UiTM Foundation for Economic Transformation

The Vice Chancellor of Universiti Teknologi MARA (UiTM), Tan Sri Dato' Seri Professor Ir Dr Sahol Hamid Abu Bakar and the Director of Accounting Research Institute (ARI), Professor Dr Normah Omar recently met up with the Yang Di Pertua Negeri Pulau Pinang, Tuan Yang Terutama (TYT) Tun Datuk Seri Dr Haji Abdul Rahman bin Haji Abbas on the viability for UiTM to set up a foundation to support the university's research project related to Islamic Microfinance.  The research project targets microcredit entrepreneurs in Penang who are currently being financed by  various financiers such as Amanah Ikhtiar Malaysia (AIM), TEKUN and financial institutions.  The aim is to link them (microcredit entrepreneurs) with suitable partners who can either supply raw materials at much discounted cost or they can market the entrepreneurs' products through a "buy-back" concept.  As part of its economic transformation programme, the Accounting Research Institute has successfully embarked on Islamic Microfinance programmes (Tailoring) in Selangor and Terengganu. 

Social Transformation Program for Kelantan

Following the setting up of two tailoring transformation programs in Terengganu, researchers from the Accounting Research Institute (ARI) have been  invited recently to meet Kelantan royalty, YM Tengku Puan Temenggong Datuk Tunku Noor Hayati Tengku Abdul Rahman to discuss the establishment of new social transformation programs in Kelantan.  ARI was represented by its director Prof Dr Normah Omar, two deputy directors Associate Professor Zuraidah Mohd Sanusi and Associate Professor Dr Jamaliah Said and a research fellow, Dr Norazida Mohamed.  YM Tengku Puan Temenggong brought with her, three associates: Puan Sharifah Rahayu, Puan Jamaayah Che Ros and Cik Liyana Malik.  As the prospective programs will be established and conducted in Kelantan, ARI will be outsourcing some experts from Universiti Teknologi MARA Kelantan campus.  As such, the Rector of UiTM Kelantan, Dato' Mohd Helmi and a research Datin Faizah have also been invited to participate in the discussions.  YM Tengku Puan Temenggong is keen to set up a Foundation - YANAS that will be used as a platform to source for funding.  Based on ARI's previous experiences, the specific group to focus for the transformation program will be single mothers who are currently registered with KEMAS.  To date, KEMAS is involved in facilitating the community in many activities such as tailoring, education, food, batik and souveniers.   Following this initial meeting, the process to register YANAS will commence,  Once the meeting with KEMAS is held, the preparation for a signing of MoU between ARI and YANAS will be arranged.  We at ARI look forward to another successful and impactful venture.

Tailoring Transformation Through Islamic Microfinance Program

The Tailoring Transformation Islamic Microfinance in Terengganu involve four strategic partners: (1) The tailoring entrepreneurs themselves who are the main players- currently, there are 20 of them working in two separate centres in Paka and Kuala Terengganu.  The groups target to produce 1500 pairs of baju kurung during this fasting month.   (2) Sultan Mizan Royal Foundation (YDSM) acts as a financier to the transformation program.  Alternatively, financing for the program can also be sourced from other agencies such as microfinance companies (Amanah Ikhtiar Malaysia - AIM and Tekun), State Islamic Council, Zakat Centre and Banks.  As a financier for this transformation program, YDSM provides sewing machines and other necessary supplies to the entrepreneurs.  Two buildings have been identified to be used by the women entrepreneurs for their tailoring operations. (3) Mydin Mohamed Berhad supplies fabrics and buys the finished goods from the entrepreneurs.  Essentially, the responsibility to sell the products to the consumers rest with Mydin Mohamed Holding Berhad. (4) ARI/UiTM as a research centre, coordinates the activities, provides fundamental training in financial management and financial reporting for the entrepreneurs and record pertinent information as research data.  At ARI, a specific research cluster, namely Islamic Microfinance Group has been set up to monitor progress and to measure impact of the program on the entrepreneurs' quality of life and socio-economic status.  In the long run, ARI hopes to replicate this initiative to other states in Malaysia.

ARI-YDSM Miscrofinance Transformation Program

Today marks an important event in the history of Accounting Research Institute (ARI) when it signed a Memorandum of  Understanding with the Sultan Mizan Royal Foundation (YDSM) in Kuala Terengganu.  The MoU signing ceremony signifies a strategic collaboration between ARI  a Higher Institution's Centre of Excellence (HICoE) from Universiti Teknologi MARA (UiTM) to embark on a "Socio-Economy Transformation Program" (SETP).  Basically SETP is a pilot Islamic Microfinance program in Terengganu involving twenty  women enterpreneurs who are pursuing a Baju Kurung (Malaysian national dress) tailoring business.  The two transformation centres that

will undertake the pilot project in Terengganu are namely Paka Transformation Centre and Kuala Terengganu Transformation Centre. The MoU between UiTM and YDSM was signed respectively by the UiTM Vice Chancellor Tan Sri Dato' Seri Prof Ir Sahol Hamid Abu Bakar and Dato' Haji  Mohd Fadzil Yusof.  Meanwhile, Professor Dr Normah Omar and Prof Dr Abdul Rahman Hj Embong were witness signatories of the MoU. The Sultan of Terengganu, Sultan Mizan Zainal Abidin Bin Al-Marhum Sultan Mahmud Al-Muktafi Billah Shah witnessed the signing ceremony.   In a later separate event, the Vice Chancellor of UiTM, Tan Sri Sahol Hamid handed over garment materials supplied by Mydin Mohamed Holding Berhad to the Kuala Terenganu Transformation Centre through YDSM representative.