The Role of Waqf in Enhancing the Financial Inclusion of Women Entrepreneurs in Developing Countries

Abstract

Purpose: To accelerate modern micro-enterprises especially for women
in developing countries, waqf can bridge the gap in the financial exclusion
of women in entrepreneurship activities. The goal of this research is to
identify the extent to which financial inclusion can enhance women’s
economic empowerment in developing countries through waqf.
Methodology: This study used a desk-based review of the literature to
gain insight into the concept of the research variables. Findings: The
paper revealed that property waqf, cash waqf, and corporate waqf can
influence women’s economic empowerment through the development of
physical capital, financial capital, and human capital.
Significance: This paper reviewed the extant literature to provide a
research framework that will accelerate women entrepreneurship, enhance
Islamic wealth management and financial inclusion of women in Muslim societies. Theoretically, this study has contributed to the body of
knowledge in Islamic finance, women empowerment and entrepreneurship
development.
Limitations: This study only focused to the body of knowledge in women
empowerment and entrepreneurship development in developing countries.
Practical Implications: Practically, access to the financial system will be
improved by increasing the access of small businesswomen entrepreneurs,
resulting in an increase in asset ownership, wealth creation, and serving
as a catalyst for larger economic empowerment. Women’s entrepreneurship in can be improved with adequate knowledge of waqf instruments,
conscious planning, and implementation by relevant stakeholders.
KAUJIE Classification: E22, I0
JEL Classification: G29, L26, O10