The Development and Implementation of a Crowdfunding Waqf Micro Takaful Model in Malaysia

The Crowdfunding Waqf Micro Takaful Model is a new, environmentally friendly micro takaful model in Malaysia that aims to provide financial security to low-income individuals who lack adequate safety measures and are susceptible to economic disruptions like the COVID-19 pandemic.The model uses crowdfunding-waqf to generate financial resources for the takaful fund, utilizing perpetual charity (sadaqah jariyah).This approach makes the framework socially responsible and sustainable, fostering financial inclusion, mitigating poverty, and facilitating the attainment of the Sustainable Development Goals (SDGs).The model's effectiveness was found to be enhanced by increased donor participation through the integration of crowdfunding platforms.The model can be replicated and modified in various settings to aid marginalized communities, foster market stability, safeguard consumers, and facilitate the expansion of the micro takaful industry.The Crowdfunding Waqf Micro Takaful Model could potentially be a viable approach for bolstering financial inclusivity and alleviating poverty in Malaysia and other countries.