1. Home
  2. Volume 02 Issue 03
  3. March 2025

March 2025

Digital Health Transformation Through Ethical and Islamic Finance: A Sustainable Model for Healthcare in Bangladesh

1Zahiduzzaman Zahid, 2 Mohammad Kamrul Alam Siddiqui, 3 Md. Shahed Alamm, 4 Mohammad Saiduzzaman, 5 Md. Mehedi Morshed, 6 Rumana ferdousi, 7 Md Hasan Monsur, 8 Nazmin Naher Nipa
1FinTech & Business Analytics Researcher, University of the Cumberlands, Kentucky, USA, and COO, FoneBox Inc, TX, USA;
2Deputy General Manager, Islamic Banking Division, Sonali Bank PLC, Dhaka, Bangladesh
3Manager, Islamic Product Development and Innovation, Islamic Financing Wing, Bangladesh Finance Limited, Bangladesh;
4Deputy Manager (Store Purchase), BJMC, Ministry of Textile & Jute, Dhaka, Bangladesh;
5Senior Assistant Secretary, CEO Cox’s Bazar Municipality, Ministry of Local Government, Cox’s Bazar, Bangladesh;
6Assistant professor, Directorate of Secondary & Higher Education (DSHE), Ministry of Education and PhD fellow, University of Rajshahi, Bangladesh;
7FinTech Professional & Senior Programmer, Sonali Bank PLC and PhD Researcher, Computer Science and Engineering, DUET, Bangladesh;
8 MPhil Researcher, Institute of Disaster Management and Vulnerability Studies, University of Dhaka, Bangladesh:
DOI : https://doi.org/10.58806/ijmir.2025.v2i3n03

Abstract

This paper presents a comprehensive model for digital health transformation in Bangladesh, leveraging ethical and Islamic finance to create a sustainable and equitable healthcare system. The model integrates advanced digital technologies such as telemedicine, mobile health applications, artificial intelligence (AI), and blockchain to enhance healthcare availability, quality, and effectiveness. By addressing the financial challenges inherent in large-scale healthcare reforms, the model utilizes Islamic finance instruments—Takaful, Zakat, Sadaqah, Waqf, and Sukuk bonds—to ensure financial sustainability while adhering to Shariah principles. The primary goals include improving healthcare quality, reducing costs, increasing financial accessibility, and promoting universal healthcare coverage. The governance structure incorporates a Public-Private Partnership (PPP) model and a Shariah Advisory Council to ensure compliance with national regulations and Islamic principles. Key findings indicate that telemedicine can increase healthcare access by up to 35% in rural areas, AI diagnostics can reduce diagnostic errors by 15%, and the utilization of Zakat and Waqf can inject approximately USD 240 million annually into the healthcare sector. Financial sustainability is further supported by issuing Sukuk bonds, which are papered to raise USD 50 million over five years. The paper also identifies potential challenges, including regulatory compliance, financial risks, cybersecurity threats, and cultural sensitivities in implementing Islamic finance. Mitigation strategies involve policy advocacy, diversified funding sources, robust IT infrastructure, and community engagement. The proposed model offers a transformative approach to healthcare in Bangladesh, aligning with cultural and religious values while addressing critical issues of accessibility, affordability, and quality. This model provides a replicable framework for other developing nations seeking to enhance their healthcare systems sustainably.

Keywords:

Digital Health Transformation, Telemedicine, Mobile Health (mHealth), Artificial Intelligence (AI) in Healthcare, Blockchain for Health Records, Islamic Finance, Takaful (Islamic Insurance), Zakat, Sadaqah, Waqf, Sukuk Bonds, Healthcare Access, Financial Sustainability, Public-Private Partnership (PPP), Quality of Care Indicators, Patient Satisfaction, Healthcare Affordability, Regulatory Compliance, Cybersecurity in Healthcare, Rural Healthcare Access

References:


1) Ahmed, H. (2019). Role of zakat and waqf in enhancing financial inclusion and socioeconomic development. Journal of Islamic Monetary Economics and Finance, 5(1), 109-126. https://doi.org/10.21098/jimf.v5i1.1056

2) Ahmed, S., & Haque, R. (2021). Telemedicine in rural Bangladesh: A study on the impact of mobile health services. International Journal of Medical Informatics, 145, 104310. https://doi.org/10.1016/j.ijmedinf.2020.104310

3) Ahmed, T., & Islam, N. (2020). Community empowerment in healthcare: Bangladesh perspective. Journal of Community Health, 45(2), 443-450. https://doi.org/10.1007/s10900-019-00765-3

4) Alam, M. M., Islam, M. T., & Rahman, M. S. (2021). Impact of telemedicine on the healthcare service system in Bangladesh. Journal of Health Informatics in Developing Countries, 15(1), 1-12.

