Islamic Human Development Index

(I-HDI) and Its Simulation to OIC

Countries
MB HENDRIE ANTO
UNIVERSITAS ISLAM INDONESIA
Introduction

 Islam has great attention on human

development, as maqashid al shariah is to
promote well-being of all mankind and relief
from hardships.
 Human development concept and indicator in
Islamic perspective must be firmly linked to
maqashid al shariah.
 Current existing indicators are not firmly linked
to maqashid al shariah.
This paper is aim to
(i) Propose a new concept of human
development indicator based on
Islamic perspective
 Islamic Human Development
Index (IHDI)
(ii) Simulate IHDI to OIC countries
Methodology

 Maqhasid al shariah as theoritical foundation

 Adopting HDI’s method for calculation:
 calculating sub index based on dimensions in
maqhasid al shariah
 calculating IHDI which is the weighted average of
sub indices
 IHDI-2
IHDI-1 Augmented
(Standar Basic Needs Based) Index

family - freedom-
science property envirement
Faith index life index social justice
index index index
index index
Ideal Model IHDI...Faith Dimension

Dimension Types of
Indicators Data
index indicators

daily mosque
visitors/1000
muslim pop.

fasting/1000
muslim pop.
ibadah
actual
zakah/expected
zakah

positive
Hajj/total muslim
pop.

actual charitable
akhlak
fund/gdp
Faith Index

criminal rate

negative bad deeds corruption rate

violance rate
Ideal Model IHDI...Faith Dimension

Index
Types Data
Dimension

life expectancy
at birth
positive
rate of
working time
Life Index
drug
prevalance
negative
smoking
prevalance
 Proxy Model IHDI

IHDI-2
IHDI-1 Augmented
index

science freedom envirome

Faith Index Life Index family social Index property Index Index nt Index
Index

life
corruption criminal smoking gross adult mortality economic political CO2
expectancy fertility rate divorce rate GDP/capita gini ratio poverty rate
rate rate prevelancy enrollment literacy rate rate growth freedom emision rate
at birth
Weighting..

IHDI-1 IHDI-2

2/6 6/7
FI IHDI-1

IHDI
IHDI 1
1/6
2
(LI,SI,FSI, 1//7 AI
PI)
 Due to data incompletness, we could only
calculate 24 selected countries.
 The samples reflect overall categories and
conditions of OIC members.
 Data sources: Human Devopment Report, World
Development Report, IDB Annual Report, Global
Peace Index Report, FAO Statistical Year Book,
and Global Corruption Report.
Findings

 In general, we witness a relatively significant difference

composition between IHDI and HDI rank for the high
score group, specifically the five top score, but not for
the whole.
 A number of countries enjoy a better rank in I-HDI (1 & 2)
compared with HDI, while several countries suffer a
marked deterioration of rank.
 The high score group in IHDI (1 & 2) is still dominated
mostly by Middle East Countries and the bottom line is
still dominated by African Countries.
Findings

 The addition of Augmented Index could change

the score of IHDI-2 compare with IHDI-1.
 The correlation of Faith Index and Life Index with
IHDI is superior rather than Property Index
indicate that non material aspect is important in
forming IHDI.
 The correlation between GDP/cap with the IHDI
is relatively high, but this is not valid for Property
Index which indicate the importance of
distribution of income to IHDI.
Conclusion & Recommendation

 Constructing a theoritical model of IHDI could be

easier than its empirical model, as maqashid
shariah could served as its theoritical foundation.
 One of crucial things is choosing dimensions in
index, as maqashid al shariah is an open list
concept. The five basic needs of Al Ghazali,
however, is a standard that could be the minimum
dimension of IHDI. The other crucial things are
forming indicators and providing data.
 A task for further research would be to improve
the indicators and quality of the existing data to
make them internationally comparable.
 We should explore of the precise meaning of
dimensions and indicators and then, in the long
run, try to produce and provide these data
ourselves.
 Terima Kasih
Thank You
Jazakumullahu Khairan Katsiran
M B Hendrie Anto, SE, M Sc
BA in Economics (Gadjah Mada University, Indonesia)
M Sc in Islamic Economics, Banking and Finance (Louborough Univ. UK)
Email : hendrie@fe.uii.ac.id
Phone : +62 274 881546
Fax : +62 274 882589
Mobile : +62 8170403098