Islamic Social Entrepreneur Organization of Zakat Management in Empowerment of Socio-Economic Mustahiq in Indonesia (original) (raw)

The Role of Zakat In Empowerment Social Entrepreneurship

Zakat, infaq, shodaqoh (ZIS,) and waqfin are several instruments Islamic financial system. Indonesia as the largest Muslim country, still has many obstacles in pooling fund of zakat, infaq, shodaqoh (ZIS,) and waqfin. Potential ZIS Muslims in Indonesia, which can be utilized for the welfare of the people according to the ADB and Baznas reached 217 trillion. Tremendous value when used for distribution with the distribution pattern of consumer funds. It is time for productive distribution of zakat funds should be the orientation of zakat institutions to be more beneficial to the welfare and productivity of the public at large. The research objective is to analyze the role of zakat institutions through social entrepreneurship and formulate the steps that must be done in the effort towards the development of social entrepreneurship as a solution in building the economy. The method used in this research is qualitative. The collection of data and information is done by collecting data that has been documented previously (secondary data) that are relevant to the purpose of research.

Analysis of Mustahik Empowerment Program in Indonesia: The Case of Non-State Zakat Organization

International Journal of Islamic Economics and Finance (IJIEF)

The mustahik (the poor and the needy) empowerment program is one of the priority activities carried out by the zakat institution. This study aims to determine whether organizational support and entrepreneurial characteristics possessed by mustahik affect the success of the mustahik empowerment program. This study also aims to determine whether the mustahik empowerment program can alleviate poverty. This research was conducted utilizing Partial Least Square-Structural Equation Modelling (PLS-SEM) method. The population in this study was the mustahiks who received empowerment programs from non-governmental zakat organizations in Pekanbaru City, with a total sample of 60 mustahiks. The results of this study found that there was a positive and significant relationship between organizational support and the mustahik empowerment program. This study also uncovered a significant positive relationship between entrepreneurial characteristics and the mustahik empowerment program. It was also u...

Productive Zakat for Community Empowerment: an Indonesian Context

2021

Indonesia is the largest Moslem country in the world. Paying zakat apart from being a means for Muslims to worship, zakat can also become a pillar of the people's economy when the zakat funds are properly managed and handed over to an amil zakat agency, amil zakat institution or an official baitul mal from the government, where if we look at the potential for raising funds Zakat to be managed productively has very good prospects for the economic progress of the people who are included in the category of entitled to receive assistance from this zakat fund. Therefore, the author here examines through this research using a qualitative descriptive method with data collection techniques in the form of documents, such as books or laws and regulations. This research is expected to provide a little knowledge benefit to readers in order to optimize the management of zakat funds into productive zakat which is one of our efforts to improve the level of the community's economy, the auth...

Sustainable Zakat Empowerment Model for Productive Business at Zakat Institutions in West Java Province

KnE Social Sciences

The management of Productive Zakat as an alternative solution to the problem of poverty in Indonesia has been an ongoing effort. The Government of Indonesia has shown its commitment to this initiative through normative policies, such as PMA Number 31 of 2019, which outlines the terms and procedures for calculating Zakat Mal and Zakat Fitrah and utilizing Zakat for productive business, based on Law number 23 of 2011 concerning Zakat Management. However, existing regulations have not addressed the technical aspects of how the distribution of Productive Zakat should be carried out to effectively achieve its main goal of empowering those classified as Mustahik in a sustainable manner. This study aims to describe and analyze the model of productive zakat utilization in empowering a sustainable community economy in West Java Province. The research adopts a qualitative method with an analytical descriptive approach. The study concludes that the productive zakat utilization model should be ...

Entrepreneurship Model in Zakat Institution of Muhammadiyah

Proceedings of the 4th International Conference on Sustainable Innovation 2020–Social, Humanity, and Education (ICoSIHESS 2020), 2021

This study aimed to explore in-depth the role of zakat institutions in poverty alleviation by distributing zakat funds in various programs, particularly through economic empowerment. This research is focused on Entrepreneurship Economic Development in Lazismu, Yogyakarta Province. Furthermore, this paper examined how to develop a zakat distribution model through entrepreneurship models and increase the welfare of zakat recipients. This research uses qualitative analysis to explore the role of the Zakat Institution in entrepreneurship development. Meanwhile, to determine the development of the material and spiritual well-being of zakat recipients was by using the CIBEST model developed by Beik & Arsyianti, 2015. The result of this research is that the entrepreneurship development carried out by Lazismu DIY is channeled by providing business capital to zakat recipients with various types of businesses. Furthermore, the provision of business capital that is carried out has a positive impact on improving the business and skills of zakat recipients. In addition to this, after measuring using the CIBEST model, it is concluded that zakat recipients with the entrepreneurial model developed by Lazismu DIY have increased materially and spiritually.

