Baitul mal wat tamwil: A Sociological and Social Welfare Movement?
SOCIOLOGY AND WELFARE
DEVELOPMENT
Edited by:
Muhamad Fadhil Nurdin
Centre for Socioglobal Studies
Padjadjaran University
Foreword by:
Dr. Afriadi Sjahbana Hasibuan, MPA, M.Com (Ec)
Head of Research & Development
Ministry of Home Afairs, Republic of Indonesia
SOCIOLOGY AND WELFARE DEVELOPMENT
© 2015 Muhamad Fadhil Nurdin et. al.
First Published May, 2015
Published By
Centre for Socioglobal Studies
Padjadjaran University
In Cooperation With
Penerbit Samudra Biru (Member of IKAPI)
Jomblangan Gg. Ontoseno Blok B No 15 Rt 12/30
Banguntapan Bantul Yogyakarta Indonesia 55198
Telp. (0274) 9494 558
E-mail/FB: [email protected]
ISBN: 978-602-9276-56-5
All rights reserved. No part of this book may be reprinted or
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mechanical, or other means, now known or hereafter
invented, including photocopying and recording, or in any
information storage or retrieval system, without permission in
writing from the publishers.
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Sociology and Welfare Development
CONTENTS
Contents ...................................................................................
iii
List of Contributors .................................................................
v
Acknowledgement ....................................................................
ix
Foreword ..................................................................................
xi
Introduction .............................................................................
xiii
Welfare Development: Meanings, Issues and
Challenges
Muhamad Fadhil Nurdin .................................
1
Poverty and Social Development
Muhamad Fadhil Nurdin, Ali Maksum, Indri
Indarwati ........................................................
19
The Emergence of Jakarta-Bandung MegaUrban Region and Its Future Challenges
Agung Mahesa Himawan Dorodjatoen,
Forina Lestari and Muhamad Fadhil Nurdin ....
39
Development for Urban Poor Housing
Mohd Haizzan Yahaya, Muhamad Fadhil
Nurdin, Hery Wibowo and Mohd Tauik
Mohammad .....................................................
69
Chapter 1
Chapter 2
Chapter 3
Chapter 4
Sociology and Welfare Development
iii
Chapter 5
Chapter 6
Chapter 7
Chapter 8
Chapter 9
Chapter 10
iv
Baitul Mal wat Tamwil: a Sociological
and Social Welfare Movement ?
Hery Wibowo & Muhamad Fadhil Nurdin ........
Environmental Participation among Youth:
Challenges, Issues and Motivating Factors
Lim Jen Zen & Muhamad Fadhil Nurdin .........
79
97
Indonesian Workers Health Condition:
A Sociological Analysis
Bintarsih Sekarningrum, Desi Yunita
and Muhamad Fadhil Nurdin ........................... 125
he Delivery System of Education Programs
Mahathir Yahaya, Ali Maksum,
Muhamad Fadhil Nurdin and Azlinda Azman ... 135
Child Brides, Not Our Pride:
Looking Into Child Marriage Incidences in
Malaysia
Mitshel Lino, Muhamad Fadhil Nurdin and
Azlinda Azman ................................................
143
Concluding Remarks
Muhamad Fadhil Nurdin .................................. 151
Sociology and Welfare Development
LIST OF CONTRIBUTORS
Agung Mahesa Himawan Dorodjatoen, is a PhD candidate at West
Australia University, Perth – Australia. He is a Planning Staf, Directorate
of Spatial Planning and Land Afairs, Indonesia National Development
Planning Agency (Bappenas). He is a Best Graduate Student in Regional
and Planning Department, Bandung Institute of Technology (2006)
and Utrecht Excellence Scholarships Awardee 2007-2009 on Research
Master Human Geography & Planning, Faculy of Geoscience, Utrecht
University.
Ali Maksum, is a Ph.D candidate at the Centre for Policy Research
and International Studies (CenPRIS), Universiti Sains Malaysia, Penang.
His current project is about the Indonesia-Malaysia relations from
defensive realism perspective. He has written articles have been published
in such publisher as Kajian Malaysia: Journal of Malaysian Studies,
Springer (ISI), Indonesia national newspapers and conferences.
Azlinda Azman, Ph.D is an Associate Professor and Head of Social
Work Programme at the School of Social Sciences, Universiti Sains
Malaysia (USM), Penang, Malaysia. She is also the Convenor of the
AIDS Action and Research Group (AARG), USM. She was a Fulbright
Scholar and obtained her Doctor of Philosophy (Ph.D) degree in Clinical
Social Work from New York University. Her ields of expertise include
social work education and practice, theory and methods in social work
and social work research. Her areas of research interest include poverty,
Sociology and Welfare Development
v
HIV/AIDS and drug related issues.
Bintarsih Sekarningrum, a leturer at Social Welfare Departement
in Social and Political Sciences Faculty, University of Padjadjaran. She
obtained Bachelor degree, master degree and Doctoral degree from
University of Padjadjaran. Some scientiic papers had been published
at national or international level. Currently, he is focusing on waste
management problem in society who life near the Cikapundung river at
Bandung City.
Desi Yunita, oicially join the Departemen of Sociology at Social
and Political Science Faculty University of Padjadjaran since 2014. She
got Magister degree in Sociology also from University of Padjadjaran and
focusing the research on development and environmental problem.
Forina Lestari, obtained B.Sc.Eng. (ITB, 2006), MSc in Housing,
School of Housing, Building and Planning, University of Science Malaysia
(USM, 2008). Lecturer at Indonesian Institute of Technology (ITI). She
has published a book: Alam Takambang Jadi Guru: Merajut Kearifan
Lokal dalam Penanggulangan Bencana di Sumatera. Consultant and
expertise at Directorate of Rural and Urban Afairs, Indonesia National
Development Planning Agency (Bappenas) and Directorate General of
Spatial Planning, Ministry of Public Works (2013), Directorate General
of Regional Development Assistance, Ministry of Home Afairs and
Expert, Deputy of the Area Development, Ministry of Public Housing
(2012), Expert Staf, Commission V (Infrastructure), he Indonesian
House of Representatives (DPR, 2011). Junior Expert, Directorate of
Rural and Urban Afairs, Indonesia National Development Planning
Agency (Bappenas, 2010).
Hery Wibowo, S.Psi, MM, PhD is a leturer at Departement of Social
Welfare Faculty of Social and Political Science, Padjadjaran University.
Indri Indarwati, is PhD candidate in Social Work at Universiti Sains
Malaysia (USM). Since 1999 she has been attached as a civil servant in
the Ministry of Social Afairs. Her research areas are study of social work,
gender and community development.
vi
Sociology and Welfare Development
Mitshel Lino is a Master of Social Sciences (Psychology) candidate
under the supervision of Assoc. Prof. Dr. Intan Hashimah Mohd
Hashim from the Department of Social Work, Universiti Sains Malaysia.
Her research interest surrounds the ield of Social Psychology. She was
a Graduate Assistant, serving as a Psychology tutor in the university.
She was invited to the Golden Key International Honour Society for
academic excellence and awarded Second Upper Class Honours from her
undergraduate. Her past researches included the area of Multicultural
Psychology and Child Marriage in Malaysia, collaboration project with
UNICEF.
Mohd. Haizzan Yahaya MSW is Ph.D scholars from University
Sains Malaysia. He is currently researching on Urban Poor Housing
and being supervised by. Muhamad Fadhil Nurdin, PhD and associate
professor Azlinda Azman, PhD
Mohd Tauik Mohammad is a Ph.D scholar at the Social Work
Programme, School of Social Sciences, Universiti Sains Malaysia. His
current Ph.D studies regarding on Specialization Social Work, Forensic
Social Work/Victims’ Studies/Restorative Justice, being supervised by
associate professor Azlinda Azman, PhD.
Muhamad Fadhil Nurdin, MA and Ph.D. from University of
Malaya. He is a leturer at Departement of Social Welfare (1982-2011)
and Departement of Sociology (2011-present), Head Departement
of Sociology in Faculty of Social and Political Science, Padjadjaran
University (2014- present). Visiting Associate Professor at University
of Malaya (2008) and Visiting Associate Professor at Univerisiti Sains
Malaysia (2012- present).
Tia Devianty, S.IP., MPA, is a PhD candidates at Universitas
Padjadjaran, and a master’s degree graduate from Public Policy, Faculty
of Public Policy and Management, Flinders University, Australia. Now,
a lecturer at Ahmad Yani University, Bandung - from september 1996
– present Teaching, Researching, and Public Servicing. Current Researches
are mainly about Capacity Building For Decentralization (2008-now).
Sociology and Welfare Development
vii
Current Public Services are Facilitator, Comprehensive Maternal Village
Program in West Java, West Java Province Health Department (2006 –
2008), Facilitator for Sustainable Capacity Building for Decentralization
(SCBD) Project in Bau-bau City and Buton Regency (2008 – 2012),
District Advisory Team Capacity Building Program Minimum Service
Standard Basic Education at Sorong West Papua (2014-2016), tdevianty@
rocketmail.com.
Tofan Rakhmat Zaky, S.Ip MA is a researcher at the Department of
International and Strategic Studies, Universiti Malaysia, Kuala Lumpur.
He is activist in Art Movement in Malaysia.
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Sociology and Welfare Development
ACKNOWLEDGEMENT
Alhamdulillah. hanks to Allah SWT, whom with His willing
giving me the opportunity to complete this book entitled Sociology and
Welfare Development. he publication of this book would not have
been possible without the guidance and knowledge wich I have acquired
from my honourable professors; Professor A.D Saefullah - University of
Padjadjaran and Professor Abd. Hadi Zakaria - University of Malaya. I
would also like to dedicate this book to my beloved wife, Tuty Tohri and
our lovely children Tofan Rakhmat Zaky, Forina Lestari, Fitaha Aini and
Tamal Arief Ihsan - their support in my life.
he publication of this book would not be possible without the
assistance and cooperation that we have received over the years from
the many individuals and organization in various parts of the world.
In particular, we wish to thank our team, all authors - Department of
Sociology Padjadjaran University and Universiti Sains Malaysia. Specially
thanks especially to Ali Maksum for his excellent assistance during the
editorial process of this book. Dr. Arry Bainus the Dean of Faculty of
Social and Political Sciences, Padjadjaran University. All of my MastersPhD students and colleagues at Padjadjaran University as well as USM
whom I would like to thanked for providing continuous support towards
my success.
