The Role of Zakat, Infaq, Sadaqah (ZIS), HDI, and Government Expenditure on Poverty Alleviation: Economic Growth as an Intervening Variable
Keywords:
ZIS, Poverty, HDI, Economic Growth, SEM
Abstract
Zakat, Infaq, and Sadaqah are forms of instruments in Islam that are one of the tools in reducing poverty. Islam instructs its people not to feel that their property is theirs entirely, but in that property, there are rights for other people. This study aims to find out how the influence of ZIS (Zakat, Infaq, and Sadaqah), Human Development Index (IPM), and Government Expenditures on Poverty with Economic Growth as Intervening Variables in West Sumatra for the 2015-2020 period. This research is quantitative research using panel data. The data collection method is carried out by accessing reports that have been carried out by the Central Statistics Agency, and the West Sumatra Amil Zakat Agency (BAZNAS). The data that has been obtained is then processed using Structural Equation Modeling Partial Least Square. The research results show that ZIS and HDI have a negative relationship and a significant influence on poverty in West Sumatra. The important role of ZIS is proven in alleviating poverty if it is managed properly. Meanwhile, government spending has a positive and insignificant effect on poverty in West Sumatra. Government spending is meaningless if it is not accompanied by good planning and management.
References
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Kailani, N., & Slama, M. (2020). Accelerating Islamic charities in Indonesia: Zakat, Sadaqah and the Immediacy of Social Media. South East Asia Research, 28(1), 70–86. https://doi.org/10.1080/0967828X.2019.1691939
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Mahat, N. I., & Warokka, A. (2013). Investigation on zakat as an indicator for Moslem countries’ economic growth. J. for Global Business Advancement, 6(1), 50. https://doi.org/10.1504/JGBA.2013.053478
Muhammad, S., & Saad, R. (2016). The Impact of Public Governance Quality, Accountability, and Effectiveness on Intention to Pay Zakat: Moderating Effect of Trust on Zakat Institutions. International Journal of Management Research & Review, 6(1), 1-8.
Nitzl, C. (2016). The use of partial least squares structural equation modeling (PLS-SEM) in management accounting research: Directions for future theory development. Journal of Accounting Literature, 37(1), 19–35. https://doi.org/10.1016/j.acclit.2016.09.003
Pistrui, D., & Fahed-Sreih, J. (2010). Islam, entrepreneurship and business values in the Middle East. International Journal of Entrepreneurship and Innovation Management, 12(1), 107-118.
Qadir, A. (2011). Zakat Dalam Dimensi Mahdah Dan Sosial. Jakarta.PT. RajaGrafindoPersada
Huda, N., Rini, N., Mardoni, Y., & Putra, P. (2012). The analysis of attitudes, subjective norms, and behavioral control on muzakki’s intention to pay zakah. International Journal of business and social science, 3(22), 271-279.
Rosadi, D. (2014). Ekonometrika dan Analisis runtun Waktu Terapan Dengan Eviews: Aplikasi Untuk Bidang Ekonomi Bisnis dan Keuangan. PT Gramedia: Jakarta
The World Bank. (2020). Aspiring Indonesia—Expanding the Middle Class. www.worldbank.org
United Nations Development Programme (UNDP). (2018). Human Development Reports.
Winarno & Wing Wahyu. (2011). Analisa Ekonometrika dan statistika dengan Eviews edisi ke tiga. Yogjakarta: Unit Penerbit dan Percetakan STIM YKPN
Yusoff, M. B. (2011). Zakat expenditure, school enrollment, and economic growth in Malaysia. International Journal of Business and Social Science, 2(6), 175-181.
Zhou, Y., & Liu, Y. (2022). The geography of poverty: Review and research prospects. Journal of Rural Studies, 93, 408-416.
