ZAKAT DISTRIBUTION IN SUPPORTING THE REGIONAL ECONOMY: A SYSTEMATIC LITERATURE REVIEW

Abstract

Purpose

This research addresses the gap in the literature concerning how zakat distribution can strengthen local economies, moving beyond ritualistic and charity-based perspectives. The study aims to systematically analyze the role of zakat distribution in regional economic development, identify dominant themes in existing research, and highlight emerging directions for future studies.

Design/Methodology/Approach

This research employs a Systematic Literature Review (SLR) of 938 articles published between 2015 and 2025, sourced from both national and international databases, complemented by bibliometric analysis using VOSviewer. The results reveal significant growth in scholarly interest, peaking in 2023, with central themes including productive zakat for empowering micro, small, and medium enterprises (MSMEs), distribution mechanisms, mustahik empowerment, institutional accountability, and macroeconomic impacts such as poverty alleviation and contribution to the Sustainable Development Goals (SDGs). Collaboration among researchers remains fragmented, though key nodes indicate potential for stronger academic networking. The VOSviewer analysis further demonstrates a shift in thematic focus from institutional and consumptive perspectives to digital innovation, zakat productivity, and its role in inclusive economic growth.

Findings

Summarizes the main results or key contributions of the study. The findings imply that zakat distribution, if managed productively and supported by digital transformation, can serve as a strategic policy instrument to enhance local economic resilience and reduce inequality. The results of the study show that research collaboration related to zakat distribution is still fragmented, even though there are key researchers who connect several research clusters. The collaboration map shows that there is considerable room to strengthen networks between researchers and institutions in order to create more comprehensive research that has a broad impact on strengthening the role of zakat at the regional level.

Research limitations/implications

The synergy between academics, zakat institutions, and the government in developing innovative, productive, and equitable zakat distribution models so that zakat truly functions as an instrument of sustainable and inclusive regional development.

Practical implications

Strengthening collaboration among zakat institutions, the government, and academia is recommended to develop innovative, transparent, and impactful distribution models, thereby positioning zakat as a sustainable pillar of regional economic development.

Social implications

The zakat distribution has the potential to become a strategic instrument in strengthening regional economic resilience while reducing social inequality. The recommendation that can be given is the need for closer synergy between academics, zakat institutions, and the government

Originality/value

Many academic studies on zakat have been conducted, but the majority still focus on the collection aspect. Studies that highlight the distribution of zakat, particularly in relation to regional development, are still limited. Even fewer studies emphasize the distribution of productive zakat as a driver of local economic growth.