Wassalam.
Muhamad Fadhil Nurdin
Sociology and Welfare Development
ix
x
Sociology and Welfare Development
FOREWORD
Dr. Afriadi Sjahbana Hasibuan, MPA, M.Com (Ec)
Head of Research & Development
Ministry of Home Afairs, Republic of Indonesia
First of all, I am honored to write this foreword and to give my
warm endorsement to this book edited by my colleague Muhamad Fadhil
Nurdin, Ph.D. In my point of view, Indonesian harmony is urgent and
should be achieved soon. he government and all stakeholders are pushed
to react and formulate a strong policy to reach the national goals.
his book provides a comprehensive assessment regarding sociology
and welfare development discourses with a new paradigm and approaches
to build Indonesian future. his compilation chapter divided into ifteen
chapters, conclusion and also given constructive policy recommendations.
Although, all authors in this book are depart from various background
and issues, yet they produce and extent some challenges should become
serious attention especially the government. I can argue that this book is
very multidisciplinary and discussed from various angle.
Personally, as practitioner and based on my professional experiences,
I am strongly recommend this book to be read speciically by civil servant,
professional, academicians and those who engage in the social welfare
tasks. One of the important recomendation given by this book is a good
public policy totally need tough cooperation among individuals, groups,
and institutions. I am also impressed that this book which emphasized on
Sociology and Welfare Development
xi
welfare development discourses is smartly promoting the ideas of “spiritual
development” which in some extent isolated from main discussion. his
is important and also to alerting as well as to underscore that Indonesia
is a religious country.
Finally, I am pleased to congratulate to Muhamad Fadhil Nurdin,
PhD which successfully publish this book and demonstrated that he
is a productive scholar. As academician, lecturer and researcher he has
more than thirty years professional experiences in the ield of social and
political sciences in Indonesia as well as recognized in the broad. I hope,
the collaboration between the agency of research and development in
the Ministry of Home Afairs of the Republic Indonesia with the Centre
for Socioglobal Studies - Padjadjaran University become more efective,
fruitful and sustain in the future.
hank you and Wassalam.
Jakarta, 2014
xii
Sociology and Welfare Development
INTRODUCTION
In the Name of God, the Most Gracioeus, the Most Merciful
his book provides a thematic issues and challenges in the new era,
sociology to develop human welfare. he main objective of the Sociology
and Welfare Development is to present an integrated analysis of how
the discipline of sociology can contribute to our wider understanding
of the variety of welfare development issues, practices and institutions
approachs, policies and philosophy wich exist in our society and countries.
his explanatory chapters expected to examine and understand as well as
ofer choices for human beings in the dinamics world to build a human
welfare.
his book depart from the point of view that sociology is as applied
social science can contribute to the development of human life through
many perspectives. he various theme have been selected are discussed
from philosophy to policy models. Each chapter attempt to understand
with a core idea namely welfare development.
In the irst chapter, the main theme related to welfare development
is regarding the global presence in knowledge body. In this chapter
demonstrate that there have gap and diferences between modern and
spiritual concept of welfare development. Chapter two focus on poverty
phenomena in Indonesia as a serious problem. Some have observed
that poor family are marginalized and obtain small attention, while
many also has seen that the problems are the policy makers. It has to
recognized that some assistants and stimulus packages has given by
government to the poor family. However, it has to recognized also that
there were existed some problems regarding inefective management,
Sociology and Welfare Development
xiii
policy implementation, bureaucracy and corruption. Yet, all indicates
that Indonesian government has taken a serious strategic action in order
to struggle to eradicate poverty as well as eradication policy against
chronic of corruption. Related with poverty phenomena, in the chapter
nine, concern on historical and inherited problems such as the disabled
people, the pursuit of full employment in urban areas and overstaing
in the public sector, were important causes for urban poverty. However,
these historical problems did not result in serious poverty under the well
planned economic system. he number of poor people inherited from
the previous period was also relatively small.
In the third chapter focus on human geography and planning as part
of human life. Sociologically, this study concludes that the relationships
between two adjacent metropolitan centres are two geographical
phenomena occurred in the Jakarta-Bandung Mega-Urban Region
(JBMUR). However, a rapid urbanization process has also been occurring
in the corridor area between both metropolitan centers. here are both
direct and indirect relations between these two geographical phenomena
which inally lead to the emergence of the Jakarta-Bandung mega-urban
region. In the fourth chapter, that in addition, the struggle of urban poor
communities in Malaysia for housing and land rights is closely related
to the development and history of the country. After the British colonial
period, Malaysia’s priority was to develop its economy by focusing on
the manufacturing and export industry in urban areas. his resulted
when people from rural areas migrating from village to the city, in search
of opportunities and to ill the workforce demand. Most of the urban
migrants would build their own house near the manufacturing factories,
because the surrounding lands were unoccupied and unused. With hard
work and their own resources they would clean the area (wilderness) and
build houses; this would encourage the development in the area and
hence they are known as urban pioneers.
In the ifth chapter the author analyzes the social-welfare fund
called Baitul Mal wat Tamwil (BMT). he authors believe that BMT in
particular and microinance institutions in general is one of the social
welfare movement, getting stronger if you see the development of BMT
in Indonesia, as have been reported by Reuters. he growth of Islamic
microinance institutions (LKMS) in Indonesia is increasingly signiicant.
he main objective of the micro and super micro which is generally being
located in rural areas, LKMS transformed into a small people mover a
tough economy. Currently, there are about three million customers who
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Sociology and Welfare Development
obtained inancial assistant from micro LKMS or BMT.
Chapter six examines the environmental destruction of young
generation to protect and conserve the natural environment. As such,
the key actors in engaging youth participation in environmental action,
be it the government, non-governmental organizations (NGO’s) or
the community, should address the multi-dimensional issues that are
obstacles towards the involvement of the young and come up with
strategies to develop a more intrinsically-motivated participation.
Generally, environmental awareness among youth worldwide is at an
adequate level but it is the translation into action that is still lacking. A
review of the implementation strategies of current environmental action
programs involving youth should be done by the respective organizers
in order to create programs that are fun, hands-on and allows as well
as entrusts youth to apply their environmental knowledge and personal
skills to make key decisions for the future of then environment which
they shall inherit from the present. Hence, there is a need to move
beyond the present, traditional top-down institutionalized approach of
implementing programs towards a more dynamic and lexible approach
in which youth are viewed stakeholders, knowledge sharers and leaders,
and not mere passive participants who carry out the aims dictated by the
organizers.
concentrates on socio-cultural diferences between
hometown and destination areas of Indonesian migrant workers and the
impact towards their health condition. It involves the diferences physical
environment, social, and culture. he diferences of physical environment
involve climate change as well as socio-culture between hometown (Peteuy
Condong Village) and destination (Saudi Arabia). hese diferences
inluence towards the workers health condition related job. Social
diferences are related with social economic status between employers
and workers, that impact to the mental depression of the workers.
Culture diferences are cultures diferentiation between hometown and
destination country. Arabian cultures are introvert and over protected. It
emerge diiculties to access health services. While in the chapter eight,
discuss speciic theme about how to develop any rural community it can
be achieve through the dissemination on the importance of education to
all family members in the rural area. his method is expected to transform
the communities towards appreciating education better. he recognition
of society towards education only, is not enough to enhance the living
standards. Yet, it should be incorporated a the positive attitudes of the
Chapter seven
Sociology and Welfare Development
xv
rural community towards education as a strategy for improving life. At
the same time, the delivery system of the education programs must be
enhanced and it is all depend on the commitment of the school and
teachers of the rural schools as well.
Finally, the last chapter focus on the incidences of child marriage are
no longer pertinent only for less developed country; it actually happens
extensively in diferent parts of the world. Due to psychological and
biological immaturity, children are insuiciently mature to make an
informed decision about a life partner.
his book examines the welfare development issues in the broader
“sociology of welfare development” perspective. It is compiled from
travelers and knowledge experiences in international seminars, talks and
forum of researchers, supervisions and other discussion with my PhD and
Master students. hat experiences, together with their personal values and
interests extremely inluence to all authors in this book. Personally, I hope
that those who engage and read this book will obtain fruitful knowledge.
All errors are the author’s responsibility.
Wassalam.
Muhamad Fadhil Nurdin
xvi
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Chapter
5
Baitul Mal wat Tamwil:
A Sociological and Social Welfare
Movement?
Hery Wibowo and Muhamad Fadhil Nurdin
Readers guide
Uniication of development based on
modernization - that disseminated by the western
world, it has not been successful to the welfare
of developing countries. Uniication of the
development pattern of coercion ‘modern lifestyle’
was evidently not applicable to another countries
that has the problems are diferent. Actually, it
is “backire” and make the higher gap between
developed and developing countries. However,
every person and nation must survive. Forced by
situations that occur, each developing countries,
with diferent strategies trying to capitalize on its
strengths to the welfare of its people. herefore,
due to the complexity and diversity of the social
problems that must be addressed, and people
have to survive. Naturally, the local born leader/
entrepreneur indeginoeus trying to meet the
Baitul Mal wat Tamwil
79
needs of himself and the surrounding communities. hey are individuals who
are embarrassed to see injustice and hopes on government assistance. Growing
awareness that every society has the potential, the open low of information
between individuals and increasingly interlinked in diferent parts of the
world, are the things that trigger the growth of movements of social problemsolvers / fulilling the needs of the community that became known as the
Social Entrepreneur of this. his movement grew out of conditions that do
not get better and the situation is not also prosper. From year to year, the
movement is increasingly in diferent parts on the world, and not least in
Indonesia which has the ifth largest population in the world and has the
world’s largest Moslem. One representing the spirit of this movement is the
movement of Baitul Mal wat Tamwil (BMT), which institutes Shari’ahbased microinance community. Since 1995 in Jakarta, the BMT movement,
now has its appearance in almost all provinces in Indonesia. As a communities
movement, and then within twenty-ive years to expand throughout
Indonesia, of course this is something interesting. his chapter, will explore the
development, impact and challenges of BMT movement in Indonesia. hey
also shelled carrying capacity as well as a threat to the existence of BMT in
Indonesia.
