Question

In the first and second quarter of Covid-19 outbreak, financial and non-financial institutions
have no choice but to remain hyper vigilant and rewrite the pandemic playbook as
circumstances with COVID-19 evolve. It’s shows that the overall economic impact remains
highly uncertain.
In the situation of post-Covid 19 pandemic outbreak that caused the global economy
plummeting and the inevitable economy slowdown, Assess and propose a comprehensive
systematic framework for Islamic non-financial institutions to exploit the results and offer
financial assistance to the community. (25 marks)

Answer 1

As the Covid-19 pandemic has highly impacted financial institution in the same way it has impacted non-financial institution too. To overcome this there are various framework which are established by governments and other superior institutions.

Taking all this into consideration I will have below framework for Islamic non-financial institution to overcome the impact of this pandemic wherein they can form a team and go through the below steps.

1. Overview

In this we will analysed all the losses which institution had in this pandemic it can be

• Financial loss
• Business loss
• Employment Loss
• Time loss
• stakeholder loss

So all monetary and non-monetary losses should be noted in this phase.

2. Planning

To overcome this loss there need to be proper planning in place which can comprise of below points

• Cost reduction
• Productivity increase
• Fund raising methods
• High liquidity assets
• Calculation of financial assitance needed

For this there should be team which would work on this and allays the above points.

For cost reduction institution can analyse the least important programs and traditions and have them removed from their list

For productivity increase as it is an Islamic institution they can start providing knowledge which can be virtual classes and help increase their productivity with bringing such more things which would be beneficial and help them grow as well

For fund raising they can contact mosque and take advantage of other government schemes which are for the Islamic institution to raise finance

They can identify the liquid assets which are not is use and use them for to raise their capital

3. Development

Once planning is done then comes development wherein the planned things need to be actioned accordingly

4. Reporting

The last point in the framework would be reporting once everything has been actione there impact and results need to displayed in front of the institution head