What is Baitul Mal Wa Tamwil?

Baitul Mal Wa Tamwil (BMT) is a microfinance institution in Indonesia that is a shariah compliant. It aims to develop micro and small business enterprise for the poor and economically marginalized sector in the society. BMT is a small financing institution which operates using mixed concepts of "Baitul Maal" and "Baitul Tamwil" with its target focused on the small business sector. By this concept, BMT also acts as Zakah institutions (Amil). BMT has been in operation since 1995 under the supervision of Incubation Center of Small Business (PINBUK). Since its establishment in 1995, around three million customers have obtained micro-financing from BMTs in Indonesia. At present, the role of BMT as an Islamic microfinance institution has become increasingly important, particularly regarding poverty alleviation in Indonesia.