`Zakat' potential still untapped: Bazis Jakarta

| Friday, September 4, 2009

The Jakarta branch of the government-appointed Islamic Charitable Donations Board, Bazis, said there is the potential for Rp 3 trillion (US$300 million) worth of zakat (alms) to be collected in the city, but this goes mostly untapped beacause of a lack of awareness of the importance of paying zakat; one of the five pillars of Islam.

Deputy head of Bazis Jakarta, Ale Abdullah, said Tuesday after a Bazis alms collecting event at the Jakarta Convention Center that some people treat zakat as voluntary.

"Some people think that because they have already given charity to a couple of people, they do not need to pay zakat," Ale said, adding that according to Islamic law, zakat was not voluntary.

"It is a compulsory act. There is the right of the poor to the people's wealth," he said. According to Islamic law, able Muslims are obliged to give alms to the poor annually. The common calculation for zakat is a minimum of 2.5 percent of one's personal wealth.

Some people prefer to be charitable to the homeless, but Ale said that Bazis Jakarta advises against this, as it encourages the poor to beg instead of empowering them.

The City Social Agency held for the first time a raid on people who gave out donations on the streets on Monday. This was the first raid since the passing of a 2007 bylaw on public order, which makes it a crime to give people money on the street. Some 12 people were fined between Rp 20,000 to Rp 70,000.

Ale said that instead of giving money to beggars on the street, making donations through an organization such as Bazis was better. He said Bazis could distribute funds as non-interest loans to finance small businesses. A public accountant audits Bazis annually, Ale said, which ensures the transparency of the organization.

Bazis Jakarta received more than Rp 770 million Tuesday in alms from agencies, officials and staff members of the Jakarta administration. The Jakarta Public Order Agency donated the most, giving Rp 200 million.

Ale said that Bazis has distributed Rp 2 billion from collections made in 2008 to pay for the education of poor students in Jakarta. More than 500 elementary school students received Rp 300,000 each and 498 junior high schools students received Rp 420,000 each. Some 1,425 high school students receive Rp 150,000 per month and 795 undergraduate students receive Rp 200,000 per month.

Some 40 graduate and postgraduate students receive grants to finance their thesis and dissertations. A graduate student receives Rp 2.5 million, while a post graduate student receives Rp 3.5 million.

Link: http://www.thejakartapost.com/news/2009/09/02/zakat039-potential-still-untapped-bazis-jakarta.html

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