impact of changes in the key variables of the microtakaful. The main aim of the paper is to find minimum contribution required which is affordable to the poor but also sustainable for the microtakaful provider in the long run. Analysis from the model shows that the minimum contribution of RM160 per year is required to sustain all the funds involved. The simulation results can benefit the decision makers such as zakat and waqf institutions in providing microtakaful protection to the poor in the long run. Further analysis of other key variables and other combining with other approach in determining the contribution should be done in order to get more insight of the model. © 2023 Author(s).
publisher American Institute of Physics Inc.
issn 0094243X
language English
format Conference paper
accesstype
record_format scopus
collection Scopus
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