The Impact of Zakat on the Economy and Poverty in Indonesia
DOI:
https://doi.org/10.23917/jisel.v9i01.10461Keywords:
Zakat, Economic Growth, PovertyAbstract
This study aims to examine the impact of zakat and various socio-economic factors on regional economic growth and poverty levels in Indonesia. Using panel data from 34 provinces in Indonesia for the period 2019-2021. This study examines the complex relationships between zakat distribution and key macroeconomic indicators within an Islamic economic framework, using a common effects model for the economic growth equation and a fixed effects model for the poverty equation. The results indicate that zakat has a positive significant effect on economic growth and has a negative significant effect on poverty. This research provides valuable insights into the potential role of zakat in addressing economic inequality and promoting sustainable development in Indonesia.
Downloads
References
Mansour A. Abdulwasaa, and Sunil V. Kawale. 2023. “Determinants of Poverty: A Mini-Review”. Current Journal of Applied Science and Technology 42 (21):27–36. https://doi.org/10.9734/cjast/2023/v42i214161.
Adinugraha, H. H., Shulthoni, M., & Achmad, D. (2023). Islamic social finance in Indonesia: Opportunities, challenges, and its role in empowering society. Review of Islamic Social Finance and Entrepreneurship. Center for Islamic Economics and Development Studies [P3EI], vol. 2(1), pages 45-62.
Ahmed, H. 2015. Zakah, Macroeconomic Policies, and Poverty Alleviation: Lessons from Simulations on Bangladesh. Journal of Islamic Economics, Banking and Finance.
Alghina, N., et al. 2019. The Impact of Zakat, Infaq, Shodaqoh (ZIS), Unemployment and Poverty on the Economic Growth in Indonesia (2011-2017). Atlantis Press - pp 210-214.
Ashfahany, AE., et al. 2023. How Zakat Affects Economic Growth In Three Islamic Countries. Journal of Islamic Economic Laws VI(1) 45-6 (ISSN P: 2655-9609; E: 2655-9617).
Asmalia, S., et al. 2018. Exploring the Potential of Zakah for Supporting Realization of Sustainable Development Goals (SDGs) in Indonesia. BAZNAS Center of Strategic Studies - Vol. 3, Iss: 4, pp 51-69.
Batool, Iram. 2024. Human Capital and Industrialization are Key Determinants of Economic Growth: Evidence from Selected Developing Countries. Journal of education and social studies - Vol. 5, Iss: 3, pp 286-291.
Bayu, LN., et al. 2024. The Impact of Poverty, Human Development, and Zakat Contributions on Economic Growth in Indonesia and Malaysia. KnE Social Sciences. DOI: 10.18502/kss.v9i20.16515.
Defrilia, A., Revanata, L., Bela, A.T.S., Firdaus, M.R., & Hidayati, A.N. (2025). Peran strategis zakat dalam mengurangi ketimpangan ekonomi dan kemiskinan. I’THISOM: Jurnal Ekonomi Syariah, 4(2), 574–589.
Enhancing Mustahik Welfare Through Islamic Social Finance: An Institutional Perspective. (2024). I-Finance: A Research Journal on Islamic Finance, 10(2), 423-435. https://doi.org/10.19109/zf36f577.
Hasanah, U. 2014. Zakah Management in Saudi Arabia, Sudan and Indonesia. Trisakti University - Vol. 13, Iss: 1, pp 40-61.
Hasbi Abdul Al-Wahhab KH, & Muhammad Hasbi Zaenal. (2023). Correlation of Alms Infaq Zakat (ZIS) and Economic Growth on Poverty in West Java. Proceeding of International Conference on Islamic Economics, Islamic Banking, Zakah and Waqf, 1(1), 1055–1074. https://doi.org/10.24090/ieibzawa.v1i1.777.
Jubaidah, H. N., Hermawan, M. Z., Rabbany, R. K., Triyana, T., & Dzikrayah, F. (2025). Peran Zakat dalam Mendorong Pertumbuhan Ekonomi dan Kesejahteraan Sosial. Islamic Economics and Business Review, 4(1), 13–29. https://doi.org/10.59580/iesbir.v4i1.9991.
Judijanto, L., et al. 2024. Analysis of Zakat as an Alternative Fiscal Instrument in Supporting Economic Development in Indonesia. DOI: 10.58812/wsiss.v2i04.1346.
Kareem, MK., et al. 2016. Zakah, Poverty Alleviation, and Inclusive Growth in Nigeria. Al Manhal FZ, LLC - Vol. 5, Iss: 2, pp 053-065.
Kasri, RA. 2018. Management of Zakah Distribution: Empirical Evidence From Indonesia. Asosiasi Fakultas Ekonomi & Bisnis Indonesia - Vol. 2, Iss: 02, pp 1-15.
Ghazi, kovan T. . and Dhahir, A. S. (2024) “Measuring and analyzing the determinants of poverty in developing countries during the period 1990-2020 using PANEL models”, Koya University Journal of Humanities and Social Sciences, 7(1), pp. 94–107. doi: 10.14500/kujhss.v7n1y2024.pp94-107.
