ZAKAT FUND DISTRIBUTION IN MICRO CREDIT FINANCING PATTERN

Abstract

This working paper intend to see zakat distribution in micro credit financing pattern from zakat fund. Distribution method during this more characteristic "off one". However, often misused or fund prepared there has been no responsibility from recipients. Therefore, zakat distribution method in form this micro financing giving collective responsibility to be carried out so that fund distributed do not experience loss. The issue, what the questions, what will happen if once later amount annual zakat collection is decreases but Volume: 3 Issue: 10 [June, 2018] pp. 71-86] Journal of Islamic, Social, Economics and Development eISSN: 0128-1755 Journal website: www.jised.com72 member of asnaf increases? Let alone working capital grant in form micro credit offered currently said not free from usury elements. Retrieval from data primary and secondary show that there is view which allowed zakat distribution given by micro credit financing for business capital or additional capital expand business among asnaf entrepreneur. Will also presented is that there is micro credit financing definition, micro credit financing law from tithe fund and micro credit financing practice from zakat fund in foreign countries can be made into a model to be applied in tithe institutions in Malaysia.