Improving The Transparency of The Zakat Process
Mi123 last edited by Mi123
The collection and distribution of zakat (alms-giving) funds in most countries fall under the purview of religious authorities, but a key issue that arises is its inefficiency, and the lack of transparency in everything from how the funds are collected to its distribution.
The levels of bureaucracy and lack of information on those who are most suited to benefit from zakat contributions and repeated recipients who become reliant on the contributions are some key factors that are in need of disrupting.
Therefore, Dr. Ziyaad Mohamed, an associate dean of executing education and e-learning at the International Centre for Education in Islamic Finance (INCEIF) have created an app for Islamic social financing utilising blockchain.
Developed in collaboration with Dublin-based fintech company Aidatech, the app allows zakat payers to choose the religious denomination they follow (Shafie, Maliki, Hambali or Hanafi), and also choose which projects they’d like their funds to help like water irrigation, sanitation, poverty or education.
Contributors will even receive a notification when their money has been used for their chosen project, which the developers included to facilitate transparency.
The team will be launching their proof of concept in the UK first before looking at a more global release.
hola55 last edited by
Always a good idea to step into transparency. People need to know where their money is going.