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Providing For The Resource Shortfall For Poverty Elimination Through The Institution Of Zakat In Low-Income Muslim Countries

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Author Info

  • Nasim Shah Shirazi

    ()
    (International Institute of Islamic Economics, International Islamic University Islamabad.)

Abstract

This paper is an attempt to estimate the resource shortfall and potential zakat collection for poverty elimination in the low-income Muslim countries. The paper estimates the resource shortfall by utilizing the international poverty lines (under USD1 and 2) headcount and poverty gap index estimated by the World Bank. Potential zakat collection has been estimated by utilizing Kahf’s (1989) definitions of zakatable items with some modifications. The paper finds that some of the low-income Muslim countries can meet their resource gap under USD1 international poverty line with potential zakat collection. However, other countries, mostly belonging to Africa, cannot meet their resource shortfall from their potential zakat collection.

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Bibliographic Info

Article provided by IIUM Journal of Economis and Management in its journal IIUM Journal of Economics and Management.

Volume (Year): 14 (2006)
Issue (Month): 1 (December)
Pages: 1-28

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Handle: RePEc:ije:journl:v:14:y:2006:i:1:p:1-28

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Related research

Keywords: Zakat collection; Poverty elimination; Resource shortfall;

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Cited by:
  1. Mohieldin, Mahmoud & Iqbal, Zamir & Rostom, Ahmed & Fu, Xiaochen, 2011. "The role of Islamic finance in enhancing financial inclusion in organization of Islamic cooperation (OIC) countries," Policy Research Working Paper Series 5920, The World Bank.

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