Islamic equity financing as a financial inclusion enabler: Nigeria in spectrum

• Main Authors: Akosile, Tesleem Olajuwon Isa, Mohd. Zain, Nor Razinah, Engku Ali, Engku Rabiah Adawiah, Kassim, Salina
• Format: Conference or Workshop Item
• Language: English; English; English
• Published: 2022
• Subjects: BPH Islamic Economics; BPK Islamic law. Shari'ah. Fiqh; H Social Sciences (General); K Law (General)
• Online Access: http://irep.iium.edu.my/102968/1/AICIF%202022%20NO.%20157%20333-023.pdf; http://irep.iium.edu.my/102968/9/102968_Islamic%20Equity%20Financing%20As%20A%20Financial%20Inclusion%20Enabler_Nigeria%20in%20Spectrum.pdf; http://irep.iium.edu.my/102968/10/102968_Islamic%20equity%20financing%20as%20a%20financial%20inclusion%20enabler_Abstract%20Book.pdf; http://irep.iium.edu.my/102968/; https://conference.iium.edu.my/aicif/

Inclusivity in access to finance is a global concern and a key enabler of the prime Sustainable Development Goals (SDGs). This study focuses on appraising Islamic equity financing as an essential vehicle for a deepened and effective financial inclusion in Nigeria. The study relies on primary and secondary data sourced from surveys, interviews, official publications, working papers, articles, e-books, websites, and online resources in furtherance of its objectives. Through the adoption of qualitative analysis, content analysis is used to define the status of financial inclusion in Nigeria. This study finds that the value proposition of Islamic equity financing aligns with the objectives of the Nigerian authorities to engender financial inclusion, and that the challenges debarring the adoption of Islamic equity financing as a financial inclusion enabler were already being mitigated. Consequently, the study recommends that Islamic Banks in Nigeria increase their sectoral allocations for Islamic equity financing contracts in their financial asset creation. Further, the Central Bank of Nigeria (CBN), being the key regulator of Nigeria’s financial industry, is enjoined to evolve strategies that will see to the expansion of the country’s financial inclusion drive through Islamic equity financing and contracts.