Optimizing Disbursement of Zakat Funds for Asnaf Entrepreneurs

Abstract

Zakat is a pillar of Islam that must be fulfilled by Muslims who have met the requirements of nisab. Zakat collected, then channeled to mustahiq. One of the effective zakat distribution programs for poverty alleviation is the asnaf entrepreneur's program. This study aims to describe the sharia provisions and regulations about Asnaf Entrepreneurs in the context of Indonesia. This study also identifies the zakat management entity that runs the asnaf entrepreneurs program in Indonesia. This study is a study of literature obtained from various references. The analysis was performed with a descriptive approach and content analysis. The results of the study found that the sharia provisions of Asnaf Entrepreneurs are permissible. It has been exemplified by Rasulullah SAW. While the regulatory provisions on asnaf entrepreneurs are in Law No. 23 of 2011, and Regulation of the Minister of Religion No. 52 of 2014. This study also found some examples of zakat management entities that have optimized zakat funds for Asnaf Entrepreneurs including Zakat Pulau Penang (ZPP), Badan Amil Zakat Nasional (known as Baznas), BAZNAS Riau Province, Perbadanan Baitulmal Negeri Sembilan, Lembaga Zakat State of Kedah Darul Aman, Baitul Maal Hidayatullah (BMH), and DT Peduli. This study recommends the need for institutions that specifically supervise the Asnaf Entrepreneurs program globally. It is to optimize the contribution of zakat in poverty alleviation mustahiq. However, the asnaf Entrepreneurs program has contributed to poverty alleviation in Indonesia and Muslim countries

The Relationship Between Digital Technology and Business Innovation Model Among Asnafpreneurs in Malaysia

“…Zalikha (2016) highlighted that the distribution of productive zakat is permissible to enhance the economic well-being of the mustahiq. Previous studies emphasized that asnaf entrepreneurs can fulfill both material and spiritual needs through the process of economic transformation (Rosalina & Bahri, 2022).…”

“…As a result, the Asnaf Entrepreneurs program aims to provide basic needs and enable worship of Allah SWT and the program's goal is to meet the material and spiritual needs of the mustahiq (Rosalina & Bahri, 2022).…”

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“…There's a notable shift within zakat organizations from the traditional focus on immediate financial aid towards fostering entrepreneurship. This paradigmatic shift, elucidated by Noormariana et al (2019) and Amin Mujitaba et al (2022), aims at long-term community development by empowering individuals with limited means.…”

“…Initiatives like the Asnaf Zakat Entrepreneurship program exemplify this approach, serving as a testament to entrepreneurship's role as a form of capacity-building for the empowerment of asnaf (Ikmal Hafiz et al, 2022). Additionally, it underscores the importance of holistic approaches in community empowerment, advocating for a focus on capacity building to cultivate a wellempowered community (Tuan Muhammad Zukri et al, 2023).…”

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