Introduction
Indonesian development journey as a nation, is still far from
expectation. Some various economic indicators, shows that Indonesia
still has a lot of homeworks that need to be resolved in order to reach the
objective as it being mentioned in the Indonesian Constitution of 1945.
Based on the Human Development Index Indonesia placed the 124th out
of 187 countries, life expectancy: 69.4 years, per capita income: US$ 3716,
population: 242.3 millions (Hery Wibowo, 2011).
It is clear that our nation has work to complete a variety of needs
and problems. As a country that has a vast territory and natural resources
are virtually unlimited, then it is itting for us to not be in the order of
124 from 187 countries. Modernization schemes ofered and somewhat
‘forced’ by the western countries at the beginning of independence, has
been shown to have not managed to prosper the people of various levels.
he modernization which is propagated by the western countries
has left various unsettled social problems. Instead, the what-so-called
improvement in this modernization era has brought some unpredictable
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Sociology and Welfare Development
problems. he irst sector which is expected to be the pioneer, has not yet
reliable (Hery Wibowo, 2012)
hat is, must have realized that the eforts of the uniform patterns of
development (Uniication of development), from developed to developing
countries - have much left. Development scheme which is based on the
potential of each country is an efort to ‘modern colonialism’ that need
to be aware of its negative impact. In fact, furthermore, the pattern of
modernization has also proven to be highly vulnerable to inancial crisis
a few years back are sweeping the world:
he completion of the acute economic problems can no longer
rely upon the giant corporations (giant corporation) or other business
organizations such as the formal inancial institutions. herefore, these
institutions are experiencing conditions ‘uyuh’ as a domino efect, either
directly or indirectly, from the global inancial and economic crisis
(Muhammad, 2009)
Based on the above ideas, it is clear that each country-especially in
developing countries - must be very serious in designing development
strategies. In addition, be careful here too, including when assessing and
considers western development theories that do not necessarily correspond
to the conditions and situation in Indonesia, especially considering
the inancial crisis that has always haunted. It is recognized that some
countries are beginning to realize this and then form a movement of
‘shared awareness’ as is done with the MDG’s agenda. Nevertheless, you
still need a special glasses to be able to review the entire movement with
a more clear and sharp.
When the movement to eradicate poverty and unemployment to
the international agenda through a number of programs that published
forum MDG’s, it was the inability of capitalism save itself create poverty
and unemployment getting out of control, the doctrine of invisible hands
that are considered efective to improve the economic mechanism is not
capable of being an interpreter savior, even deregulation echoed the
capitalist countries did not really happen (Muhammad, 2009)
For the state of Indonesia, of course, need to realize together that is
not easy for the government to pay attention to every interest and meet
all the needs of the community. hat is, already be aware of the need for
involvement and synergy, not only from the second sector (second sector
/ private / business) but also from the third sector (third sector / social
Baitul Mal wat Tamwil
81
economy / community sector).
his paper will discuss one of the organizations representing the
third sector and has encouraged social change in Indonesia: BMT.
BMT as Islamic Microinance Institutions
Associated with development issues in advance, in which many
developing countries started to move up from the ground up, the
discourse of microinance institutions began to receive attention as one
of the instruments that can drive improvements in public welfare
Microinance institutions according to Antara (2000) is a inancial
institution and inance, established and jointly owned by members of
the community to solve problems / constraints of capital and funding
requirements faced by its members. Asian Development Bank (Asryad,
2008:24) deines microinance as the provision of inancial services in a
wide variety such as savings, loans, payment services, money transfer and
insurance to poor households and low income and their micro enterprises.
ADB deinition includes low-income households and households that
are below the poverty line because there are quite a lot of low-income
households that are not under the poverty line but have limited access to
inancial services, especially in rural areas.
In fact, several studies have shown that the development of Islamic
inancial institutions based economy is pretty awesome. his development,
not only in the context of quantity but also on the type of institution, as
revealed in the study Nurkholis (2009:1):
he development of Islamic inance (banking) in Indonesia, through
recent has been spectacular. here are four types of Islamic or Shariah banks in
Indonesia. hey are Islamic commercial bank (BUS), Islamic banking units
(UUS), Islamic rural banks (BPRS), and Islamic microinance institutions
(BMT).
Growing up to four types of Islamic inancial institutions in Indonesia
to some extent be an indicator of public acceptance of this concept in
Indonesia. In addition, the development of four types of practice shows
that each has its own market and one that managed to be excellent is located
in the micro realm. Diferent from that Islamic inancial institutions,
especially microinance institutions, can be excellent for helping the
poor in meeting the needs of capital. Microinance institutions as well
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Sociology and Welfare Development
as a proit-oriented inancial institution, is also oriented to addressing
poverty, mental change and the poor consumptive lifestyle to -oriented
productive eforts lifestyle (Muhammad, 2009:28).
Applying concepts of shari’ah has the objective, among others
(Muhammad, 2009: 28) (1) MFI Shari’ah itself as an institution in
addition to mediating a business that aims to help the economic players
also serves as a micro-business institutions that perform the injection of
religious values and human values in order to avoid practices that are
considered contrary to Islamic law such as usury, maysir and gharar
(deception) (2) Second, MFIs Shari’ah into the economic institution that
seeks to bridge the gap of economic access to formal inancial institutions
(banks) (3) Opening a greater chance of trying to micro-entrepreneurs
the majority of the poor Based on the above narrative, it is clear that
BMT is an Islamic microinance institution whose presence is required
by the various walks of life in Indonesia.
BMT as a representation of the hird Sector he third sector is an
area outside the government sector or private sector. his sector is called
the third sector to accommodate the various movements/organizations
or activities that are beyond the characteristics of the irst and second
sector
hird sector, has various kind of name, such as non proit sector,
third system, community sector, social economy etc. Briely said, the third
sector is a sector which have diferent characteristic from the irst and
the second one. Stone et al (2007 in Rory, 2010) suggest that although
the third sector has existed for some time, there is insuicient empirical
research or theory to fully understand it (Hery Wibowo, 2012)
Relecting on the complexity of development in Indonesia, the
authors believe that the presence, and even third-sector synergy is
required for the development (growth) and sustainability (sustainability)
of development in Indonesia. Why? Because this is a sector that can move
relatively independently without dependence (excessive) on the willingness
of the fund/substantial capital and in facilities and infrastructure. his is
the sector that is able to adapt to various situations and environmental
conditions and resource availability. his sector requires only the spirit
of those who never give up to solve social problems at least from the
immediate environment.
Baitul Mal wat Tamwil
83
Figure 1: Organizations of the public, private and third sector
(Rory, 2010)
Public Sector (second
system) Justice system
Defence Social security
Infrastructure planning
[social care]
[education]
[health]
[transport]
[power]
State
Civil
society
Third sector (third system)
Campaigning groups
Welfare and human rights
Religious organizations
Trade unions
[arts, museums, cultural]
[credit unions]
[community development]
[social care]
[education]
Market
Private sector (first system)
Business ventures (mining, manufacturing, business services, consumer retailing)
Organizations that depend on trading (rather than taxation, state or grant funding)
Based on the diagram demonstrate that each sector can contribute
to the development of the scope and capabilities of each. Sometimes
these contributions intersect, but often at some speciic aspects of these
contributions is given by a particular sector (unreplaceable).
David McClelland for example, a prominent sociologist, said that
the absence of a developed nation, is not determined by its natural
resources, rather than the number of people who have a high need of
achievement. hat is, it takes people who are able to move quickly, not
dependent on the government, have a high need for achievement and are
ready to beneit the people around him. Figures like these that are needed
by developing countries such as Indonesia, especially as the country’s vast
territory and enormous natural potential of an almost unlimited, but has
not been optimized. In contemporary language, a igure that discussed
above, is the igure that drives the third sector.
BMT is one of the organizations belonging to the category of the
third sector. BMT in this case is an organization that represents the
bottom-up movement of people, and not a representation of the state and
business. herefore, BMT deserve to be called as a social movement and
massive enough to be reckoned within the context of nation building.
84
Sociology and Welfare Development
BMT as a Representation of Social Entrepreneurship
As has been shelled in the discussion above, it has been realized
together (without downplay the role of government), it is diicult for a
nation’s government to be able to pay attention to the interests of citizens
of all nations and meets all the needs of its people. It means that - apart
from the completion of the government in its eforts for the welfare of
the people - carry out development programs for all Indonesian people
is not easy to be implemented in a short time. he phenomenon was
not only an upfront hit Indonesia. Some third world countries are also
experiencing more or less similar fate, which is a phenomenon in which
development is carried out have not been able to eradicate poverty on the
people.
In response to the situations / conditions where it is diicult for
a state government meet the needs of all people, then, naturally began
to appear engaged local leaders and the practice of entrepreneurship
within the umbrella of social entrepreneurship. hey have a brilliant idea
and the idea intended to solve the social problems around their social
environment. For some people, this is referred to as the movement that
best represents the third sector social entrepreneurship movement, or on
several occasions referred to the local leaders.
Local leaders are those who are able to see and discover the potential
of the area (both natural resources and human resources) to then be
developed in order to address local problems faced. his is justiied by
Alex Nichols (2006: xlix) which states that:
Our best hope for the future of humanity lies in the power and efectiveness
of socially motivated, highly empowered individuals who ight for changes in
the way we live, think and behave.
Furthermore, this movement began to bloom developed in various
regions of the world, including in Indonesia. SWA (swa.co.id, downloaded
on January 6, 2011) states that social entrepreneurship is further proven
able to cure many social ills such as poverty, underdevelopment and
public health. In addition to the movement and excitement that began
worldwide, the sector that it included even bigger, a case the following
explanation:
Leadbeater (1997 dalam Nichols, 2008:12) acknowledged the
presence of social entrepreneurship across all three sectors of society by
discerning three organizational milies of social entrepreneurs:
Baitul Mal wat Tamwil
85
•
Public sector adoption of business skills
•
Socially airmative business or business focusing on social ends
•
he voluntary and not-for proit sector adopting more entrepreneurial
approaches
Based on the above explanation, it appears that the social
entrepreneurship movement began to spread to various sectors, ranging
from public sector to adopt business skills, and corporate / business
institutions began to direct its objectives on social beneits, and voluntary
/ nonproit sector is beginning to use the approach-entrepreneurial
approach. But one thing that, whatever the sector, this movement has a
major passion for illing the recesses of the development programs that
have not fully succeeded in meeting the needs of society.
