Funding Role of Zakat Institution for Small and Micro-Projects in Palestine

Abstract

     This research highlights the role of Islamic charitable financing in supporting small and micro-projects by examining the role of the Zakat institution in funding these projects, given its significant role in achieving economic development and reducing poverty and unemployment in the Palestinian society. From this perspective, Palestine has endeavored to embody this role through the Ministry of Waqf and Religious Affairs and the Palestinian Zakat Fund, which provides support to these projects to empower marginalized groups in society. The study concluded that Zakat plays a crucial role in supporting and developing small and micro-projects in light of the limited financial resources available in Palestine. Moreover, it found that the current reality of the Palestinian Zakat Fund's role is still far from achieving the desired objectives, as the support provided is minimal compared to that of other financing institutions. Additionally, many of the small projects, especially traditional ones, are stereotypical.

Keywords: Finance, Zakat, Micro Enterprises, Small Enterprises.