Zakat for poverty alleviation and and income inequality reduction : West Java, Indonesia

Deskripsi

This research aims to analyse the role of zakat distribution programmes in poverty alleviation and income inequality reduction among groups in urban and rural areas. It features a case study of 1,309 zakat beneficiaries managed by the National Zakat Board of Indonesia (BAZNAS) as the coordinating zakat institution in Indonesia, in differen cities and regencies in West Java Province, namely Bogor, Depok and Sukabumi. The analytical tools used in this study are a modified Centre of Islamic Business and Economic Studies (CIBEST) model, the deciles method and the Gini coefficient. The study suggests that, in general, the present zakat distribution programmes can alleviate poverty and reduce income inequality among the observed zakat beneficiarie.