Prolonged economic problems during the Covid-19 pandemic have opened the public’s eyes to the importance of Ar-Rahnu. It went viral on social media that after implementing the Movement Control Order (MCO), people were seen flocking to conventional pawnshops and Ar-Rahnu. This action is done to continue their everyday life activities. Among the available initiatives is pawning the jewellery. The Islamic mortgage system, known as Ar-Rahnu, has also become an economic stimulant that affects the social and economic stability of the community. Ar-Rahnu in Malaysia also has positive catalysts in developing financial and non-financial institutions to offer this service. Therefore, this study examines demographic factors and the post-impact of Covid-19 through a descriptive analysis of the use of Ar-Rahnu. The research data was collected through a questionnaire survey involving 150 respondents. The respondents involved are those who have used Ar-Rahnu services around northern Malaysia. The results of this study indicated that the number of respondents who used Ar-Rahnu services during the pandemic was higher than the ones who did not use Ar-Rahnu services during the pandemic. Limitations of the study and future research recommendations are also discussed at the end of this study.
Abdul-Razak, A. (2011). Economic and religious significance of the Islamic and conventional pawnbroking in Malaysia: behavioural and perception analysis (Doctoral dissertation, Durham University).
Ahmad, S. B., Mansor, N., & Nadiah, A. N. (2012). Customer acceptance on Islamic pawn broking: A Malaysian case. Interdisciplinary Journal of Contemporary Research in Business, 3(10), 748-763.
Amin, H., & Chong, R. (2011). Determinants for ar-Rahnu usage intentions: An empirical investigation. African Journal of Business Management, 5(20), 8181.
Amin, H., Chong, R., Dahlan, H., & Supinah, R. (2007). An Ar-Rahnu shop acceptance model (ARSAM). Labuan E-journal of Muamalat and Society, 1, 82-94.
Azman, N. H. N., Kassim, S., & Adeyemi, A. A. (2018). Analysing ar-rahnu in the context of informal credit market theory: Evidence from women micro-entrepreneurs in Malaysia. ISRA International Journal of Islamic Finance.
Azman, N. H. N., Zabri, M. Z. M., Masron, T. A., & Malim, N. A. K. (2020). The Adoption of Ar-Rahnu and Financial Wellbeing of Micro-entrepreneurs in Malaysia.
Bahari, N. F., Hanefah, M. M., & Shafii, Z. (2021). 14 Islamic social finance during economic uncertainty. COVID-19 and Islamic Social Finance, 214.
Bahari, N. F., Shafii, Z., & Ahmad, N. W. (2021). Overview of Regulatory and Legal Framework of Pawnbroking System in Malaysia. Journal of Muwafaqat, 4(1), 1-13
Bernama. (2020). Ramai ke pajak gadai selesaikan urusan tertangguh – MPBA. Astro Awani,http://www.astroawani.com/berita-malaysia/ramai-ke-pajak-gadai-selesaikan urusan-tertangguh-mpba-241680
Bhatt, P., and Sinnakkannu, J. (2008). Ar-Rahnu (Islamic pawning broking) opportunities and challenges in Malaysia. 6th International Islamic Finance Conference 2008, organised by the Monash University on 13th-14st October 2008, Kuala Lumpur, Malaysia.
Hamid, M. A., Rahman, I. A. A., and Halim, A. N. (2014). Factors affecting the acceptance on ar-rahnu (Islamic based pawn broking): a case study of Islamic banking in Malaysia. The Macrotheme Review, Vol. 3 No. 4, pp. 22-35.
Noor, N. S. M., Rahim, R. T. A., & Safiee, R. A. (2020) To Fish in Trouble Water: Ar-Rahnu during Covid-19 Pandemic. International Journal of Muamalat, 1(4).
Othman, A., & Abdullah, A. (2019). Al-Rahnu Development In Malaysia: A Case Of Al-Rahnu Institution Under The Terengganu Islamic Religious And Malay Customs Council. International Journal of Islamic Business, 4(1), 54-64.
Othman, A., Hashim, N., Abdullah, S., & Perniagaan, K. (2013). Perkembangan Ar-Rahnu Di Terengganu: Kajian Kes Terhadap Ar-Rahnu Majlis Agama Islam Dan Adat Melayu Terengganu (MAIDAM). Prosiding Perkem VIII, 951-59.
Sanusi, N. A. (2004). Pajak gadai konvensional dan Al-rahn: Terjaminkah hak Pengguna? Proceeding of Seminar Kebangsaan Fakulti Ekonomi Universiti Kebangsaan Malaysia. Selangor: Universiti Kebangsaan Malaysia.
Thaker, H. M. T., Khaliq, A., Thaker, M. A. B. M. T., Pitchay, A. B. A., & Sakaran, K. C. (2020). Drivers of Ar-Rahnu (pawn) acceptance: Malaysian evidence. Journal of Islamic Marketing.
Yahaya, S. (2021). Manfaat Ar-Rahnu kepada Pembangunan Usahawan Kecil [The Benefits of Ar-Rahnu to The Development of Small Entrepreneurship]. International Journal of Contemporary Education, Religious Studies and Humanities, 1(1), 1-11.
Yahaya, S., & Wahab, N. N. A. (2020). Effect of Religious Obedience Factor towards Acceptance Level of Ar-Rahnu By Muslim Small Entrepreneurs in Kelantan, Malaysia. Journal of Education and Social Sciences, Vol. 15, Issue 1, 22-29.
