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Investment of Zakat Fund in Malaysia

Author

Listed:
  • Caturida Meiwanto Doktoralina*

    (Faculty of Economics and Business, Department of Accounting Universitas Mercu Buana, Jakarta, Indonesia)

  • Nor Asariah Ilias

    (School of Social Sciences Universiti Sains Malaysia, Pulau Pinang, Malaysia)

  • Zakaria Bahari

    (Centre For Islamic Development Management Studies (ISDEV) Universiti Sains Malaysia, Pulau Pinang, Malaysia)

  • Waluyo

    (Faculty of Economics and Business, Department of Accounting Universitas Mercu Buana, Jakarta, Indonesia)

  • Jazuli Suryadhi

    (Faculty of Economics and Business, Department of Management Universitas Mercu Buana, Jakarta, Indonesia)

Abstract

Imam Hanafi believes that zakat funds should not be saved or invested. While Imam Maliki, Imam Syafie and Imam Hambali stated that zakat funds could be spent on a specific condition. This paper aims to analyse the investment of zakat funds at the zakat institution Pulau Penang (ZPP) from the view of zakat Experts. The question is, whether investing zakat funds is allowed? The objective of this paper will use secondary data through content analysis methods. Research findings show that Experts have two views, namely the first group that does not allow and the two groups that justify. Zakat Experts in Malaysia are more likely to view the investment of zakat funds is required for the interests of the eight legitimate recipients (asnaf) itself. Their reason is the benefit of the people. In ZPP, zakat fund investments are more concentrated in non-material. The forms are like Zakat Hemodialysis Center (PHZ) and the development of education, when in the form of investment materials made in fixed deposits in Islamic banking institutions. Can also show that zakat fund investment is justified if the following the sharia invests.

Suggested Citation

  • Caturida Meiwanto Doktoralina* & Nor Asariah Ilias & Zakaria Bahari & Waluyo & Jazuli Suryadhi, 2018. "Investment of Zakat Fund in Malaysia," The Journal of Social Sciences Research, Academic Research Publishing Group, pages 710-715:5.
    • Handle: RePEc:arp:tjssrr:2018:p:710-715
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    References listed on IDEAS

    as
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    3. A.H.M. Sadeq, 1987. "Economic Development In Islam," IIUM Journal of Economics and Management, IIUM Journal of Economis and Management, vol. 1(1), pages 35-45, August.
    4. Pramanik, Ataul Huq, 2002. "Islam And Development Revisited With Evidences From Malaysia," Islamic Economic Studies, The Islamic Research and Training Institute (IRTI), vol. 10, pages 39-74.
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