For social entrepreneurs the social mission is explicit and central.
his obviously afects how social entrepreneurs perceive and asses
opportunities. Mission related impact becomes the central criterion, not
wealth creation (dees 1998a:2 dalam Nichols, 2008:13)
So it is said that for the (movement) of social entrepreneurship, social
mission (or a target for beneicial social purposes) is explicit and become
the main focal point. his is what afects how social entrepreneurs
perceive and measure opportunities. Mission is closely related to the social
implications of a major criterion, not wealth creation for shareholders
and proit maximization. Accordingly, various models, shapes and types
of social entrepreneurship began to lourish in Indonesia, ranging from
agriculture, animal husbandry to Islamic microinance institutions.
he selection of models, patterns or forms of social entrepreneurship
would need to consider the demographics of the community to it the
culture. In this case, the vast majority of Indonesia is Islam, so the choice
for the development of Islamic economics has been very precise. Associated
with the development of Islamic economics, Minister of Cooperatives
and SMEs Sharif Hassan states (website: Center.or.id article www.IslamicMinister of SMEs supported the concept of Islamic inance downloaded
on March 22, 2010) “In a country where majority population is Muslim,
the choice of inancial concepts sharia is very precise, and we support
the implementation of it. Because the world is now too much interested
in and adopt the concept of sharia “. It means that government in this
regard has been recognized that this concept is a pattern that can be used
86
Sociology and Welfare Development
to support the economic system that has been used previously.
It can be said that non-governmental institutions, especially the move
in the area of microinance, has the potential role that no doubt to be able
to help small communities. Because their presence is directly or indirectly
to open a small public access to inancial institutions. Chairman of the
Economic Community of Sharia, Mulyaman Hadad (Kompas, Saturday,
January 24, 2009) suggest that micro-inance approach grounded in fact
more than a formal approach for small community banks. herefore, the
approach to microinance more accessible and felt comfortable by the small
community. Besides the potential inancing of microinance institutions
is enormous, because the inancing of the formal banking sector only 40
percent. he rest are met through informal sources of inancing. his
means that the existence and sustainability of microinance institutions
is very important.
Related to Islamic economic discourse, to this day, has had 4
Indonesia Islamic banking system, as revealed by Nurkholis (2009: 1)
the following: (a) Islamic Commercial Bank (BUS) (b) Islamic Banking
Units (UUS) (c) Rural Islamic Banks (SRB) (d) Islamic Micro Finance
Institution (BMT) Among the four types of these, the most capable
of serving the grass roots is BMT, as revealed in the study Nurkholis
(2009: 2) as follows: BMT is needed by the society of Indonesia Because
these rationals, namely (1) here are more then 43.22 Millions of micro
entrepreneurs in Indonesia (2) here area just a few banks having good
attention and having willingness to Provide micro-credit scheme for
entrepreneurs.
hat is, for countries such as Indonesia, BMT is still a very broad
market. However, establishing and developing their own BMT is a
struggle in an era of people who are more familiar than the conventional
bank Islamic sharia-based system. So people tend to be extra careful in
choosing a inancial institution, prior to that have not been too familiar.
Minister for State Enterprises Sofyan Djalil, call the managers of
Baitul Maal wat Tamwil (BMT), as ighters or Mujahideen. Pinned
deserve this title, because the managers of BMT have dedicated ourselves
to help small communities. BMT, in view Djalil, has proved itself to
serving the grassroots, to reach the community groups that have not
been touched by any of the inancial system. (Kompas, 24 April 2009
downloaded from Kompas.com) BMT as a social enterprise, has the
distinction with the usual business institutions. he institute, run by the
Baitul Mal wat Tamwil
87
two missions, namely carry-proit mission and social mission. his means
that the challenges to progress and development, much larger than pure
business institution.
BMT as a Social Enterprise
In general, BMT is a microinance institution that operates under
Islamic principles. Compatible with the name, then the BMT consists
of two functions (Irawan, without the years: 4.3-3) (a) Baitut Tamwil
(Bait-house, at Tamwil = property development) development activities
productive ventures and investments in improving the economic quality
of micro and small entrepreneurs, among others, encourage saving and
inancing to support economic activity (b) Baitul Maal (Bait = home, Maal
= treasure) to receive zakat funds deposited, infaq and Sadaqah and to
optimize its distribution in accordance with the rules and amanahnya.
BMT as part of the Social Change
Various changes have been studied can be expressed as the face of
social change. Hawley (1978:787 in Sztompka, 2004) states that social
change is any change that does not happen from the social system as
one entity. he below details are social change explanation by Sztompka
(2004):
• Social change is a transformation in the organization of society,
the patterns of thinking and the behavior at a given time
(Macionis, 1987:638)
• Social change is a modiication or transformation in the
organization of society (Persell, 1987:586)
• Social change refers to the variation in relationships between
individuals, groups, organizations, culture and society at a given
time (Ritzer, et.al, 1987:560)
• Social change is a change in behavior patterns, social relations,
institutions and social structure at any given time (Farley,
1990:626)
According to the narrative above, it can be said that social change
is a change in behavior patterns and social relationships as a form of
organizational transformation in society that occur at a certain time
88
Sociology and Welfare Development
frame. Relecting on this, it can be said that the growing phenomenon
of BMT in Indonesia is a representation of the social changes that
potentially prosperous nation. BMT, in this case is a community-based
social enterprise, it is seen from the condition that required for the
formation of BMT involving at least 20 members of the public to be the
founder of start-up capital. he twenty men then depositing them in the
form sispoksus capital, principal or special deposits. he involvement of
20 members of the community, implying that without the consent of the
community, it is unlikely that a BMT would stand in a certain region.
However, in its development, as it may deem necessary and can help the
community, some of the BMT began to be established with the help of
certain parties. Here is a complete data:
Table 1
he Growth of BMT’s asset in Indonesia
Total
BMT was established NGOs
BMT aset 500 M
BMT aset > 1 B
BMT aset < 500 M
-1B
605
717
1.636
Based, upfront table it appears that there are more than 600 BMT
which has assets of more than 1 billion. It is certainly remarkable
considering BMT usually initial capital below 25 million. Today has been
spread over 3000 BMT throughout Indonesia, with assets (consolidated)
of more than 1 trillion, with the number of managers of more than 30,000
people, nearly half of S-1 and women (Amin, 2008) .
he author considers this is something that is extraordinary,
considering that BMT is a microinance institution based society, the
establishment is really bottom up. he following is the result of research
Amin (2008) related changes in the mindset of the managers of BMT. It
was found that the success story of BMT is due to of:
1. Operationally capable of implementing sharia in proportion,
which is based on adequate ruhiyah strength of its management
board and
2. Commitment and high ghiroh of managers, which stemmed
from the realization that too is pretty good ruhiyah
3. Founded by the orientation of the intention to worship Allah
Baitul Mal wat Tamwil
89
SWT through improved economy and improved quality of
people
4. Widespread support from the aghnia and local community
leaders, including companies that are nearby
5. Management capabilities and technical skills of inancial
institutions managers and the managers are supported by
adequate training and are supported by a complete theory,
practice and MMQ (Method of Understanding and practicing
the Qur’an)
6. Able to maintain a high public trust through the emotional
connection that Islamic
7. Establishment performed as directed
8. he ability to collect funds with the ability of Islamic and
humane
9. Continually strive to be a connector body and guardian of
Islamic ukhuwah among administrators, managers, pukosma,
and others.
Based explanations in advance, it seems clear that the presence of BMT
has been a dynamic factor of social change, at least in terms of changing
mindsets. hat is, this is an institution that level of success, to be followed
by changes in patterns of thinking people, that without it, very hard to
achieve success. Furthermore, the authors argue, that sociologically, the
movement is marked by the birth of BMT waves throughout Indonesia,
it has become a social movement. Social movements are collective actions
that are loosely organized, without any institutionalized way to produce
a change in their societies (Sztompka, 2004). Here is his review related to
the dynamics of BMT in Indonesia.
hat is, this is evidence that BMT is needed by members of the
public presence, for without such needs, BMT may not be able to reach
3000 units in number and spread to almost all provinces in Indonesia.
hat is, social change has occurred, both in terms of changing mindsets,
community economic development, reduction of unemployment and
others.
90
Sociology and Welfare Development
Social
Movement
Aspect
Implication on BMT
1
Collectivity of
persons acting
together
At BMT, characterized from its founding
conditions which must involve a number of
residents / community leaders. hat is, as a
condition of the formation of course, already
happened collectivity of people who think and
act together
2
he shared
objective is the
action of certain
changes in society
deined by the
same participants
his is very clearly seen in BMT, where the
goal is to create changes in the economy and
also the people of the community behavior
patterns
3
Collectivity
is relatively
scattered, but
lesser than
the formal
organization
4
Actions have
a relatively
high degree of
spontaneity,
but not
institutionalized
and tend to be
unconventional
No
research-based Amin (2009) it appears that
successful BMT is characterized among others
by the amount of support from community
leaders and even from local companies. hat
is, there are still growing collectivity together,
although not formalized as in the formal
organization
One of the requirements for working capital
loans in BMT is that the borrower must have
a savings account irst. his is the beginning
may be surprising, because as a society tend
to be consumptive, and less familiar with the
culture of saving. However, over time, there
have been spontaneous among community
residents to put the savings (the pattern of
productive life) rather than borrow money
BMT as the movement of Social Welfare
Social welfare eforts, the eforts that need to be done without
knowing the limits and time. In this decade, the urgency of social welfare
movements become much more important in light of the various analyzes
Baitul Mal wat Tamwil
91
that have been revealed in the beginning of this paper, which stated that
the modernization and penyeragama-based capitalism and free markets,
proved unsuccessful welfare of society, especially in developing countries.
he following is the opinion of Muhammad (2009) Strengthening the
free market economic system and the ‘privatization’ of social welfare
to make community development has an important signiicance in the
efort to emphasize the importance of informal self-help and involvement
in supporting the strategy of addressing poverty and oppression, and in
facilitating community participation and empowerment.
