Financing Product Innovation through Sharia Fintech in Supporting the Development of Halal UMKM

Abstract

Financing product innovation in the Islamic fintech industry has become an important factor in supporting the growth and development of Micro, Small and Medium Enterprises (UMKM) oriented towards sharia principles. In the context of economic globalisation and increased awareness of the importance of sharia compliance, halal UMKM play an increasingly important role in the modern economy. This study investigates how the innovation of Islamic fintech platform financing products in supporting the development of halal UMKM. By analysing the characteristics of sharia-compliant financing products, as well as considering the needs and challenges faced by halal UMKM, this study explores various financing models that can be implemented by Islamic fintech to support the growth of the halal UMKM sector. Using a literature study approach to provide a deeper understanding of how sharia fintech financing product innovation can play a role in supporting the growth and development of halal UMKM and provide guidance for industry players, and other stakeholders in strengthening the halal UMKM financing ecosystem through sharia fintech.