MANAGEMENT OF ISLAMIC PHILANTHROPY AND SHARIA FISCAL POLICY IN POVERTY ALLEVIATION

Abstract

Poverty is a social and economic problem that remains a major challenge to national and global development. High poverty rates not only impact public welfare but also affect access to education, health care, and adequate economic opportunities. From an Islamic perspective, poverty alleviation is not solely the responsibility of the government but also a collective responsibility of society through various economic and social instruments regulated by sharia. Two instruments that play a strategic role in realizing public welfare are Islamic philanthropy and sharia fiscal policy. Islamic philanthropy, which includes zakat, infaq, sedekah, and waqf, is a wealth distribution mechanism aimed at reducing social disparities and improving the living standards of underprivileged groups. Meanwhile, sharia fiscal policy serves as an instrument for managing state revenues and expenditures based on the principles of justice, welfare, and economic equality. This study aims to analyze the role of Islamic philanthropic management and sharia fiscal policy in poverty alleviation efforts and to examine the synergy between the two instruments in creating inclusive and sustainable economic development. The research method used is library research with a descriptive-qualitative approach. Data were obtained from various sources, such as books, scientific journals, previous research results, reports from zakat and waqf institutions, and policy documents related to Islamic economics and poverty alleviation. Data analysis was conducted through a process of identification, classification, interpretation, and synthesis of various relevant concepts and research findings.

The research results show that professional, transparent, and accountable management of Islamic philanthropy can increase the effectiveness of the collection and distribution of religious social funds to mustahik groups. These funds are not only used for consumptive assistance but can also be developed into productive economic empowerment programs that contribute to increasing the income of the poor. Furthermore, sharia fiscal policy plays a crucial role in creating economic stability, income equality, and providing public services that support public welfare. Integrating Islamic philanthropic instruments and sharia fiscal policy can strengthen the social protection system, expand economic access for vulnerable groups, and reduce social inequality more effectively. Therefore, strong collaboration between the government, Islamic philanthropic institutions, and the community is needed to optimize the potential of the sharia economy as a strategic solution for poverty alleviation and sustainable improvement of social welfare.