Kusuma, Hadri. 2019. Determinants of Zakah Disclosure Level: Evidence for Indonesia. International Journal of Islamic Economics and Finance Studies - Vol. 5, Iss: 3, pp 16-27.
Leow, KW. Tan, EC. 2019. Determinants of Poverty: A Dynamic Panel Data Analysis with Controls for Income Level and Inequality. Malaysian Journal of Economic Studies, Faculty of Business and Economics, University of Malaya & Malaysian Economic Association, vol. 56(2), pages 227-242, December.
Lestari, P.I.; Robiani, B.; & Sukanto, S. (2023). Kemiskinan ekstrem, ketimpangan dan pertumbuhan ekonomi di Indonesia. EKOMBIS Review: Jurnal Ilmiah Ekonomi dan Bisnis, 11(2), 1739–1752.
Mustafa, D., Baita, A. J., & Adhama, H. D. (2020). Quantitative Economic Evaluation of Zakah-Poverty Nexus in Kano State, Nigeria. International Journal of Islamic Economics and Finance (IJIEF), 3(1), 21–50. https://doi.org/10.18196/ijief.2120
Pebruary, S., et al. 2024. Examining the impact of zakah and Islamic finance on national economic growth. Jurnal Ekonomi & Keuangan Islam, 2024, 10(1), 115-130.
Pramesti, E., et al. 2013. The Effect of Zakat Fund Distribution and Economic Growth on Poverty in East Java Province. EKSYAR : Jurnal Ekonomi Syari'ah & Bisnis Islam. Vol. 10 No. 1 (2023): . DOI: https://doi.org/10.54956/eksyar.v10i1.416.
Putriani, D., Ghani, GM., Kartiwi, M. (2020). Exploration of Agent-Based Simulation:The Multiplier Effect of Zakah on Economic Growth. Journal of Islamic Monetary Economics and Finance, Vol. 6, No.3. https://doi.org/10.21098/jimf.v6i3.1110.
Rahayu, EN., et al. 2024. Islamic social finance and macroeconomic dynamics: unveiling connections through time series analysis. Vol. 3, Iss: 2, pp 258-269.
Rahmi, C.; Hudhriah, S.; Adibha, F.; Luthfi, M.K.; & Al-Um, Q.H.Q. (2024). Peran zakat dalam upaya pemerataan kesejahteraan di Indonesia. Jurnal Ekonomi dan Bisnis Digital, 1(4), 735–740.
Rizal, Sofyan., Adibah, Nur. (2022). An Evaluation of the Impact of Zakah and Islamic Financial Instruments on Economic Growth. Muqtasid 13(1), 31 46. DOI: 10.18326/ .v12i2.
Rusdi, M. (2024). Enhancing mustahik welfare through zakat: Institutional context and potential in Indonesia. I-Finance Journal. https://doi.org/10.19109/zf36f577.
Sangadji, Maryam. Analysis of Determinants of Economic Growth. Jurnal Ilmiah Manajemen (Pascasarjana Universitas Pasundan) - Vol. 11, Iss: 1, pp 330-338.
Santos, FFD. Pires, MM. Drumond, CEI. 2024. Understanding the Determinants of Poverty in Brazil: A Household Level Analysis. The Journal of Developing Areas. 58(2):1-19. DOI: 10.1353/jda.2024.a924527.
Simina, AA., Emilia, BL. 2023. The Determinants of Poverty Revisited– Empirical Evidence from Romania’s Development Regions. International Journal of Academic Research in Business and Social Sciences. Pages 1242-1255. http://dx.doi.org/10.6007/IJARBSS/v13-i9/17909.
Suprayitno, E. (2019). Zakat and SDGs: The Impact of Zakat on Economic Growth, Consumption and Investment in Malaysia. 101(Iconies 2018), 202–209. https://doi.org/10.2991/iconies-18.2019.39
Trinh, LT. 2024. Determinants of economic growth in Asian countries. Journal of International Studies, 17(4), 44-55. doi:10.14254/2071-8330.2024/17-4/3.
Vintila, AL. 2024. Analysis of the Determinants of Economic Growth: An Empirical Study on the EU-28 Countries. Journal of Eastern Europe research in (IBIMA Publishing) - pp 1-9. https://doi.org/10.5171/2024.551086.
Wahyudi, D. (2025). Peran program zakat dalam mengurangi kemiskinan (Badan Amil Zakat Nasional – BAZNAS). Jurnal Keuangan dan Manajemen Terapan, 6(2).
Wirayudha, AB., Prasetyia, F. 2024. Analisis determinan kemiskinan di 34 provinsi di indonesia. Journal of Development Economic and Social Studies. 3(3):763-779. DOI: 10.21776/jdess.2024.03.3.08.
Downloads
Submitted
Accepted
Published
How to Cite
Issue
Section
License
Copyright (c) 2026 Journal of Islamic Economic Laws
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
