The role of Zakat in alleviating persistent poverty and unemployment and redistributing wealth: An Islamic perspective
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Abstract
This study aimed to clarify the role of Zakat in alleviating persistent poverty, unemployment, and redistribution of wealth from an Islamic perspective. This was achieved by addressing the conceptual framework of Zakat, social justice, poverty, and unemployment, analyzing the economic and social functions of Zakat, and deducing how it can contribute to establishing a more just and cohesive society. The study adopted the inductive method to trace relevant religious texts and jurisprudential opinions, the analytical method to interpret the impact of Zakat on economic and social structures, and the deductive method to derive contemporary solutions emanating from the objectives of Sharia and jurisprudents’ fatwas. The study concluded that Zakat represents an effective sharia and economic tool in fighting persistent poverty by transferring resources to the neediest groups. It also contributes to addressing unemployment through supporting economic empowerment, financing small projects, and assisting artisans, in addition to its role in redistributing wealth and reducing social inequality. The study further showed that the effectiveness of Zakat is maximized when managed within a sound institutional framework, linked to development programs and productive financing, and integrated with other Islamic financial instruments such as waqf (endowment) and microfinance. The study concluded that Zakat is not merely a financial act of worship, but rather a comprehensive system for achieving social justice and sustainable development in the Islamic society.
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