Effectiveness of Productive Zakat in Economic Empowerment of Mustahik

Abstract

Productive zakat is an Islamic economic empowerment instrument aimed at sustainably improving the welfare of mustahik (zakat beneficiaries). This study aims to analyze the effectiveness of productive zakat in enhancing income and economic independence among mustahik, managed by the Nahdlatul Ulama Amil Zakat Institution (LAZISNU) in Tegal Regency. Using a qualitative approach with a phenomenological study method, this research explores mustahik's experiences in utilizing productive zakat, the role of LAZISNU in assisting them, and the challenges in program implementation. Data were collected through in-depth interviews with mustahik and zakat managers, observations, and document analysis. The findings reveal that productive zakat significantly contributes to increasing mustahik's income and welfare. However, challenges remain, such as limited financial literacy among mustahik, inadequate post-zakat assistance, and regulatory and market access constraints. To enhance program effectiveness, recommendations include improving training programs, regular monitoring, and fostering collaboration with the government and private sector to expand the economic empowerment impact of productive zakat