The Role of the Indonesian National Amil Zakat Agency in Social Finance Management As an Effort to Alleviate Poverty

Maliki Islamic Economics Journal

Poverty is one of the problems in everycountry, including Indonesia. Indonesia has enormous potential in utilizingIslamic economic instruments, namely zakat becauseit is a majority Islamic country and the country with the largest Muslim population in theworld. The large potential of zakat can be utilized by the Indonesian government in alleviating poverty in Indonesia, therefore this study was conducted to find out the role of BAZNAS Indonesia in managing social finance in an effort to alleviate poverty. The research method applie disusing a qualitative approach accompanied by a study of literature with reference materials are nationally accredited journals, books and articles relevant to research, and using various trusted websites. The National Amil Zakat Agency (BAZNAS) is an institution created by the government in collecting and distributing zakat. BAZNAS also has a special program for the welfare of the community, namely the existence of economic development programs, improvin...

Innovations in the Management of Zakat in Indonesia in Increasing Entrepreneurial Interest and Poverty Reduction

2021

The purpose of this study is to propose the management of BAZNAS which could become one of the role models of digital zakat because it is quite successful in managing zakat and the use of digital technology to create the interests of the people. Literature studies are used to reveal the use of digital technology in BAZNAS and how to develop digital entrepreneurship in the future. Findings f rom the results of the study revealed that the BAZNAS digital zakat program can reduce poverty due to empowering mustahik through digital entrepreneurship and digital technology innovation in the form of rice atm. Other digital technology implementations are digitizing zakat payments, application-based digital information technology services for muzzaki, and blockchain (i-zakat) in managing digital zakat. For the development of digital entrepreneurship, the role of government, universities, and BAZNAS must be able to work well together. The BAZNAS Model digital zakat program can be a useful refer...

The Implementation of Productive Zakat Utilization in Economic Empowerment of Zakat Recipients: A Case Study of the National Amil Zakat Agency, Ciamis Regency

Syari'ah Economics

This study aimed to determine the program and implementation of zakat utilization at the National Amil Zakat Agency, Ciamis Regency. The research method used is the descriptive qualitative method, namely identifying the state of objects or events to draw conclusions that apply in general. Data collection techniques were carried out by observation, interviews, documentation, and triangulation. Meanwhile, data analysis includes data reduction, data presentation, and conclusion. The study results show that zakat funds are utilized consumptively, such as giving rice to the poor to fulfill their daily and productive lives. In contrast, zakat funds are channeled into developing businesses. The productive zakat utilization program of Baznas Ciamis Regency is BMUK (Small Business Capital Assistance) in the form of money and livestock (goats). The implementation of BMUK funds is channeled to people who are classified as poor and already have businesses so that the funds continue to roll. As ...

Toward ‘Sustainable Development’ Through Zakat-Infaq-Sadaqah Distributions – As Inclusive Activities – For the Development of Social Welfare and Micro and Small Enterprises

2018

Indonesia’s national development, based on Pancasila as the official, foundational philosophical theory of the state, is similar to the concept of development based on an Islamic perspective, which includes economic, moral, social, material and spiritual aspects. One of the instruments used in Indonesia is the distribution of zakat (obligatory alms), infaq (donations) and sadaqah (alms) (ZIS), which eight groups of people are entitled to receive (asnaf). ZIS is a worship, which must be fulfilled by all Muslims. This article discusses ZIS distribution in Indonesia, as a national inclusive activity, and analyses its contribution to social welfare and micro and small enterprise development. The results prove zakat distribution affects both variables significantly, but the distribution of infaq and sadaqah is not significant. It also shows there is a strong correlation between all indicators for the two variables, together with human development, as well as trends for some variables tha...

Zakat for Economic Empowerment (Analyzing the Models, Strategy and Implications of Zakat Productive Program in Baitul Mal Aceh and Baznas Indonesia)

IQTISHADIA, 2018

Sustainable wellbeing is one of the goals of zakat distribution whereby the poor (<em>mustahiq</em>) are not only able to survive by having the basic needs fulfilled, but also are able to work and fulfill his needs and his family independently. The <em>mustahiq </em>independency is important to solve the problem of inequalities in society, marginalization, unemployemnt and poverty. This can only be achieved if zakat is able to used as a means for economic empowerment of the poor that would increase their capacity and enable them to become enterpreneur and hence able to fulfil their needs by themselves. This article attempts to observe various zakat productive programs initiated by zakat institutions in Indonesia and also analyze their implications in empowering the poors and increase their level of wellbeing. The case study in this paper is Baitul Mal Aceh and Baznas Indonesia.