WorksheetsCHAPTER 3 MICROFINANCE
Total questions: 27
Worksheet time: 50mins
Microfinance was first introduced by Prof. Dr. Muhammad Yunus in Bangladesh in 1983 through Grameen Bank.
TRUE
FALSE
Conventional microfinance primarily uses Shariah-compliant instruments like murabahah and qard al-hasan.
TRUE
FALSE
Islamic microfinance targets both poor and moderately poor populations, whereas conventional microfinance focuses only on moderately poor populations.
TRUE
FALSE
Islamic microfinance emphasizes risk-sharing and operates without riba (interest) or gharar (excessive uncertainty).
TRUE
FALSE
Growth-oriented microenterprises primarily aim to supplement family income through part-time or seasonal operations.
TRUE
FALSE
Takaful-tawuni is a form of Islamic mutual guarantee used in micro-insurance.
TRUE
FALSE
Which of the following is the primary focus of microfinance?
Providing financial services to large-scale enterprises
Offering small-scale financing to low-income individuals
Facilitating international trade financing
Supporting government projects
What is one key difference between Islamic microfinance and conventional microfinance?
Conventional microfinance targets women exclusively.
Islamic microfinance allows riba-based financing.
Islamic microfinance uses group pressure for default management.
Islamic microfinance incorporates Shariah principles and avoids interest.
Which of the following is a key characteristic of livelihood enterprises?
Focus on niche markets with specialization opportunities.
Generates significant surplus earnings for reinvestment.
Operates part-time or seasonally to supplement family income.
Employs specialized labor through vocational training.
In the Grameen Bank model of microfinance, loans are given based on _________.
Individual collateral
Joint liability and group approval
Credit history
Government guarantees
Which service is provided by Islamic microfinance to meet the savings needs of low-income individuals?
Micro-credit
Micro-equity
Micro-savings
Micro-transfers
Which of the following is NOT the impact of microfinance?
Increase household income
improve economic stability
Build assets
Increase vulnerability
Microfinance is provided only to large corporations and financial institutions.
TRUE
FALSE
Islamic microfinance allows riba as long as the interest rate is low.
TRUE
FALSE
Zakat and waqf can be sources of funds for Islamic microfinance.
TRUE
FALSE
Conventional microfinance uses interest-based financing instruments.
TRUE
FALSE
Islamic micro-credit uses contracts such as murabahah and ijarah.
TRUE
FALSE
Micro-savings are not important for low-income individuals.
TRUE
FALSE
Micro-insurance aims to protect low-income people from specific risks.
TRUE
FALSE
A livelihood enterprise is usually the main source of family income.
TRUE
FALSE
Joint liability means each borrower is responsible only for their own loan.
TRUE
FALSE
What is the definition of microfinance according to Ledgerwood (1999)?
Financing provided to multinational corporations
Financial services provided to low-income clients
Long-term loans with low interest rates
Savings services only for poor households
The main target population of Islamic microfinance is:
High-income individuals only
Moderately poor individuals only
Poor and moderately poor populations
Women only
What is the main purpose of micro-transfers?
Long-term savings
Risk protection
Sending money domestically and internationally
Share investment
Which of the following is a characteristic of a growth-oriented microenterprise?
Seasonal operation
Focus on survival income
Long-term business growth orientation
Low skill requirement
In the Islamic framework, micro-insurance is known as __________.
Conventional insurance
Reinsurance
Takaful-ta‘awuni
Investment insurance
Which microfinance model applies the concept of joint liability?
Commercial bank model
Grameen Bank model
Investment bank model
Central bank model
