Financial Inclusion in Organization of Islamic Cooperation Countries: Challenges and Opportunities

Abstract

This chapter aimed to explore the situation of Financial Inclusion in the Organization of Islamic Cooperation (OIC) countries. It followed a descriptive methodology to analyze Financial Inclusion status in Islamic countries and to clarify the most important challenges and opportunities facing promoting Financial Inclusion. The study concluded that the state of Financial Inclusion in the OIC countries is low and faces many challenges, the most important of which are poverty, unemployment, illiteracy, and weak financing infrastructure. There is also an optional financial exclusion for a large group of Muslims because the traditional financial system is not based on Islamic Sharia, so the study suggested utilizing Islamic Finance and maximizing the benefits of Sharia-based blockchain techniques to enhance Financial Inclusion. This requires work to reform the infrastructure, and regulatory legislation for Islamic and banking finance, especially those based on blockchain technologies, and encourage public and private sector initiatives through Islamic Finance, and the mobilization of Islamic financial resources to implement programs to support the poor and provide microfinance while spreading an Islamic financing culture and raising awareness of its importance and tools.