A Proposed Integrated Qardhul Hasan and Human Resource Development (IQHRD) Model for Micro-enterprises in Kandahar, Afghanistan
DOI:
https://doi.org/10.65486/0ksm7a74Keywords:
Qardhul Hasan, Micro-enterprises, SEM, KandaharAbstract
Purpose: This study proposes and empirically validates an Integrated Qardhul Hasan and Human Resource Development (IQHRD) model as an alternative Islamic microfinance framework to address persistent financial and human capital development challenges faced by micro-enterprises in Kandahar. It aims to examine the behavioural determinants influencing micro-entrepreneurs’ intention to adopt the proposed Shariah-compliant financing and capacity-building model.
Method: A quantitative research design was employed to test the proposed conceptual framework. Data were collected from micro-entrepreneurs in Kandahar and analysed using Structural Equation Modelling (SEM) to examine the relationships among attitude, subjective norms, perceived behavioural control, awareness, uncertainty, compatibility, and intention to use the IQHRD model.
Results: The findings indicate that subjective norms and perceived behavioural control significantly influence micro-entrepreneurs’ intention to adopt the IQHRD model, whereas attitude does not exert a direct significant effect on intention. However, awareness, uncertainty, and compatibility significantly shape attitudes toward the proposed model. These results highlight the importance of social influence, perceived feasibility, and contextual alignment in promoting adoption of Islamic microfinance innovations.
Practical Implications: The study provides empirical support for the feasibility and acceptability of the IQHRD model as a Shariah-compliant and development-oriented solution for micro-enterprise financing and human capital enhancement in Kandahar. Policymakers, Islamic microfinance institutions, and development agencies may utilise these insights to design integrated financial and training programmes that strengthen entrepreneurial capacity and sustainable economic participation.
Originality/Novelty: This research contributes to the Islamic microfinance literature by integrating Qardhul Hasan financing with structured human resource development within a single behavioural framework. By empirically validating the model using SEM in the under-researched context of Kandahar, the study offers a novel, context-specific approach to linking Islamic social finance with entrepreneurial capacity building.
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