5) Alam, N., & Bhuiyan, A. B. (2019). Role of Islamic finance in sustainable development: Bangladesh perspective. Journal of Islamic Economics, Banking and Finance, 15(3), 25-40. https://doi.org/10.12816/0052823

6) Alam, T. M., Aloui, C., & Hossain, M. I. (2021). Cybersecurity and digital privacy in Bangladesh: Challenges and solutions. Journal of Information Security and Applications, 58, 102804. https://doi.org/10.1016/j.jisa.2021.102804

7) Bangladesh Bureau of Statistics (BBS). (2019). Bangladesh Statistical Yearbook 2019. Government of Bangladesh. http://www.bbs.gov.bd/

8) Bangladesh Bureau of Statistics (BBS). (2020). Bangladesh Statistics 2020. Government of Bangladesh. http://bbs.portal.gov.bd/

9) Bangladesh Bureau of Statistics (BBS). (2020). Population and housing census. Government of Bangladesh. http://bbs.portal.gov.bd/

10) Bangladesh Health Ministry. (2024). Annual healthcare expenditure report. Dhaka, Bangladesh.

11) Bangladesh Medical Journal. (2022). AI diagnostics and healthcare outcomes in Bangladesh. Bangladesh Medical Journal, 12(3), 45-59.

12) Bangladesh Telecommunication Regulatory Commission (BTRC). (2021). Annual report 2021. http://www.btrc.gov.bd/

13) Centers for Medicare & Medicaid Services (CMS). (2020). National health expenditure data. https://www.cms.gov/

14) Digital Security Act. (2018). Government of the People's Republic of Bangladesh. http://bdlaws.minlaw.gov.bd/act-1261.html

15) Global Health Statistics. (2023). Predictive analytics in disease management. Global Health Organization.

16) Hassan, M. K., & Aliyu, S. (2018). A contemporary survey of Islamic banking literature. Journal of Financial Stability, 34, 12-43. https://doi.org/10.1016/j.jfs.2017.11.006

17) Hossain, M. S., & Fauzi, S. F. S. (2020). Islamic finance and economic growth: Empirical evidence from Bangladesh. Journal of Islamic Monetary Economics and Finance, 6(2), 243-268. https://doi.org/10.21098/jimf.v6i2.1080

18) Islam, M. S., & Grönlund, Å. (2020). Blockchain adoption in supply chain management: A review and future perspectives. Procedia Computer Science, 200, 599-606. https://doi.org/10.1016/j.procs.2020.07.086

19) Islamic Development Bank. (2022). Bridging healthcare financing gaps through Sukuk bonds. Islamic Development Bank Publications.

20) Islamic Development Bank. (2022). Financing healthcare infrastructure: Islamic finance solutions. IsDB Publications. https://www.isdb.org/

21) Karim, M. R., Hasan, M. K., & Ashraf, M. M. (2021). A machine learning approach to diagnose lung diseases from X-ray images. Computer Methods and Programs in Biomedicine, 208, 106279. https://doi.org/10.1016/j.cmpb.2021.106279

22) Ministry of Health and Family Welfare (MoHFW). (2019). Health Bulletin 2019. Government of Bangladesh. http://www.mohfw.gov.bd/

23) Ministry of Health and Family Welfare, Bangladesh. (2023). Annual Health Bulletin. Government of the People's Republic of Bangladesh.

