What is Wrong with Islamic Economics?
Show Less

What is Wrong with Islamic Economics?

Analysing the Present State and Future Agenda

Muhammad Akram Khan

What is Wrong with Islamic Economics? takes an objective look at the state of the art in Islamic economics and finance. It analyses reasons for perceived stagnation and also suggests a way forward.
Buy Book in Print
Show Summary Details
You do not have access to this content

Chapter 22: Contemporary application of the law of zakah

Analysing the Present State and Future Agenda

Muhammad Akram Khan


Muslims have an obligation to pay a certain percentage of their wealth as zakah every year. The Arabic root of the term ‘zakah’ refers to the dual meanings ‘to grow’ and ‘to purify’. The zakah thus means something that purifies (human soul) and something that leads to growth (in wealth). The zakah as a tax purifies the wealth of any social, moral and spiritual failings in earning it. Besides, after paying the zakah the wealth grows in the future through blessings (baraka) of God – a spiritual concept that still requires authentic interpretation in a cause–effect framework. It is generally agreed that an Islamic government has an obligation to collect and distribute the zakah according to the divine law (Q. 9:60). Primarily, proceeds of the zakah are meant for alleviating poverty and providing a social security net. However, the zakah can also be spent on the general and broad objective ‘in the way of God’ (fi sabil Allah), which according to some scholars covers a wide range of socio-economic objectives. The present chapter deals with the zakah law and its application in the present age. We shall show the problems created by the orthodox interpretation of the law and how it has led to non-achievement of its original objectives.

You are not authenticated to view the full text of this chapter or article.

Elgaronline requires a subscription or purchase to access the full text of books or journals. Please login through your library system or with your personal username and password on the homepage.

Non-subscribers can freely search the site, view abstracts/ extracts and download selected front matter and introductory chapters for personal use.

Your library may not have purchased all subject areas. If you are authenticated and think you should have access to this title, please contact your librarian.

Further information

or login to access all content.