Adamu, M. S., Al, R., Saad, J., & Muhammad, S. A. (2016). The Impact of Public Governance Quality, Accountability and Effectiveness on Intention to Pay Zakat: Moderating Effect of Trust on Zakat Institution. https://www.researchgate.net/publication/318117072
Ahmed Shaikh, S., & Ghafar Ismail, A. (2017). Role of Zakat in Sustainable Development Goals. International Journal of Zakat, 2(2), 1–9. https://doi.org/10.37706/ijaz.v2i2.21
Aji, H. M., Albari, A., Muthohar, M., Sumadi, S., Sigit, M., Muslichah, I., & Hidayat, A. (2021). Investigating the determinants of online infaq intention during the COVID-19 pandemic: an insight from Indonesia. Journal of Islamic Accounting and Business Research, 12(1), 1–20. https://doi.org/10.1108/JIABR-05-2020-0136
Akram, M., & Muhammad, A. (n.d.). Dynamic Role of Zakat in Alleviating Poverty: A Case Study of Pakistan.
Alfaizin, A. W., Insani, T. D., & Herianingrum, S. (2018). Zakat: Concept and Implications to Social and Economic (Economic Tafsīr of Al-Tawbah:103). Journal of Islamic Monetary Economics and Finance, 4(1), 117–132. https://doi.org/10.21098/jimf.v4i1.780
Amalia, (2012). Potensi dan Peranan Zakat Dalam Mengentaskan Kemiskinan di Kota Medan. Jurnal Ekonomi dan Keuangan, 1(1), 85.
Amri, K. (2020). Pengaruh Zakat dan Kesempatan Kerja terhadap Tingkat Kemiskinan di Aceh. AL-MUZARA’AH, 7(2), 57–70. https://doi.org/10.29244/jam.7.2.57-70
Awaliah Kasri, R. (2013). Giving behaviors in Indonesia: motives and marketing implications for Islamic charities. Journal of Islamic Marketing, 4(3), 306–324. https://doi.org/10.1108/JIMA-05-2011-0044
Ayuniyyah, Q., Pramanik, A. H., Saad, N. Md., & Ariffin, M. I. (2018). Zakat For Poverty Alleviation and Income Inequality Reduction. Journal of Islamic Monetary Economics and Finance, 4(1), 85–100. https://doi.org/10.21098/jimf.v4i1.767
Azam, M., Iqbal, N., & Tayyab, M. (2014). Zakat and Economic Development: Micro and Macro Level Evidence from Pakistan.
Badrudin, R. (2015). Evaluation of the specific allocation fund for Indonesian society welfare. International Journal of Applied Business and Economic Research, 13(7), 5607-5624.
Bashir, A.-H., & Arabia, S. (2018). Reducing Poverty and Income Inequalities: Current Approaches and Islamic Perspective. JKAU: Islamic Econ, 31(1), 93–104. https://doi.org/10.4197/Islec
Bastian, Indra. 2010. Akuntansi Sektor Publik: Suatu Pengantar Edisi Ketiga. Erlangga. Jakarta
Bateman, M., Duvendack, M., & Loubere, N. (2019). Is fin-tech the new panacea for poverty alleviation and local development? Contesting Suri and Jack’s M-Pesa findings published in science. Review of African Political Economy, 46(161), 480–495. https://doi.org/10.1080/03056244.2019.1614552
Beik, I. S., & Arsyianti, L. D. (2015). Construction Of CIBEST Model as Measurement of Poverty and Welfare Indices from Islamic Perspective. Al-Iqtishad: Jurnal Ilmu Ekonomi Syariah, 7(1), 87–104. https://doi.org/10.15408/aiq.v7i1.1361
Beik, I. S., & Arsyianti, L. D. (2016). Measuring Zakat Impact on Poverty and Welfare Using CIBEST Model. Journal of Islamic Monetary Economics and Finance, 1(2), 141–160. https://doi.org/10.21098/jimf.v1i2.524
Chen, J., Phan, T. G., & Reutens, D. C. (2010). Ridge penalized logistical and ordinal partial least squares regression for predicting stroke deficit from infarct topography. Journal of Biomedical Science and Engineering, 3(6), 568–575. https://doi.org/10.4236/jbise.2010.36079
Choiriyah, E. A. N., Kafi, A., Hikmah, I. F., & Indrawan, I. W. (2020). Zakat and Poverty Alleviation In Indonesia: A Panel Analysis at Provincial Level. Journal of Islamic Monetary Economics and Finance, 6(4). https://doi.org/10.21098/jimf.v6i4.1122