Social Welfare Concept
Analyzing the BMT
he concept of ‘good’ in
inter-human relationship is
measured by standard social
values (social values) and
norms (norms) that underlies
the order of social life and
behavior of citizens of the
community itself
he results of BMT studies (
DEVELOPMENT
Edited by:
Muhamad Fadhil Nurdin
Centre for Socioglobal Studies
Padjadjaran University
Foreword by:
Dr. Afriadi Sjahbana Hasibuan, MPA, M.Com (Ec)
Head of Research & Development
Ministry of Home Afairs, Republic of Indonesia
SOCIOLOGY AND WELFARE DEVELOPMENT
© 2015 Muhamad Fadhil Nurdin et. al.
First Published May, 2015
Published By
Centre for Socioglobal Studies
Padjadjaran University
In Cooperation With
Penerbit Samudra Biru (Member of IKAPI)
Jomblangan Gg. Ontoseno Blok B No 15 Rt 12/30
Banguntapan Bantul Yogyakarta Indonesia 55198
Telp. (0274) 9494 558
E-mail/FB: [email protected]
ISBN: 978-602-9276-56-5
All rights reserved. No part of this book may be reprinted or
reproduced or utilised in any form or by any electronic,
mechanical, or other means, now known or hereafter
invented, including photocopying and recording, or in any
information storage or retrieval system, without permission in
writing from the publishers.
ii
Sociology and Welfare Development
CONTENTS
Contents ...................................................................................
iii
List of Contributors .................................................................
v
Acknowledgement ....................................................................
ix
Foreword ..................................................................................
xi
Introduction .............................................................................
xiii
Welfare Development: Meanings, Issues and
Challenges
Muhamad Fadhil Nurdin .................................
1
Poverty and Social Development
Muhamad Fadhil Nurdin, Ali Maksum, Indri
Indarwati ........................................................
19
The Emergence of Jakarta-Bandung MegaUrban Region and Its Future Challenges
Agung Mahesa Himawan Dorodjatoen,
Forina Lestari and Muhamad Fadhil Nurdin ....
39
Development for Urban Poor Housing
Mohd Haizzan Yahaya, Muhamad Fadhil
Nurdin, Hery Wibowo and Mohd Tauik
Mohammad .....................................................
69
Chapter 1
Chapter 2
Chapter 3
Chapter 4
Sociology and Welfare Development
iii
Chapter 5
Chapter 6
Chapter 7
Chapter 8
Chapter 9
Chapter 10
iv
Baitul Mal wat Tamwil: a Sociological
and Social Welfare Movement ?
Hery Wibowo & Muhamad Fadhil Nurdin ........
Environmental Participation among Youth:
Challenges, Issues and Motivating Factors
Lim Jen Zen & Muhamad Fadhil Nurdin .........
79
97
Indonesian Workers Health Condition:
A Sociological Analysis
Bintarsih Sekarningrum, Desi Yunita
and Muhamad Fadhil Nurdin ........................... 125
he Delivery System of Education Programs
Mahathir Yahaya, Ali Maksum,
Muhamad Fadhil Nurdin and Azlinda Azman ... 135
Child Brides, Not Our Pride:
Looking Into Child Marriage Incidences in
Malaysia
Mitshel Lino, Muhamad Fadhil Nurdin and
Azlinda Azman ................................................
143
Concluding Remarks
Muhamad Fadhil Nurdin .................................. 151
Sociology and Welfare Development
LIST OF CONTRIBUTORS
Agung Mahesa Himawan Dorodjatoen, is a PhD candidate at West
Australia University, Perth – Australia. He is a Planning Staf, Directorate
of Spatial Planning and Land Afairs, Indonesia National Development
Planning Agency (Bappenas). He is a Best Graduate Student in Regional
and Planning Department, Bandung Institute of Technology (2006)
and Utrecht Excellence Scholarships Awardee 2007-2009 on Research
Master Human Geography & Planning, Faculy of Geoscience, Utrecht
University.
Ali Maksum, is a Ph.D candidate at the Centre for Policy Research
and International Studies (CenPRIS), Universiti Sains Malaysia, Penang.
His current project is about the Indonesia-Malaysia relations from
defensive realism perspective. He has written articles have been published
in such publisher as Kajian Malaysia: Journal of Malaysian Studies,
Springer (ISI), Indonesia national newspapers and conferences.
Azlinda Azman, Ph.D is an Associate Professor and Head of Social
Work Programme at the School of Social Sciences, Universiti Sains
Malaysia (USM), Penang, Malaysia. She is also the Convenor of the
AIDS Action and Research Group (AARG), USM. She was a Fulbright
Scholar and obtained her Doctor of Philosophy (Ph.D) degree in Clinical
Social Work from New York University. Her ields of expertise include
social work education and practice, theory and methods in social work
and social work research. Her areas of research interest include poverty,
Sociology and Welfare Development
v
HIV/AIDS and drug related issues.
Bintarsih Sekarningrum, a leturer at Social Welfare Departement
in Social and Political Sciences Faculty, University of Padjadjaran. She
obtained Bachelor degree, master degree and Doctoral degree from
University of Padjadjaran. Some scientiic papers had been published
at national or international level. Currently, he is focusing on waste
management problem in society who life near the Cikapundung river at
Bandung City.
Desi Yunita, oicially join the Departemen of Sociology at Social
and Political Science Faculty University of Padjadjaran since 2014. She
got Magister degree in Sociology also from University of Padjadjaran and
focusing the research on development and environmental problem.
Forina Lestari, obtained B.Sc.Eng. (ITB, 2006), MSc in Housing,
School of Housing, Building and Planning, University of Science Malaysia
(USM, 2008). Lecturer at Indonesian Institute of Technology (ITI). She
has published a book: Alam Takambang Jadi Guru: Merajut Kearifan
Lokal dalam Penanggulangan Bencana di Sumatera. Consultant and
expertise at Directorate of Rural and Urban Afairs, Indonesia National
Development Planning Agency (Bappenas) and Directorate General of
Spatial Planning, Ministry of Public Works (2013), Directorate General
of Regional Development Assistance, Ministry of Home Afairs and
Expert, Deputy of the Area Development, Ministry of Public Housing
(2012), Expert Staf, Commission V (Infrastructure), he Indonesian
House of Representatives (DPR, 2011). Junior Expert, Directorate of
Rural and Urban Afairs, Indonesia National Development Planning
Agency (Bappenas, 2010).
Hery Wibowo, S.Psi, MM, PhD is a leturer at Departement of Social
Welfare Faculty of Social and Political Science, Padjadjaran University.
Indri Indarwati, is PhD candidate in Social Work at Universiti Sains
Malaysia (USM). Since 1999 she has been attached as a civil servant in
the Ministry of Social Afairs. Her research areas are study of social work,
gender and community development.
vi
Sociology and Welfare Development
Mitshel Lino is a Master of Social Sciences (Psychology) candidate
under the supervision of Assoc. Prof. Dr. Intan Hashimah Mohd
Hashim from the Department of Social Work, Universiti Sains Malaysia.
Her research interest surrounds the ield of Social Psychology. She was
a Graduate Assistant, serving as a Psychology tutor in the university.
She was invited to the Golden Key International Honour Society for
academic excellence and awarded Second Upper Class Honours from her
undergraduate. Her past researches included the area of Multicultural
Psychology and Child Marriage in Malaysia, collaboration project with
UNICEF.
Mohd. Haizzan Yahaya MSW is Ph.D scholars from University
Sains Malaysia. He is currently researching on Urban Poor Housing
and being supervised by. Muhamad Fadhil Nurdin, PhD and associate
professor Azlinda Azman, PhD
Mohd Tauik Mohammad is a Ph.D scholar at the Social Work
Programme, School of Social Sciences, Universiti Sains Malaysia. His
current Ph.D studies regarding on Specialization Social Work, Forensic
Social Work/Victims’ Studies/Restorative Justice, being supervised by
associate professor Azlinda Azman, PhD.
Muhamad Fadhil Nurdin, MA and Ph.D. from University of
Malaya. He is a leturer at Departement of Social Welfare (1982-2011)
and Departement of Sociology (2011-present), Head Departement
of Sociology in Faculty of Social and Political Science, Padjadjaran
University (2014- present). Visiting Associate Professor at University
of Malaya (2008) and Visiting Associate Professor at Univerisiti Sains
Malaysia (2012- present).
Tia Devianty, S.IP., MPA, is a PhD candidates at Universitas
Padjadjaran, and a master’s degree graduate from Public Policy, Faculty
of Public Policy and Management, Flinders University, Australia. Now,
a lecturer at Ahmad Yani University, Bandung - from september 1996
– present Teaching, Researching, and Public Servicing. Current Researches
are mainly about Capacity Building For Decentralization (2008-now).
Sociology and Welfare Development
vii
Current Public Services are Facilitator, Comprehensive Maternal Village
Program in West Java, West Java Province Health Department (2006 –
2008), Facilitator for Sustainable Capacity Building for Decentralization
(SCBD) Project in Bau-bau City and Buton Regency (2008 – 2012),
District Advisory Team Capacity Building Program Minimum Service
Standard Basic Education at Sorong West Papua (2014-2016), tdevianty@
rocketmail.com.
Tofan Rakhmat Zaky, S.Ip MA is a researcher at the Department of
International and Strategic Studies, Universiti Malaysia, Kuala Lumpur.
He is activist in Art Movement in Malaysia.
viii
Sociology and Welfare Development
ACKNOWLEDGEMENT
Alhamdulillah. hanks to Allah SWT, whom with His willing
giving me the opportunity to complete this book entitled Sociology and
Welfare Development. he publication of this book would not have
been possible without the guidance and knowledge wich I have acquired
from my honourable professors; Professor A.D Saefullah - University of
Padjadjaran and Professor Abd. Hadi Zakaria - University of Malaya. I
would also like to dedicate this book to my beloved wife, Tuty Tohri and
our lovely children Tofan Rakhmat Zaky, Forina Lestari, Fitaha Aini and
Tamal Arief Ihsan - their support in my life.
he publication of this book would not be possible without the
assistance and cooperation that we have received over the years from
the many individuals and organization in various parts of the world.
In particular, we wish to thank our team, all authors - Department of
Sociology Padjadjaran University and Universiti Sains Malaysia. Specially
thanks especially to Ali Maksum for his excellent assistance during the
editorial process of this book. Dr. Arry Bainus the Dean of Faculty of
Social and Political Sciences, Padjadjaran University. All of my MastersPhD students and colleagues at Padjadjaran University as well as USM
whom I would like to thanked for providing continuous support towards
my success.
