Implementation Of The Zakat Village Index As A Tool For Measuring Equitable Distribution To Improve Community Welfare ( Case Study Of Zakat Fund Distribution In Sungai Rasau Village, Pamulutan District, Ogan Ilir Regency, South Sumatra Province ) Implementation Of The Zakat Village Index As A Tool For Measuring Equitable Distribution To Improve Community Welfare ( Case Study Of Zakat Fund Distribution In Sungai Rasau Village, Pamulutan District, Ogan Ilir Regency, South Sumatra Province )

Abstract

The Poverty in Indonesia is a multifaceted issue characterized by high unemployment and significant income inequality. A large portion of the population lives in poverty while a small elite holds substantial wealth. This disparity necessitates urgent strategies for wealth redistribution and employment enhancement. Poverty affects various dimensions of life, intertwining economic and political aspects. Economically, low income prevents families from meeting basic needs, leading to unequal access to healthcare and education. Politically, the poor often lack influence over policies that affect their lives. To combat these issues, comprehensive approaches addressing both economic and political root causes are essential. In 2022, the National Zakat Amil Agency (BAZNAS) reported a zakat potential of IDR 327.6 trillion, indicating significant untapped resources for community empowerment. Zakat, a form of charitable giving, aims to reduce economic inequality and promote sustainable growth. Studies demonstrate that zakat and waqf can substantially improve community welfare and productivity, highlighting their importance in Indonesia's economic framework. This research evaluates the effectiveness of zakat in poverty alleviation and social justice through a case study of Sungai Rasau Village. By utilizing the Village Zakat Index (IDZ), this study aims to assess the village's needs and determine its eligibility for zakat assistance. The findings aim to inform targeted zakat distribution and enhance community empowerment initiatives, ultimately striving for a more equitable and prosperous society..