Modification of the Model for Measuring Zakat Funds on Poverty Levels in South Sumatra

Abstract

Poverty level in South Sumatra is very high, so special care must be taken to reduce the problem, inversely proportional to the high enough zakat potential. The regulation on zakat using the payroll system from the salary of every government employee has been implemented. This regulation has a positive impact on collecting zakat funds in South Sumatra, however, the position of zakat in helping the government to reduce poverty in this province needs to be explored further in scientific work. Hence, a case study of 120 zakat recipients managed by the national board of zakat (BAZNAS) was conducted by analyzing the impact of the distribution of zakat, infaq, and sadaqah in reducing poverty based on the CIBEST model. It was noted that the distribution of zakats, infaq, and sadaqah carried out by BAZNAS can significantly reduce poverty, the provision of zakat funds in the form of venture capital that was on target was able to increase the welfare index by 57.84% and the spiritual index to 4276 which was previously only 3970.Additonally, the mustahik income and the poverty index both materially decreased by 24.77% while the absolute poverty index decreased by 100% or no more categorized as material and spiritual poor. Keywords: zakat, poverty, CIBEST model