Wassalam.
Muhamad Fadhil Nurdin
Sociology and Welfare Development
ix
x
Sociology and Welfare Development
FOREWORD
Dr. Afriadi Sjahbana Hasibuan, MPA, M.Com (Ec)
Head of Research & Development
Ministry of Home Afairs, Republic of Indonesia
First of all, I am honored to write this foreword and to give my
warm endorsement to this book edited by my colleague Muhamad Fadhil
Nurdin, Ph.D. In my point of view, Indonesian harmony is urgent and
should be achieved soon. he government and all stakeholders are pushed
to react and formulate a strong policy to reach the national goals.
his book provides a comprehensive assessment regarding sociology
and welfare development discourses with a new paradigm and approaches
to build Indonesian future. his compilation chapter divided into ifteen
chapters, conclusion and also given constructive policy recommendations.
Although, all authors in this book are depart from various background
and issues, yet they produce and extent some challenges should become
serious attention especially the government. I can argue that this book is
very multidisciplinary and discussed from various angle.
Personally, as practitioner and based on my professional experiences,
I am strongly recommend this book to be read speciically by civil servant,
professional, academicians and those who engage in the social welfare
tasks. One of the important recomendation given by this book is a good
public policy totally need tough cooperation among individuals, groups,
and institutions. I am also impressed that this book which emphasized on
Sociology and Welfare Development
xi
welfare development discourses is smartly promoting the ideas of “spiritual
development” which in some extent isolated from main discussion. his
is important and also to alerting as well as to underscore that Indonesia
is a religious country.
Finally, I am pleased to congratulate to Muhamad Fadhil Nurdin,
PhD which successfully publish this book and demonstrated that he
is a productive scholar. As academician, lecturer and researcher he has
more than thirty years professional experiences in the ield of social and
political sciences in Indonesia as well as recognized in the broad. I hope,
the collaboration between the agency of research and development in
the Ministry of Home Afairs of the Republic Indonesia with the Centre
for Socioglobal Studies - Padjadjaran University become more efective,
fruitful and sustain in the future.
hank you and Wassalam.
Jakarta, 2014
xii
Sociology and Welfare Development
INTRODUCTION
In the Name of God, the Most Gracioeus, the Most Merciful
his book provides a thematic issues and challenges in the new era,
sociology to develop human welfare. he main objective of the Sociology
and Welfare Development is to present an integrated analysis of how
the discipline of sociology can contribute to our wider understanding
of the variety of welfare development issues, practices and institutions
approachs, policies and philosophy wich exist in our society and countries.
his explanatory chapters expected to examine and understand as well as
ofer choices for human beings in the dinamics world to build a human
welfare.
his book depart from the point of view that sociology is as applied
social science can contribute to the development of human life through
many perspectives. he various theme have been selected are discussed
from philosophy to policy models. Each chapter attempt to understand
with a core idea namely welfare development.
In the irst chapter, the main theme related to welfare development
is regarding the global presence in knowledge body. In this chapter
demonstrate that there have gap and diferences between modern and
spiritual concept of welfare development. Chapter two focus on poverty
phenomena in Indonesia as a serious problem. Some have observed
that poor family are marginalized and obtain small attention, while
many also has seen that the problems are the policy makers. It has to
recognized that some assistants and stimulus packages has given by
government to the poor family. However, it has to recognized also that
there were existed some problems regarding inefective management,
Sociology and Welfare Development
xiii
policy implementation, bureaucracy and corruption. Yet, all indicates
that Indonesian government has taken a serious strategic action in order
to struggle to eradicate poverty as well as eradication policy against
chronic of corruption. Related with poverty phenomena, in the chapter
nine, concern on historical and inherited problems such as the disabled
people, the pursuit of full employment in urban areas and overstaing
in the public sector, were important causes for urban poverty. However,
these historical problems did not result in serious poverty under the well
planned economic system. he number of poor people inherited from
the previous period was also relatively small.
In the third chapter focus on human geography and planning as part
of human life. Sociologically, this study concludes that the relationships
between two adjacent metropolitan centres are two geographical
phenomena occurred in the Jakarta-Bandung Mega-Urban Region
(JBMUR). However, a rapid urbanization process has also been occurring
in the corridor area between both metropolitan centers. here are both
direct and indirect relations between these two geographical phenomena
which inally lead to the emergence of the Jakarta-Bandung mega-urban
region. In the fourth chapter, that in addition, the struggle of urban poor
communities in Malaysia for housing and land rights is closely related
to the development and history of the country. After the British colonial
period, Malaysia’s priority was to develop its economy by focusing on
the manufacturing and export industry in urban areas. his resulted
when people from rural areas migrating from village to the city, in search
of opportunities and to ill the workforce demand. Most of the urban
migrants would build their own house near the manufacturing factories,
because the surrounding lands were unoccupied and unused. With hard
work and their own resources they would clean the area (wilderness) and
build houses; this would encourage the development in the area and
hence they are known as urban pioneers.
In the ifth chapter the author analyzes the social-welfare fund
called Baitul Mal wat Tamwil (BMT). he authors believe that BMT in
particular and microinance institutions in general is one of the social
welfare movement, getting stronger if you see the development of BMT
in Indonesia, as have been reported by Reuters. he growth of Islamic
microinance institutions (LKMS) in Indonesia is increasingly signiicant.
he main objective of the micro and super micro which is generally being
located in rural areas, LKMS transformed into a small people mover a
tough economy. Currently, there are about three million customers who
xiv
Sociology and Welfare Development
obtained inancial assistant from micro LKMS or BMT.
Chapter six examines the environmental destruction of young
generation to protect and conserve the natural environment. As such,
the key actors in engaging youth participation in environmental action,
be it the government, non-governmental organizations (NGO’s) or
the community, should address the multi-dimensional issues that are
obstacles towards the involvement of the young and come up with
strategies to develop a more intrinsically-motivated participation.
Generally, environmental awareness among youth worldwide is at an
adequate level but it is the translation into action that is still lacking. A
review of the implementation strategies of current environmental action
programs involving youth should be done by the respective organizers
in order to create programs that are fun, hands-on and allows as well
as entrusts youth to apply their environmental knowledge and personal
skills to make key decisions for the future of then environment which
they shall inherit from the present. Hence, there is a need to move
beyond the present, traditional top-down institutionalized approach of
implementing programs towards a more dynamic and lexible approach
in which youth are viewed stakeholders, knowledge sharers and leaders,
and not mere passive participants who carry out the aims dictated by the
organizers.
concentrates on socio-cultural diferences between
hometown and destination areas of Indonesian migrant workers and the
impact towards their health condition. It involves the diferences physical
environment, social, and culture. he diferences of physical environment
involve climate change as well as socio-culture between hometown (Peteuy
Condong Village) and destination (Saudi Arabia). hese diferences
inluence towards the workers health condition related job. Social
diferences are related with social economic status between employers
and workers, that impact to the mental depression of the workers.
Culture diferences are cultures diferentiation between hometown and
destination country. Arabian cultures are introvert and over protected. It
emerge diiculties to access health services. While in the chapter eight,
discuss speciic theme about how to develop any rural community it can
be achieve through the dissemination on the importance of education to
all family members in the rural area. his method is expected to transform
the communities towards appreciating education better. he recognition
of society towards education only, is not enough to enhance the living
standards. Yet, it should be incorporated a the positive attitudes of the
Chapter seven
Sociology and Welfare Development
xv
rural community towards education as a strategy for improving life. At
the same time, the delivery system of the education programs must be
enhanced and it is all depend on the commitment of the school and
teachers of the rural schools as well.
Finally, the last chapter focus on the incidences of child marriage are
no longer pertinent only for less developed country; it actually happens
extensively in diferent parts of the world. Due to psychological and
biological immaturity, children are insuiciently mature to make an
informed decision about a life partner.
his book examines the welfare development issues in the broader
“sociology of welfare development” perspective. It is compiled from
travelers and knowledge experiences in international seminars, talks and
forum of researchers, supervisions and other discussion with my PhD and
Master students. hat experiences, together with their personal values and
interests extremely inluence to all authors in this book. Personally, I hope
that those who engage and read this book will obtain fruitful knowledge.
All errors are the author’s responsibility.
Wassalam.
Muhamad Fadhil Nurdin
xvi
Sociology and Welfare Development
Chapter
5
Baitul Mal wat Tamwil:
A Sociological and Social Welfare
Movement?
Hery Wibowo and Muhamad Fadhil Nurdin
Readers guide
Uniication of development based on
modernization - that disseminated by the western
world, it has not been successful to the welfare
of developing countries. Uniication of the
development pattern of coercion ‘modern lifestyle’
was evidently not applicable to another countries
that has the problems are diferent. Actually, it
is “backire” and make the higher gap between
developed and developing countries. However,
every person and nation must survive. Forced by
situations that occur, each developing countries,
with diferent strategies trying to capitalize on its
strengths to the welfare of its people. herefore,
due to the complexity and diversity of the social
problems that must be addressed, and people
have to survive. Naturally, the local born leader/
entrepreneur indeginoeus trying to meet the
Baitul Mal wat Tamwil
79
needs of himself and the surrounding communities. hey are individuals who
are embarrassed to see injustice and hopes on government assistance. Growing
awareness that every society has the potential, the open low of information
between individuals and increasingly interlinked in diferent parts of the
world, are the things that trigger the growth of movements of social problemsolvers / fulilling the needs of the community that became known as the
Social Entrepreneur of this. his movement grew out of conditions that do
not get better and the situation is not also prosper. From year to year, the
movement is increasingly in diferent parts on the world, and not least in
Indonesia which has the ifth largest population in the world and has the
world’s largest Moslem. One representing the spirit of this movement is the
movement of Baitul Mal wat Tamwil (BMT), which institutes Shari’ahbased microinance community. Since 1995 in Jakarta, the BMT movement,
now has its appearance in almost all provinces in Indonesia. As a communities
movement, and then within twenty-ive years to expand throughout
Indonesia, of course this is something interesting. his chapter, will explore the
development, impact and challenges of BMT movement in Indonesia. hey
also shelled carrying capacity as well as a threat to the existence of BMT in
Indonesia.
