Abstract

<p>This research aims to analyze the impact of productive zakat program in poverty alleviation of mustahik households, based on materially and spiritually aspects. Primary data was used as the source of data through distributing administered questionnaires in four rural areas in Bogor Regency. 121 respondents had been interviewed. They were the recipients of Masyarakat Mandiri program of Dompet Dhuafa Amil Institution. CIBEST model which have been developed by Beik dan Arsyianti (2014) was used as the tool of analysis. CIBEST model comprising four indices is used as tool of analysis. These indices are welfare index, material poverty index, spiritual poverty index and absolute poverty index. It is found that the presence of zakat utilization program is able to increase welfare index of the mustahik by 147.14 percent. The material poverty index, spiritual poverty index and absolute poverty index can also be reduced by 49.6 percent 1.6 and 12.3 percent, respectively. Meanwhile, welfare index increase by 63.7 percent. In conclusion, productive zakat program give positive impact to the mustahik household life.</p><p><br />Keywords: CIBEST model, Islamic poverty index, poverty, productive-based zakat program</p>

Highlights

  • BackgroundPoverty is still a multidimensional problem in this world, especially for developing country like Indonesia

  • According to the Millennium Development Goals (MDGs) which targeted poverty reduction up to 7.5 percent from the total population, even though the figure is decreasing, the global target still far away to be achieved

  • This paper aims to assess the productive zakat fund distribution program done by Dompet Dhuafa Amil Institution based on CIBEST model

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Summary

Introduction

Poverty is still a multidimensional problem in this world, especially for developing country like Indonesia. Regulations and strategies have been established in order to reduce the poverty rate. The target of United Nation as mentioned in 2000 Summit, failed to be achieved in 2015. Economy crisis was blamed as one of the cause, including 2008 crisis. The effect has reached the growth of economy which was decreasing, and a trade-off between the growth and the distribution of economy (Beik, 2013). Forum (Forum Riset Ekonomi dan Keuangan Syariah III) organized by Otoritas Jasa Keuangan (OJK), DPP Ikatan Ahli Ekonomi Islam (IAEI) and Faculty of Economics and Business, University of Indonesia, April 28-29, 2015

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