Discusses the economic implications of zakâh. Analyses the collection and disbursement of zakäh in Malaysia. Most of the zakäh is paid bypoor padi farmers. The collection is fully organised. There are numerous inefficiencies in collection. Disbursernents are not adequately organised. The share of the poor does not exceed 15% of the total collection, while adrninistrative costs are double this. Makes recommendations to improve the system. For economists. Analytical. Based on primary sources. Documented.
Public Finance and Institutions