Introduction
Indonesian development journey as a nation, is still far from
expectation. Some various economic indicators, shows that Indonesia
still has a lot of homeworks that need to be resolved in order to reach the
objective as it being mentioned in the Indonesian Constitution of 1945.
Based on the Human Development Index Indonesia placed the 124th out
of 187 countries, life expectancy: 69.4 years, per capita income: US$ 3716,
population: 242.3 millions (Hery Wibowo, 2011).
It is clear that our nation has work to complete a variety of needs
and problems. As a country that has a vast territory and natural resources
are virtually unlimited, then it is itting for us to not be in the order of
124 from 187 countries. Modernization schemes ofered and somewhat
‘forced’ by the western countries at the beginning of independence, has
been shown to have not managed to prosper the people of various levels.
he modernization which is propagated by the western countries
has left various unsettled social problems. Instead, the what-so-called
improvement in this modernization era has brought some unpredictable
80
Sociology and Welfare Development
problems. he irst sector which is expected to be the pioneer, has not yet
reliable (Hery Wibowo, 2012)
hat is, must have realized that the eforts of the uniform patterns of
development (Uniication of development), from developed to developing
countries - have much left. Development scheme which is based on the
potential of each country is an efort to ‘modern colonialism’ that need
to be aware of its negative impact. In fact, furthermore, the pattern of
modernization has also proven to be highly vulnerable to inancial crisis
a few years back are sweeping the world:
he completion of the acute economic problems can no longer
rely upon the giant corporations (giant corporation) or other business
organizations such as the formal inancial institutions. herefore, these
institutions are experiencing conditions ‘uyuh’ as a domino efect, either
directly or indirectly, from the global inancial and economic crisis
(Muhammad, 2009)
Based on the above ideas, it is clear that each country-especially in
developing countries - must be very serious in designing development
strategies. In addition, be careful here too, including when assessing and
considers western development theories that do not necessarily correspond
to the conditions and situation in Indonesia, especially considering
the inancial crisis that has always haunted. It is recognized that some
countries are beginning to realize this and then form a movement of
‘shared awareness’ as is done with the MDG’s agenda. Nevertheless, you
still need a special glasses to be able to review the entire movement with
a more clear and sharp.
When the movement to eradicate poverty and unemployment to
the international agenda through a number of programs that published
forum MDG’s, it was the inability of capitalism save itself create poverty
and unemployment getting out of control, the doctrine of invisible hands
that are considered efective to improve the economic mechanism is not
capable of being an interpreter savior, even deregulation echoed the
capitalist countries did not really happen (Muhammad, 2009)
For the state of Indonesia, of course, need to realize together that is
not easy for the government to pay attention to every interest and meet
all the needs of the community. hat is, already be aware of the need for
involvement and synergy, not only from the second sector (second sector
/ private / business) but also from the third sector (third sector / social
Baitul Mal wat Tamwil
81
economy / community sector).
his paper will discuss one of the organizations representing the
third sector and has encouraged social change in Indonesia: BMT.
BMT as Islamic Microinance Institutions
Associated with development issues in advance, in which many
developing countries started to move up from the ground up, the
discourse of microinance institutions began to receive attention as one
of the instruments that can drive improvements in public welfare
Microinance institutions according to Antara (2000) is a inancial
institution and inance, established and jointly owned by members of
the community to solve problems / constraints of capital and funding
requirements faced by its members. Asian Development Bank (Asryad,
2008:24) deines microinance as the provision of inancial services in a
wide variety such as savings, loans, payment services, money transfer and
insurance to poor households and low income and their micro enterprises.
ADB deinition includes low-income households and households that
are below the poverty line because there are quite a lot of low-income
households that are not under the poverty line but have limited access to
inancial services, especially in rural areas.
In fact, several studies have shown that the development of Islamic
inancial institutions based economy is pretty awesome. his development,
not only in the context of quantity but also on the type of institution, as
revealed in the study Nurkholis (2009:1):
he development of Islamic inance (banking) in Indonesia, through
recent has been spectacular. here are four types of Islamic or Shariah banks in
Indonesia. hey are Islamic commercial bank (BUS), Islamic banking units
(UUS), Islamic rural banks (BPRS), and Islamic microinance institutions
(BMT).
Growing up to four types of Islamic inancial institutions in Indonesia
to some extent be an indicator of public acceptance of this concept in
Indonesia. In addition, the development of four types of practice shows
that each has its own market and one that managed to be excellent is located
in the micro realm. Diferent from that Islamic inancial institutions,
especially microinance institutions, can be excellent for helping the
poor in meeting the needs of capital. Microinance institutions as well
82
Sociology and Welfare Development
as a proit-oriented inancial institution, is also oriented to addressing
poverty, mental change and the poor consumptive lifestyle to -oriented
productive eforts lifestyle (Muhammad, 2009:28).
Applying concepts of shari’ah has the objective, among others
(Muhammad, 2009: 28) (1) MFI Shari’ah itself as an institution in
addition to mediating a business that aims to help the economic players
also serves as a micro-business institutions that perform the injection of
religious values and human values in order to avoid practices that are
considered contrary to Islamic law such as usury, maysir and gharar
(deception) (2) Second, MFIs Shari’ah into the economic institution that
seeks to bridge the gap of economic access to formal inancial institutions
(banks) (3) Opening a greater chance of trying to micro-entrepreneurs
the majority of the poor Based on the above narrative, it is clear that
BMT is an Islamic microinance institution whose presence is required
by the various walks of life in Indonesia.
BMT as a representation of the hird Sector he third sector is an
area outside the government sector or private sector. his sector is called
the third sector to accommodate the various movements/organizations
or activities that are beyond the characteristics of the irst and second
sector
hird sector, has various kind of name, such as non proit sector,
third system, community sector, social economy etc. Briely said, the third
sector is a sector which have diferent characteristic from the irst and
the second one. Stone et al (2007 in Rory, 2010) suggest that although
the third sector has existed for some time, there is insuicient empirical
research or theory to fully understand it (Hery Wibowo, 2012)
Relecting on the complexity of development in Indonesia, the
authors believe that the presence, and even third-sector synergy is
required for the development (growth) and sustainability (sustainability)
of development in Indonesia. Why? Because this is a sector that can move
relatively independently without dependence (excessive) on the willingness
of the fund/substantial capital and in facilities and infrastructure. his is
the sector that is able to adapt to various situations and environmental
conditions and resource availability. his sector requires only the spirit
of those who never give up to solve social problems at least from the
immediate environment.
Baitul Mal wat Tamwil
83
Figure 1: Organizations of the public, private and third sector
(Rory, 2010)
Public Sector (second
system) Justice system
Defence Social security
Infrastructure planning
[social care]
[education]
[health]
[transport]
[power]
State
Civil
society
Third sector (third system)
Campaigning groups
Welfare and human rights
Religious organizations
Trade unions
[arts, museums, cultural]
[credit unions]
[community development]
[social care]
[education]
Market
Private sector (first system)
Business ventures (mining, manufacturing, business services, consumer retailing)
Organizations that depend on trading (rather than taxation, state or grant funding)
Based on the diagram demonstrate that each sector can contribute
to the development of the scope and capabilities of each. Sometimes
these contributions intersect, but often at some speciic aspects of these
contributions is given by a particular sector (unreplaceable).
David McClelland for example, a prominent sociologist, said that
the absence of a developed nation, is not determined by its natural
resources, rather than the number of people who have a high need of
achievement. hat is, it takes people who are able to move quickly, not
dependent on the government, have a high need for achievement and are
ready to beneit the people around him. Figures like these that are needed
by developing countries such as Indonesia, especially as the country’s vast
territory and enormous natural potential of an almost unlimited, but has
not been optimized. In contemporary language, a igure that discussed
above, is the igure that drives the third sector.
BMT is one of the organizations belonging to the category of the
third sector. BMT in this case is an organization that represents the
bottom-up movement of people, and not a representation of the state and
business. herefore, BMT deserve to be called as a social movement and
massive enough to be reckoned within the context of nation building.
84
Sociology and Welfare Development
BMT as a Representation of Social Entrepreneurship
As has been shelled in the discussion above, it has been realized
together (without downplay the role of government), it is diicult for a
nation’s government to be able to pay attention to the interests of citizens
of all nations and meets all the needs of its people. It means that - apart
from the completion of the government in its eforts for the welfare of
the people - carry out development programs for all Indonesian people
is not easy to be implemented in a short time. he phenomenon was
not only an upfront hit Indonesia. Some third world countries are also
experiencing more or less similar fate, which is a phenomenon in which
development is carried out have not been able to eradicate poverty on the
people.
In response to the situations / conditions where it is diicult for
a state government meet the needs of all people, then, naturally began
to appear engaged local leaders and the practice of entrepreneurship
within the umbrella of social entrepreneurship. hey have a brilliant idea
and the idea intended to solve the social problems around their social
environment. For some people, this is referred to as the movement that
best represents the third sector social entrepreneurship movement, or on
several occasions referred to the local leaders.
Local leaders are those who are able to see and discover the potential
of the area (both natural resources and human resources) to then be
developed in order to address local problems faced. his is justiied by
Alex Nichols (2006: xlix) which states that:
Our best hope for the future of humanity lies in the power and efectiveness
of socially motivated, highly empowered individuals who ight for changes in
the way we live, think and behave.
Furthermore, this movement began to bloom developed in various
regions of the world, including in Indonesia. SWA (swa.co.id, downloaded
on January 6, 2011) states that social entrepreneurship is further proven
able to cure many social ills such as poverty, underdevelopment and
public health. In addition to the movement and excitement that began
worldwide, the sector that it included even bigger, a case the following
explanation:
Leadbeater (1997 dalam Nichols, 2008:12) acknowledged the
presence of social entrepreneurship across all three sectors of society by
discerning three organizational milies of social entrepreneurs:
Baitul Mal wat Tamwil
85
•
Public sector adoption of business skills
•
Socially airmative business or business focusing on social ends
•
he voluntary and not-for proit sector adopting more entrepreneurial
approaches
Based on the above explanation, it appears that the social
entrepreneurship movement began to spread to various sectors, ranging
from public sector to adopt business skills, and corporate / business
institutions began to direct its objectives on social beneits, and voluntary
/ nonproit sector is beginning to use the approach-entrepreneurial
approach. But one thing that, whatever the sector, this movement has a
major passion for illing the recesses of the development programs that
have not fully succeeded in meeting the needs of society.
