The Roles of Zakat in the Provision of Islamic Social Finance: Qualitative Approach

In the 21st Century, most economic models are based on profits, which creates a social gap and injustice. Under the Islamic economic model, besides making an appropriated profit, the wealth will also be redistributed to the eight needed groups known as asnaf through Zakat. As a result, Zakat helps to protect the interest of the unfortunate and close the social and economic gap. Therefore, the zakat objectives cover Sustainable Development Goals (SDG) that can improve humans worldwide. Besides helping asnaf, Zakat can be distributed to affected groups during crises and disasters like COVID-19. Hence, to facilitate and make progress smooth, Zakat must be managed by an institution and apply financial technology (FinTech). Thus, this paper attempt to review the related pieces of literature on SDG, redistribution of wealth and the role of Zakat during COVID-19. The methodology of this article is through library research based on the document- analysis of previous articles and literature on Zakat between 2010 until 2020. Therefore, Zakat is the best economy tool to purity and bless the wealth worldwide, especially the Muslim countries. Zakat is among the tool in reducing and eliminating poverty in Malaysia.