Development Strategy of Msme Through Zakat, Infak, Sedakah to Realize Economic Empowerment

Abstract

This study aims to determine the potential of ZIS funds in developing MSMEs and the mechanisms carried out in empowering MSMEs through ZIS funds so that they can realize a better economy. Micro, Small and Medium Enterprises (MSMEs) are business actors who have a strategic role in economic development efforts. national. However, the potential possessed by micro-enterprises still has various obstacles both in increasing market share and in terms of capital. These obstacles can be minimized by utilizing Zakat, Infak, Alms (ZIS) funds in the form of financing assistance along with productive empowerment so that they can have an impact on the development of micro-enterprises. The method in this research is conceptual research using secondary data through a qualitative descriptive approach. The results showed that the mechanism for developing MSMEs through ZIS funds, apart from providing capital or financing, was followed by a sustainable empowerment model in the form of monitoring, coaching, and training. Another impact obtained from optimizing ZIS funds is creating economic independence and increasing the selling value of business products both in terms of licensing and halal certification.