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Baznas Improves Zakat Management Performance, Reducing Poverty in Indonesia

| | Source: MEDIA_INDONESIA Translated from Indonesian | Economy
Baznas Improves Zakat Management Performance, Reducing Poverty in Indonesia
Image: MEDIA_INDONESIA

The National Amil Zakat Agency (Baznas) RI reported that national zakat management performance for 2025, based on the National Zakat Index (IZN) version 3.0, has improved, registering a score of 0.57 in the ‘stable’ category. The achievement underscores zakat’s tangible role in poverty alleviation in Indonesia. Nationally, zakat management in 2025 is recorded as having lifted 302,994 people out of poverty, of which 113,134 were from the extreme poor. The figure accounts for 5.84 percent of the total national poverty alleviation in the year. Of this total, Baznas RI directly contributed to lifting 18,035 people out of poverty. Zainulbahar Noor, head of Baznas RI’s Planning, Studies and Development Division, said that zakat management, as mandated by Law No. 23 of 2011, has the primary aim of poverty prevention and alleviation. Therefore, he said, impact measurement is an important part of ensuring this function works effectively and measurably. ‘Through the National Zakat Index, we not only measure the distribution of zakat, infak, and sadaqah funds but also the systems we have developed and their measurable impact. Every rupiah of muzaki funds must be accounted for in a Sharia-compliant, professional manner, and must deliver real social and economic change,’ he asserted, according to an official statement on Thursday, 5 March. He added that without instruments like the IZN, zakat institutions would struggle to explain accurately and simply to the public the role and tangible impact of zakat in improving societal welfare. Zainulbahar hopes the IZN will become more widely known and a key reference, not only within Baznas but also among government, academics, and other organisations. He even hopes the IZN will be considered in drafting the national index for Sharia economic development. Meanwhile, Muhammad Hasbi Zaenal, Director of ZIS Studies and Development at the National DSKL, explained that the IZN is the only official instrument used by Baznas to map the quality and performance of zakat management across Indonesia. He said the IZN value is compiled from district/city, provincial, up to national aggregation. ‘The national IZN value is the sum of all district, city, and provincial IZN scores. From these results, we can identify areas with high, moderate, or low scores, illustrating the quality of zakat management in each region,’ Hasbi said. In 2025, Hasbi reported that participation in submitting IZN reached 426 institutions, the highest since the IZN’s inception in 2016. ‘The greater the participation by institutions, the more accurately the measurement reflects the true condition,’ he said. Hasbi hopes the 2025 IZN results can serve as a continual evaluation tool and strengthen zakat’s role in accelerating poverty alleviation in Indonesia in 2026 and beyond. Baznas moved swiftly to distribute rice zakat fitrah to residents affected by tidal floods along the Bekasi coast in West Java. Jakarta Governor Pramono Anung urged that zakat funds collected through Baznas (Bazis) DKI Jakarta be disbursed to those in need. This initiative represents a concrete step to translate the spirit of interfaith solidarity into real action in addressing humanitarian issues in Indonesia through collaborative efforts. The Muhammadiyah Central Amil Zakat, Infak and Sadaqah Agency (Lazismu) officially conducted pentasarafan (distribution) of funds to Majelis, Lembaga, and Organisasi Otonom. Social media posts purporting that the Minister of Religious Affairs Nasaruddin Umar would maximise zakat and waqf to support the Makan Bergizi Gratis (MBG) program are false. With more modern management and the support of the Aksesmu supply chain, small shop owners are expected to rise from mustahik to muzaki. Baznas moved swiftly to distribute rice zakat fitrah to residents affected by tidal floods along the Bekasi coast, West Java. Five ambulances will be stationed at the Baznas Health Homes in West Java, East Jakarta, Bulukumba, Jepara, Pelalawan, Karanganyar, and Palu. The aid represents a collaboration between the private sector and Islamic philanthropic organisations in response to the humanitarian crisis in Palestine. Of the total 5,000 quotas allocated, nearly half had been filled at launch.

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