F. Hair Jr, J., Sarstedt, M., Hopkins, L., & G. Kuppelwieser, V. (2014). Partial least squares structural equation modeling (PLS-SEM). European Business Review, 26(2), 106–121. https://doi.org/10.1108/EBR-10-2013-0128
Haron, M. S., & Rahman, R. (2016). Pengagihan Zakat Dalam Konteks Kesejahteraan Masyarakat Islam: Satu Tinjauan Berasaskan Maqasid Al-Syari’ah. Labuan E-Journal of Muamalat and Society (LJMS), 10, 129–140. https://doi.org/10.51200/ljms.v10i.2581
Hoque, N., Khan, M. A., & Mohammad, K. D. (2015). Poverty alleviation by Zakah in a transitional economy: a small business entrepreneurial framework. Journal of Global Entrepreneurship Research, 5(1), 7. https://doi.org/10.1186/s40497-015-0025-8
Kailani, N., & Slama, M. (2020). Accelerating Islamic charities in Indonesia: Zakat, Sadaqah and the Immediacy of Social Media. South East Asia Research, 28(1), 70–86. https://doi.org/10.1080/0967828X.2019.1691939
Kamarni, N., & Anshori, M. (2018). The Role of Sharia Financing and The Characteristics of Business Institutions Towards Micro, Small, Medium Enterprise Development. Atlantis Press
Khodabakhshi, A. (2011). Relationship between GDP and Human Development Indices in India. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.1867887
Kusuma, M. W., & Badrudin, R. (2016). Fiscal decentralization effect on economic growth in Bali. Economic Journal of Emerging Markets, 8(2), 136–147. https://doi.org/10.20885/ejem.vol8.iss2.art6
Mahat, N. I., & Warokka, A. (2013). Investigation on zakat as an indicator for Moslem countries’ economic growth. J. for Global Business Advancement, 6(1), 50. https://doi.org/10.1504/JGBA.2013.053478
Muhammad, S., & Saad, R. (2016). The Impact of Public Governance Quality, Accountability, and Effectiveness on Intention to Pay Zakat: Moderating Effect of Trust on Zakat Institutions. International Journal of Management Research & Review, 6(1), 1-8.
Nitzl, C. (2016). The use of partial least squares structural equation modeling (PLS-SEM) in management accounting research: Directions for future theory development. Journal of Accounting Literature, 37(1), 19–35. https://doi.org/10.1016/j.acclit.2016.09.003
Pistrui, D., & Fahed-Sreih, J. (2010). Islam, entrepreneurship and business values in the Middle East. International Journal of Entrepreneurship and Innovation Management, 12(1), 107-118.
Qadir, A. (2011). Zakat Dalam Dimensi Mahdah Dan Sosial. Jakarta.PT. RajaGrafindoPersada
Huda, N., Rini, N., Mardoni, Y., & Putra, P. (2012). The analysis of attitudes, subjective norms, and behavioral control on muzakki’s intention to pay zakah. International Journal of business and social science, 3(22), 271-279.
Rosadi, D. (2014). Ekonometrika dan Analisis runtun Waktu Terapan Dengan Eviews: Aplikasi Untuk Bidang Ekonomi Bisnis dan Keuangan. PT Gramedia: Jakarta
The World Bank. (2020). Aspiring Indonesia—Expanding the Middle Class. www.worldbank.org
United Nations Development Programme (UNDP). (2018). Human Development Reports.
Winarno & Wing Wahyu. (2011). Analisa Ekonometrika dan statistika dengan Eviews edisi ke tiga. Yogjakarta: Unit Penerbit dan Percetakan STIM YKPN
Yusoff, M. B. (2011). Zakat expenditure, school enrollment, and economic growth in Malaysia. International Journal of Business and Social Science, 2(6), 175-181.
Zhou, Y., & Liu, Y. (2022). The geography of poverty: Review and research prospects. Journal of Rural Studies, 93, 408-416.
Published
2024-02-22
How to Cite
Kamarni, N., Utami, Y., & Hasib, F. (2024). The Role of Zakat, Infaq, Sadaqah (ZIS), HDI, and Government Expenditure on Poverty Alleviation: Economic Growth as an Intervening Variable. Islamic Research, 7(1), 1-13. https://doi.org/https://doi.org/10.47076/jkpis.v7i1.236
Section
Islamic Economics and Finance
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