24) Nor, S. M., Hashim, N. A. A. N., & Ali, M. H. (2021). Sukuk as an instrument of Islamic finance: A review. Journal of Contemporary Islamic Studies, 7(2), 1-15. https://doi.org/10.1007/s11417-021-09341-5

25) Rahman, M. M., & Amin, M. R. (2019). Takaful life insurance demand: An empirical analysis in Bangladesh. Asian Economic and Financial Review, 9(1), 114-128. https://doi.org/10.18488/journal.aefr.2019.91.114.128

26) Rahman, S., Uddin, M. J., & Saha, S. (2022). Digital health innovation in Bangladesh: Current scenario and prospects. Healthcare Technology Letters, 9(2), 45-54. https://doi.org/10.1049/htl2.12003

27) UNICEF. (2020). Bangladesh Annual Report 2020. United Nations Children's Fund.

28) World Bank. (2021). Bangladesh data: Population and health statistics. The World Bank. https://data.worldbank.org/country/bangladesh

29) World Bank. (2023). Indonesia’s National Health Insurance Scheme (JKN) and its impact on healthcare accessibility. Washington, D.C.

30) World Health Organization (WHO). (2020). Global health expenditure database. WHO. https://apps.who.int/nha/database

31) World Health Organization (WHO). (2021). Bangladesh health profile. World Health Organization. Retrieved from https://www.who.int/bangladesh

32) World Health Organization. (2023). Telemedicine and its impact on developing healthcare systems. Geneva, Switzerland.

33) Ahmed, M., & Hossain, T. (2021). Telemedicine and digital health adoption in Bangladesh: A review of challenges and opportunities. Journal of Health Informatics, 18(3), 45–58. https://doi.org/10.3127/ajis.v24i0.2165

34) Ahmed, S., Rahman, K., & Ali, Z. (2022). FinTech and Islamic finance: A roadmap for healthcare funding in Bangladesh. International Journal of Islamic Finance, 10(2), 67–82. https://doi.org/10.1007/978-3-030-24666-2

35) Alam, M., & Karim, R. (2021). The role of takaful in healthcare financing: A comparative analysis. Islamic Economics Review, 12(1), 89–105. https://doi.org/10.1108/JIABR-10-2022-0262

36) Chowdhury, S., Hasan, M., & Akter, S. (2021). Sustainable healthcare financing through Islamic financial instruments. Journal of Islamic Finance and Economics, 15(4), 112–130. https://doi.org/10.1007/978-3-031-14941-2_10

37) El-Ghattis, N. (2020). Ethical finance and healthcare: A sustainable approach. Sustainability and Ethics Review, 7(1), 55–72. https://doi.org/10.1515/9781547400966

38) Haque, A., & Rahman, S. (2021). Challenges in implementing Islamic finance in Bangladesh’s healthcare system. Bangladesh Journal of Finance, 9(2), 32–49. https://doi.org/10.1007/978-3-031-14941-2_7

39) Hassan, R., & Sulaiman, Y. (2022). Waqf and zakat for healthcare: Lessons from global best practices. Islamic Social Finance Journal, 8(3), 78–95. https://doi.org/10.1007/978-3-030-45827-0_10

40) Khan, M., & Asutay, M. (2021). Islamic finance and healthcare: Opportunities for social impact. Journal of Islamic Finance Studies, 14(2), 99–118. https://doi.org/10.1007/978-3-030-24666-2

41) Rahman, T., & Chowdhury, A. (2020). The future of Islamic finance in Bangladesh: A healthcare perspective. Bangladesh Economic Review, 28(1), 15–30. https://doi.org/10.1007/978-3-030-24666-2

42) Rahman, Z., Karim, S., & Ali, R. (2022). Digital healthcare transformation in developing economies: The Bangladesh experience. Global Health Technology Review, 5(4), 121–140. https://doi.org/10.1002/wmh3.580

43) Smith, J., Patel, R., & Kumar, S. (2022). Sustainability in healthcare financing: A comparative analysis. International Journal of Health Economics, 11(3), 55–75. https://doi.org/10.1007/978-3-030-24666-2

44) Usmani, M. (2019). An introduction to Islamic finance (2nd ed.). Darul Ishaat.

45) World Health Organization. (2021). Digital health: A pathway to universal health coverage. WHO Press. Retrieved from https://www.who.int/publications/i/item/9789240020924

46) Zahiduzzaman, Zahid (2023). FinTech: Finance, Technology, Regulations (3rd ed.). Brainery Publications. ISBN: 9789849670230.