Hapid Durohman
Universitas Padjadjaran

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Socio-Economic Determinants of Individual Muslim Zakat Payment Behavior in Indonesia Hapid Durohman; Fajar Adrian Sutisna; Muhammad Yuka Anugrah
Journal of Islamic Economics and Finance Studies Vol 4 No 2 (2023): JIEFeS, December 2023
Publisher : Universitas Pembangunan Nasional Veteran Jakarta

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.47700/jiefes.v4i2.6715

Abstract

Zakat is one of the pillars of Islam and holds significant potential in Indonesia. However, the amount of zakat collected remains far below its potential. This disparity arises because many Muslims neglect zakat payment and perceive it as less important. Therefore, it is crucial to understand the socio-economic behaviors and factors influencing individual decisions to pay zakat. This research aims to investigate the determinants of socio-economic factors on individual zakat behavior. The data utilized is sourced from the Indonesian Family Life Survey (IFLS) conducted in 2014, focusing on individuals aged 15 and above. The study employs probit regression methodology to examine individual decisions regarding zakat payments, utilizing STATA 17 for analysis. The research findings statistically indicate that individuals with higher socio-economic status have a greater likelihood of paying zakat. This is evident from socio-economic variables, including gender, household size, age, home ownership, loans, years of schooling, income, religiosity, and occupation, all significantly influencing individual decisions to contribute to zakat. However, variables such as place of residence and marital status do not significantly affect individuals' decisions to pay zakat. Therefore, socio-economic factors play a crucial role in formulating strategies to enhance zakat fund collection. Zakat institutions can refer to socio-economic research to determine their strategies for maximizing the significant zakat potential in Indonesia. For instance, by targeting income levels, zakat institutions can develop awareness programs for individuals with higher incomes, accelerating zakat fund collection in alignment with its substantial potential.   Zakat adalah salah satu pilar Islam dan memiliki potensi besar di Indonesia. Namun, jumlah zakat yang terkumpul masih jauh di bawah potensinya. Ketidaksetaraan ini muncul karena banyak Muslim yang mengabaikan pembayaran zakat dan menganggapnya kurang penting. Oleh karena itu, sangat penting untuk memahami perilaku sosial-ekonomi dan faktor-faktor yang memengaruhi keputusan individu untuk membayar zakat. Penelitian ini bertujuan untuk menyelidiki faktor-faktor sosial-ekonomi yang memengaruhi perilaku zakat individu. Data yang digunakan berasal dari Indonesian Family Life Survey (IFLS) yang dilakukan pada tahun 2014, dengan fokus pada individu yang berusia 15 tahun ke atas. Studi ini menggunakan metodologi regresi probit untuk menguji keputusan individu tentang pembayaran zakat, dengan menggunakan STATA 17 untuk analisis. Temuan penelitian secara statistik menunjukkan bahwa individu dengan status sosial-ekonomi yang lebih tinggi memiliki kemungkinan yang lebih besar untuk membayar zakat. Hal ini terlihat dari variabel sosial-ekonomi, termasuk jenis kelamin, ukuran rumah tangga, usia, kepemilikan rumah, pinjaman, tahun-tahun sekolah, pendapatan, religiusitas, dan pekerjaan, yang semuanya secara signifikan memengaruhi keputusan individu untuk berkontribusi pada zakat. Namun, variabel seperti tempat tinggal dan status pernikahan tidak secara signifikan memengaruhi keputusan individu untuk membayar zakat. Oleh karena itu, faktor-faktor sosial-ekonomi memainkan peran penting dalam merumuskan strategi untuk meningkatkan pengumpulan dana zakat. Institusi zakat dapat merujuk pada penelitian sosial-ekonomi untuk menentukan strategi mereka dalam memaksimalkan potensi zakat yang signifikan di Indonesia. Sebagai contoh, dengan melihat tingkat pendapatan, institusi zakat dapat mengembangkan program-program kesadaran untuk individu dengan pendapatan lebih tinggi, mempercepat pengumpulan dana zakat sesuai dengan potensi yang substansial.
Islamic Financial Development, Country Risk, and Human Development: Do They Shape Income Inequality in OIC Countries? Hapid Durohman; Fajar Andrian Sutisna; Danial Muhammad Wirdyansyah
Muslim Business and Economics Review Vol. 4 No. 2 (2025)
Publisher : Universitas Islam Internasional Indonesia

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.56529/mber.v4i2.386

Abstract

Income inequality remains a persistent development issue across member countries of the Organisation of Islamic Cooperation (OIC), irrespective of their income level. The Islamic financial system, built upon Shariah principles of fairness, risk-sharing, and ethical finance, offers a viable alternative to conventional systems in addressing inequality. This study investigates the long-run effects of Islamic financial development, human development, and country risk on income inequality in OIC countries and empirically tests the Islamic Financial Kuznets Curve (IFKC) hypothesis. Using balanced panel data from 13 OIC member states over the period 2013–2023, the analysis applies Fully Modified Ordinary Least Squares (FMOLS) and Dynamic Ordinary Least Squares (DOLS). The results confirm that Islamic financial development significantly reduces income inequality and follows a non-linear (inverted U-shaped) relationship, validating the IFKC hypothesis. Human development exhibits a mixed effect: while DOLS and non-linear models suggest an equalizing impact, FMOLS results indicate that early gains may benefit elite groups disproportionately, reflecting institutional asymmetries. Country risk consistently exacerbates inequality across all models. Moreover, interaction effects reveal that institutional quality moderates the relationship between human development, country risk, and inequality. In some cases, even stronger institutions may fail to ensure equity when they lack inclusivity. These findings highlight the importance of aligning Islamic financial expansion with inclusive governance and social development policies. For OIC policymakers, this means that achieving sustainable and inclusive growth requires synergy between financial deepening, human development, and institutional transformation.