For social entrepreneurs the social mission is explicit and central.
his obviously afects how social entrepreneurs perceive and asses
opportunities. Mission related impact becomes the central criterion, not
wealth creation (dees 1998a:2 dalam Nichols, 2008:13)
So it is said that for the (movement) of social entrepreneurship, social
mission (or a target for beneicial social purposes) is explicit and become
the main focal point. his is what afects how social entrepreneurs
perceive and measure opportunities. Mission is closely related to the social
implications of a major criterion, not wealth creation for shareholders
and proit maximization. Accordingly, various models, shapes and types
of social entrepreneurship began to lourish in Indonesia, ranging from
agriculture, animal husbandry to Islamic microinance institutions.
he selection of models, patterns or forms of social entrepreneurship
would need to consider the demographics of the community to it the
culture. In this case, the vast majority of Indonesia is Islam, so the choice
for the development of Islamic economics has been very precise. Associated
with the development of Islamic economics, Minister of Cooperatives
and SMEs Sharif Hassan states (website: Center.or.id article www.IslamicMinister of SMEs supported the concept of Islamic inance downloaded
on March 22, 2010) “In a country where majority population is Muslim,
the choice of inancial concepts sharia is very precise, and we support
the implementation of it. Because the world is now too much interested
in and adopt the concept of sharia “. It means that government in this
regard has been recognized that this concept is a pattern that can be used
86
Sociology and Welfare Development
to support the economic system that has been used previously.
It can be said that non-governmental institutions, especially the move
in the area of microinance, has the potential role that no doubt to be able
to help small communities. Because their presence is directly or indirectly
to open a small public access to inancial institutions. Chairman of the
Economic Community of Sharia, Mulyaman Hadad (Kompas, Saturday,
January 24, 2009) suggest that micro-inance approach grounded in fact
more than a formal approach for small community banks. herefore, the
approach to microinance more accessible and felt comfortable by the small
community. Besides the potential inancing of microinance institutions
is enormous, because the inancing of the formal banking sector only 40
percent. he rest are met through informal sources of inancing. his
means that the existence and sustainability of microinance institutions
is very important.
Related to Islamic economic discourse, to this day, has had 4
Indonesia Islamic banking system, as revealed by Nurkholis (2009: 1)
the following: (a) Islamic Commercial Bank (BUS) (b) Islamic Banking
Units (UUS) (c) Rural Islamic Banks (SRB) (d) Islamic Micro Finance
Institution (BMT) Among the four types of these, the most capable
of serving the grass roots is BMT, as revealed in the study Nurkholis
(2009: 2) as follows: BMT is needed by the society of Indonesia Because
these rationals, namely (1) here are more then 43.22 Millions of micro
entrepreneurs in Indonesia (2) here area just a few banks having good
attention and having willingness to Provide micro-credit scheme for
entrepreneurs.
hat is, for countries such as Indonesia, BMT is still a very broad
market. However, establishing and developing their own BMT is a
struggle in an era of people who are more familiar than the conventional
bank Islamic sharia-based system. So people tend to be extra careful in
choosing a inancial institution, prior to that have not been too familiar.
Minister for State Enterprises Sofyan Djalil, call the managers of
Baitul Maal wat Tamwil (BMT), as ighters or Mujahideen. Pinned
deserve this title, because the managers of BMT have dedicated ourselves
to help small communities. BMT, in view Djalil, has proved itself to
serving the grassroots, to reach the community groups that have not
been touched by any of the inancial system. (Kompas, 24 April 2009
downloaded from Kompas.com) BMT as a social enterprise, has the
distinction with the usual business institutions. he institute, run by the
Baitul Mal wat Tamwil
87
two missions, namely carry-proit mission and social mission. his means
that the challenges to progress and development, much larger than pure
business institution.
BMT as a Social Enterprise
In general, BMT is a microinance institution that operates under
Islamic principles. Compatible with the name, then the BMT consists
of two functions (Irawan, without the years: 4.3-3) (a) Baitut Tamwil
(Bait-house, at Tamwil = property development) development activities
productive ventures and investments in improving the economic quality
of micro and small entrepreneurs, among others, encourage saving and
inancing to support economic activity (b) Baitul Maal (Bait = home, Maal
= treasure) to receive zakat funds deposited, infaq and Sadaqah and to
optimize its distribution in accordance with the rules and amanahnya.
BMT as part of the Social Change
Various changes have been studied can be expressed as the face of
social change. Hawley (1978:787 in Sztompka, 2004) states that social
change is any change that does not happen from the social system as
one entity. he below details are social change explanation by Sztompka
(2004):
• Social change is a transformation in the organization of society,
the patterns of thinking and the behavior at a given time
(Macionis, 1987:638)
• Social change is a modiication or transformation in the
organization of society (Persell, 1987:586)
• Social change refers to the variation in relationships between
individuals, groups, organizations, culture and society at a given
time (Ritzer, et.al, 1987:560)
• Social change is a change in behavior patterns, social relations,
institutions and social structure at any given time (Farley,
1990:626)
According to the narrative above, it can be said that social change
is a change in behavior patterns and social relationships as a form of
organizational transformation in society that occur at a certain time
88
Sociology and Welfare Development
frame. Relecting on this, it can be said that the growing phenomenon
of BMT in Indonesia is a representation of the social changes that
potentially prosperous nation. BMT, in this case is a community-based
social enterprise, it is seen from the condition that required for the
formation of BMT involving at least 20 members of the public to be the
founder of start-up capital. he twenty men then depositing them in the
form sispoksus capital, principal or special deposits. he involvement of
20 members of the community, implying that without the consent of the
community, it is unlikely that a BMT would stand in a certain region.
However, in its development, as it may deem necessary and can help the
community, some of the BMT began to be established with the help of
certain parties. Here is a complete data:
Table 1
he Growth of BMT’s asset in Indonesia
Total
BMT was established NGOs
BMT aset 500 M
BMT aset > 1 B
BMT aset < 500 M
-1B
605
717
1.636
Based, upfront table it appears that there are more than 600 BMT
which has assets of more than 1 billion. It is certainly remarkable
considering BMT usually initial capital below 25 million. Today has been
spread over 3000 BMT throughout Indonesia, with assets (consolidated)
of more than 1 trillion, with the number of managers of more than 30,000
people, nearly half of S-1 and women (Amin, 2008) .
he author considers this is something that is extraordinary,
considering that BMT is a microinance institution based society, the
establishment is really bottom up. he following is the result of research
Amin (2008) related changes in the mindset of the managers of BMT. It
was found that the success story of BMT is due to of:
1. Operationally capable of implementing sharia in proportion,
which is based on adequate ruhiyah strength of its management
board and
2. Commitment and high ghiroh of managers, which stemmed
from the realization that too is pretty good ruhiyah
3. Founded by the orientation of the intention to worship Allah
Baitul Mal wat Tamwil
89
SWT through improved economy and improved quality of
people
4. Widespread support from the aghnia and local community
leaders, including companies that are nearby
5. Management capabilities and technical skills of inancial
institutions managers and the managers are supported by
adequate training and are supported by a complete theory,
practice and MMQ (Method of Understanding and practicing
the Qur’an)
6. Able to maintain a high public trust through the emotional
connection that Islamic
7. Establishment performed as directed
8. he ability to collect funds with the ability of Islamic and
humane
9. Continually strive to be a connector body and guardian of
Islamic ukhuwah among administrators, managers, pukosma,
and others.
Based explanations in advance, it seems clear that the presence of BMT
has been a dynamic factor of social change, at least in terms of changing
mindsets. hat is, this is an institution that level of success, to be followed
by changes in patterns of thinking people, that without it, very hard to
achieve success. Furthermore, the authors argue, that sociologically, the
movement is marked by the birth of BMT waves throughout Indonesia,
it has become a social movement. Social movements are collective actions
that are loosely organized, without any institutionalized way to produce
a change in their societies (Sztompka, 2004). Here is his review related to
the dynamics of BMT in Indonesia.
hat is, this is evidence that BMT is needed by members of the
public presence, for without such needs, BMT may not be able to reach
3000 units in number and spread to almost all provinces in Indonesia.
hat is, social change has occurred, both in terms of changing mindsets,
community economic development, reduction of unemployment and
others.
90
Sociology and Welfare Development
Social
Movement
Aspect
Implication on BMT
1
Collectivity of
persons acting
together
At BMT, characterized from its founding
conditions which must involve a number of
residents / community leaders. hat is, as a
condition of the formation of course, already
happened collectivity of people who think and
act together
2
he shared
objective is the
action of certain
changes in society
deined by the
same participants
his is very clearly seen in BMT, where the
goal is to create changes in the economy and
also the people of the community behavior
patterns
3
Collectivity
is relatively
scattered, but
lesser than
the formal
organization
4
Actions have
a relatively
high degree of
spontaneity,
but not
institutionalized
and tend to be
unconventional
No
research-based Amin (2009) it appears that
successful BMT is characterized among others
by the amount of support from community
leaders and even from local companies. hat
is, there are still growing collectivity together,
although not formalized as in the formal
organization
One of the requirements for working capital
loans in BMT is that the borrower must have
a savings account irst. his is the beginning
may be surprising, because as a society tend
to be consumptive, and less familiar with the
culture of saving. However, over time, there
have been spontaneous among community
residents to put the savings (the pattern of
productive life) rather than borrow money
BMT as the movement of Social Welfare
Social welfare eforts, the eforts that need to be done without
knowing the limits and time. In this decade, the urgency of social welfare
movements become much more important in light of the various analyzes
Baitul Mal wat Tamwil
91
that have been revealed in the beginning of this paper, which stated that
the modernization and penyeragama-based capitalism and free markets,
proved unsuccessful welfare of society, especially in developing countries.
he following is the opinion of Muhammad (2009) Strengthening the
free market economic system and the ‘privatization’ of social welfare
to make community development has an important signiicance in the
efort to emphasize the importance of informal self-help and involvement
in supporting the strategy of addressing poverty and oppression, and in
facilitating community participation and empowerment.
Social Welfare Concept
Analyzing the BMT
he concept of ‘good’ in
inter-human relationship is
measured by standard social
values (social values) and
norms (norms) that underlies
the order of social life and
behavior of citizens of the
community itself
he results of BMT studies (