Contribution of Zakat in the Social Development of Pakistan

Abstract

The main objective of this study is to provide a comprehensive
description as well as evaluation of the emergence of zakat System.
Simultaneously we have to analyze its contribution in the social and
economic development in Pakistan. Consequently on the basis of this
analysis, we may be able to establish a significant relationship between
zakat and social/economic development. This system is to maintain
economic balance in the economy simultaneously it has a negative
impact on the concentration of wealth whereas it has positive impact
on the circulation of funds. Through this mechanism every segment of
the society can get the benefit. It is assumed that zakat is an antipoverty
instrument. Findings of this study reveal this system guarantees that
every individual will be able to get the basic needs of life. However, the
basic difference between zak?t and other charities is that it stands
obligatory along with other voluntary sadaq?h. Zak?t enables the poor
segment of the society to participate in the economic activities and
makes them a useful part of the society. Consequently they feel their
importance as a part of the society. Through zak?t the poor segment of
the society participate in the economic and social activities with full
responsibilities.