Ministry, Baznas promote mosques as shield against online loans

Jakarta (ANTARA) - The Ministry of Religious Affairs, together with the National Alms Agency (Baznas), has launched the Baznas Microfinance Mosque (BMM) – Masjid Berdaya Berdampak (MADADA) program.

The initiative is designed to position mosques as centers of community economic empowerment while serving as a safeguard against the spread of online gambling and illegal online lending.

Director of Islamic Affairs and Sharia Development Arsad Hidayat highlighted that online loans and gambling are increasingly undermining household economic resilience.

He noted that even some recipients of government aid have fallen into such practices. Through BMM-MADADA, mosques are expected to offer a solution by providing soft loans.

In the initial phase, 34 mosque administrators from the Special Region of Yogyakarta, Central Java, and East Java took part in technical training.

They are being prepared as facilitators to oversee the program’s implementation in their respective areas, ensuring that soft loans reach the right beneficiaries and help more residents.

The program expands the role of mosques beyond places of worship to become social and economic hubs.

Community funds managed by mosque administrators will be distributed to residents who run small businesses but face capital constraints.

The loans are interest-free, revolving, and can be reallocated to new recipients once repaid.

Arsad emphasized that this model provides a preventive solution so people will not resort to illegal financing.

He expressed confidence that mosques can become both an economic pillar of the community and a shield against the lure of online loans and gambling.