Islamic microfinance faces obstacles hindering poverty alleviation in Africa.
Islamic microfinance is a helpful way to reduce poverty for both Muslims and non-Muslims. The main goal of the study was to identify the challenges facing Islamic microfinance institutions in Africa. The researchers found that these institutions struggle with low market reach, high costs, Shariah regulations, funding issues, risks, and profitability. To be successful, Islamic microfinance organizations need to address these obstacles to better help people in need.