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Resource Mobilisation and Islamic Charity-Giving in Indonesia: Evidence from Low-Income Households

  • Laily Dwi ArsyiantiEmail author
  • Salina Kassim
  • Adewale Abideen Adeyemi
Chapter

Abstract

This paper examines low-income households’ perspective on regular charity-giving behaviour in Indonesia. Theory of social production function and the theory of planned behaviour are adopted. 1780 questionnaires are collected and analysed by using structural equation modelling. The findings suggest that informal financing institution negatively related to regular charity-giving behaviour, while indirectly related to attitude and perceived behavioural control. Meanwhile, financial education is proven to be positively related to the behaviour of giving charity regularly. It is also indirectly related through perceived behavioural control (experiences), if subjective norm (other important parties perceived by respondents) is included, but negatively related to the behaviour if subjective norm is excluded. The regular charity-giving behaviour positively affects financial ratios and satisfaction in lifestyle. These findings are useful for social-finance practitioners to change the perspective and behaviour of low-income households.

Keywords

Charity-giving Low-income Households Indonesia 

JEL Classification

H41 L31 

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Copyright information

© The Author(s) 2019

Authors and Affiliations

  • Laily Dwi Arsyianti
    • 1
    Email author
  • Salina Kassim
    • 2
  • Adewale Abideen Adeyemi
    • 2
  1. 1.Bogor Agricultural UniversityBogorIndonesia
  2. 2.Institute of Islamic Banking and FinanceInternational Islamic University MalaysiaGombakMalaysia

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