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๐Ÿ‡ฎ๐Ÿ‡ฉ Indonesia /Economy & Trade

Indonesia Distributes Aid to Strengthen Faith Community's Economy

From Republika · () Indonesian

Translated from Indonesian, summarized and contextualized by DistantNews.

At a glance

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  • Indonesia's National Zakat Agency (BAZNAS) and the Coordinating Minister for Community Empowerment distributed aid totaling Rp 861 million to strengthen the economy of the faithful in Gresik, East Java.
  • The assistance included programs for Zmart Pesantren (Islamic boarding school stores), BAZNAS Ultra Micro Masjid (BUMi) for mosques, and Santripreneur for students, aiming to foster financial independence.
  • BAZNAS has allocated billions of rupiah since 2022 for these programs, with the goal of transforming recipients from beneficiaries into donors.

The National Zakat Agency (BAZNAS) of Indonesia, in collaboration with Coordinating Minister for Community Empowerment Abdul Muhaimin Iskandar, has launched a significant economic empowerment initiative in Gresik, East Java. The program aims to bolster the financial independence of the community through Zmart Pesantren, BUMi Masjid, and Santripreneur initiatives.

Since 2022, BAZNAS has allocated tens of billions of rupiah for the Zmart and BUMi Masjid programs, where specifically the East Java region has currently reached approximately 23 Zmart units and hundreds of mosques in various areas.

โ€” Sodik MudjahidChairman of BAZNAS RI explaining the program's reach and investment.

During an event at Pondok Pesantren Ihyaul Ulum Gresik, aid totaling Rp 861 million was distributed. This included Rp 350 million for seven Zmart Pesantren units, Rp 500 million for five mosques under the BUMi program, and Rp 21 million for the Santripreneur program, focusing on a circular economy-based empowerment garden. BAZNAS Chairman Sodik Mudjahid highlighted the program's focus on grassroots financial self-sufficiency.

Mudjahid stated that since 2022, BAZNAS has invested billions of rupiah in Zmart and BUMi Masjid programs, with East Java alone reaching approximately 23 Zmart units and hundreds of mosques. He emphasized the collaboration with the Coordinating Ministry for Community Empowerment and strategic coordination with the Ministry of Cooperatives and SMEs to expand micro-business financing. Nationally, the BUMi Masjid program has supported 213 mosques across 35 provinces, benefiting 10,641 individuals and stimulating the grassroots Islamic economy.

Our hope is that through this assistance and capital strengthening, the beneficiaries in East Java will eventually be able to transform and experience a status increase from mustahik (recipients) to muzakki (donors).

โ€” Sodik MudjahidChairman of BAZNAS RI expressing the long-term goal of the economic empowerment programs.

Coordinating Minister Abdul Muhaimin Iskandar underscored the crucial role of Islamic boarding schools as a primary ecosystem for poverty alleviation and regional economic drivers. He asserted that pesantren possess the strongest and most rooted ecosystem for poverty reduction and empowerment. Asrorun Niam Sholeh, an official from Pondok Pesantren Ihyaul Ulum Gresik, welcomed the initiative, viewing it as a strategic step toward national self-reliance and expecting a multiplier effect on community welfare.

There is no ecosystem that is stronger and more rooted than the pesantren in our country, so the ecosystem for poverty alleviation and empowerment that is very ready is the pesantren.

โ€” Abdul Muhaimin IskandarCoordinating Minister for Community Empowerment emphasizing the role of Islamic boarding schools.
DistantNews Editorial

Originally published by Republika in Indonesian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.