Productive Infaq Funds for The Welfareness of the Poor

Abstract

The purpose of this study is to demonstrate the efficacy of productive infaq funds in terms of business performance and poor welfare. This research employs the PLS method to conduct explanatory research. SmartPls version 3 is used as the statistical tool in this study. The type of data used is primary data from respondents who are poor and receive productive infaq funds from BAZNAS to finance their small businesses. The study's findings demonstrate that (a) productive infaq funds have a positive and significant impact on poor people's business performance; (b) productive infaq funds have a positive and significant impact on poor people's welfare; and (c) business performance has a positive and significant impact on poor people's welfare. Therefore, in order to achieve the expected Welfare, that is, Welfare based on Maqashid al Syariah, it is also necessary to improve business performance. Fuqara 'and masaakin are required to run their businesses as efficiently as possible in order to ensure the prosperity of themselves and their families.