How Zakat Affects Economic Growth In Three Islamic Countries

Zakat as a pillar of development in Islamic economics contributed to the economic development applied in all Caliphate in the Islamic history. By then, this study aims to analyze the effect of zakah on economic growth of three Muslim countries. This study uses a regression estimate of panel data des...

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Main Authors: Afief El Ashfahany, Awalul Dini Nur Hidayah, Lukmanul Hakim, Mohd Shahid Bin Mohd Noh
Format: Article
Language:English
Published: Muhammadiyah University Press 2023-01-01
Series:Journal of Islamic Economic Laws
Subjects:
Online Access:https://journals2.ums.ac.id/index.php/jisel/article/view/9400
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author Afief El Ashfahany
Awalul Dini Nur Hidayah
Lukmanul Hakim
Mohd Shahid Bin Mohd Noh
author_facet Afief El Ashfahany
Awalul Dini Nur Hidayah
Lukmanul Hakim
Mohd Shahid Bin Mohd Noh
author_sort Afief El Ashfahany
collection DOAJ
description Zakat as a pillar of development in Islamic economics contributed to the economic development applied in all Caliphate in the Islamic history. By then, this study aims to analyze the effect of zakah on economic growth of three Muslim countries. This study uses a regression estimate of panel data designed to determine the impact of zakat on economic growth with a sample of three Islamic countries in 2003-2020. The results of this study indicate that zakat distribution and population growth have a positive and significant effect on economic growth in three Islamic countries, namely Indonesia, Malaysia and Singapore in 2003-2020. Thus, it can create evidence that zakat can affect economic growth, especially in Islamic countries. This research also supports that zakat should be included in fiscal instrument in today’s world, not only tax. Based on the results of the research above, the student recommend that zakat be included in fiscal policy as is the case with taxes.
format Article
id doaj-art-d83b0224d5bf4f5daa7dffe3ba321ecc
institution Kabale University
issn 2655-9609
2655-9617
language English
publishDate 2023-01-01
publisher Muhammadiyah University Press
record_format Article
series Journal of Islamic Economic Laws
spelling doaj-art-d83b0224d5bf4f5daa7dffe3ba321ecc2025-08-20T03:50:11ZengMuhammadiyah University PressJournal of Islamic Economic Laws2655-96092655-96172023-01-01456110.23917/jisel.v6i1.212429463How Zakat Affects Economic Growth In Three Islamic CountriesAfief El Ashfahany0Awalul Dini Nur Hidayah1Lukmanul Hakim2Mohd Shahid Bin Mohd Noh3Universitas Muhammadiyah Surakarta, IndonesiaUniversitas Muhammadiyah Surakarta, IndonesiaUniversitas Muhammadiyah Surakarta, IndonesiaUniversiti Malaya, MalaysiaZakat as a pillar of development in Islamic economics contributed to the economic development applied in all Caliphate in the Islamic history. By then, this study aims to analyze the effect of zakah on economic growth of three Muslim countries. This study uses a regression estimate of panel data designed to determine the impact of zakat on economic growth with a sample of three Islamic countries in 2003-2020. The results of this study indicate that zakat distribution and population growth have a positive and significant effect on economic growth in three Islamic countries, namely Indonesia, Malaysia and Singapore in 2003-2020. Thus, it can create evidence that zakat can affect economic growth, especially in Islamic countries. This research also supports that zakat should be included in fiscal instrument in today’s world, not only tax. Based on the results of the research above, the student recommend that zakat be included in fiscal policy as is the case with taxes.https://journals2.ums.ac.id/index.php/jisel/article/view/9400zakateconomic growthpopulation growth
spellingShingle Afief El Ashfahany
Awalul Dini Nur Hidayah
Lukmanul Hakim
Mohd Shahid Bin Mohd Noh
How Zakat Affects Economic Growth In Three Islamic Countries
Journal of Islamic Economic Laws
zakat
economic growth
population growth
title How Zakat Affects Economic Growth In Three Islamic Countries
title_full How Zakat Affects Economic Growth In Three Islamic Countries
title_fullStr How Zakat Affects Economic Growth In Three Islamic Countries
title_full_unstemmed How Zakat Affects Economic Growth In Three Islamic Countries
title_short How Zakat Affects Economic Growth In Three Islamic Countries
title_sort how zakat affects economic growth in three islamic countries
topic zakat
economic growth
population growth
url https://journals2.ums.ac.id/index.php/jisel/article/view/9400
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AT awaluldininurhidayah howzakataffectseconomicgrowthinthreeislamiccountries
AT lukmanulhakim howzakataffectseconomicgrowthinthreeislamiccountries
AT mohdshahidbinmohdnoh howzakataffectseconomicgrowthinthreeislamiccountries