BMT (Baitul Maal wat Tamwil) is sharia based cooperative. Baitul Maal in arabic term means “house of money”. At the first time, Baitul Maal is social institution which distribute donation to poor community. Now Baitul Maal is growing as micro financial institution. As cooperative, BMT is owned by all members.

In 90’s BMT in Indonesia was developed as moslem community movement to help marginal society. Sharia cooperative was chosen to represent islamic model of economy.

Through Pinbuk, incubator of micro and small business enterprise, BMT was established in many areas in Indonesia. Since 1998, around 3000 micro institutions has been established by Pinbuk. Many of BMT started with USD 200 capital and now is managing million dollar asset.

In 2000’s, many BMT’s operated like bank. They opened branches and offered banking products such as saving and loan. At this stage, Pinbuk helped BMT to create banking standard operating procedure. Pinbuk installed core banking system and conducted bank compliance training. More than 1.200 BMT now is using core banking system of Pinbuk.

Since 2016, internet and mobile phone has been changing the behavior of consumers. Now consumers wants to do anything only with “one touch finger”. This situation revolutionized banking system in Indonesia. With internet and mobile technology, BMT now can compete with bank. This is the third movement of BMT when BMT becomes digital financial institution. They can expand to remote areas, develop branchless point and increase fee based income.

Our community development program then is changing BMT mindset to be ready entering the disruptive technology era.