Indonesia has the largest number of Muslims of any country in the world, at 237 million. In recent years, the national Government of Indonesia and some of its province-level governments have shown interest in increasing the availability of Sharia-compliant financial products and services for Indonesians.
Indonesia aims to reach 90 percent participation in formal financial services by 2024. Despite growing usage of both conventional and Sharia finance, Indonesia lags behind its counterparts in financial inclusion and women’s economic empowerment. Given public sector support, expanding availability of Sharia-compliant financial services, and ambitious financial inclusion goals, how might Sharia finance better work for women’s financial inclusion in Indonesia?
To undertake this research, Women’s World Banking explored the relationship between Sharia finance, women’s financial inclusion, and women’s economic empowerment.