Page 1 of 13

Journal for Studies in Management and Planning

Available at http://internationaljournalofresearch.org/index.php/JSMaP

e-ISSN: 2395-0463

Volume 01 Issue 07

August 2015

Available online: http://internationaljournalofresearch.org/ P a g e | 229

Towards Improving The Zakat Management System In Kano State:

A Case Study Of Zakat And Hubusi Commission

Sheriff Muhammad ibrahim

Universiti Sains Islam Malaysia (USIM) Bandar Baru Nilai, Negeri Sembilan Malaysia

sheriffAlmuhajir@gmail.com

Abstract

Zakat is enshrined by Allah on every Muslim

who posses a certain amount of wealth over a

certain periods of time, to be given to

particular category of people. With all

conditions governing the zakat systems,

Muslims living during the era of Islamic

revelation did not find it difficult to manage

and distribute zakat as revealed.

Traditionally, the prophet Muhammad SAW

normally appoint his companions to collect

zakat and submit to him for distribution, in

some instances He assigns a zakat collector

to collect and distribute it among the

qualified people for zakat funds in the

community the zakat received, this helps in

establishing a prudent society full of love and

free of poverty. However, the successive

Islamic government are found neglecting the

zakat institution, coupled with the unfotunate

situations of colonialization of the Islamic

countires, lead to almost total collapse of the

zakat institution. Recently, many Muslim

communities realised the impact of zakat in

establishing social welafre and reducing

poverty and established states own zakat

institutions. Kano State of Nigeria being one

among the Shariah compliant state

established its zakat institution in 2003. This

qualitattive study aims to chek the

experiences and challenges faced by the

Zakat and Hubusi commission Kano State,

with a view to suggest the best practices

suitable for adoption in the state.

Key Words: Zakat, Management, Islamic

Economics, Islamic Finance, Kano, Nigeria

Introduction

Many studies have proved that the

systematic zakat management has

played a better role in bringing a

sustainable life among many Muslim

communities by reducing poverty and

bridging the gap between the poor and

the rich. Patmawati (2005) believes that

zakat helps the poor to fulfill the

necessities of life and serves as a means

of upbringing equality and reducing

poverty in general. Obaidullah and

Salama (2008) believe that zakat makes

its recipient to be more productive in a

society. It is a medium of supporting

the unemployed, orphans, widows, less

privileged, sick and others. Largely,

zakat may serve as a social insurance

for the members of a Muslim

community and bring about a strong

and healthy society (Muhyiddin &

AbdulGani 2011)

Muslims believes that Zakat is an

obligation in Islam that plays an

eminent role in shaping and enhancing

the lifestyle of people regardless of

their economic strength (Nur Hafizah

and Sharifah 2012). According to

Hairunnizam and Radiah (2010), in a

society, Zakat acts as a distinctive

measure taken by Islam in order to

Page 2 of 13

Journal for Studies in Management and Planning

Available at http://internationaljournalofresearch.org/index.php/JSMaP

e-ISSN: 2395-0463

Volume 01 Issue 07

August 2015

Available online: http://internationaljournalofresearch.org/ P a g e | 230

abolish poverty by enjoining Zakat on

the rich. From an Islamic point of view,

failure in collecting Zakat would result

in poverty, hardship, enmity and loss of

social welfare

Kano is a state, located in the

northern region of Nigeria. It is among

the 12 states, which follows Shariah

provision as a means of governance.

Kano is the most populated state in the

north, with a population of about 9.38

million people (Census Report 2006),

and is the center of commercial

activities in the north. The selection of

Kano city, which comprises of only six

local governments is due to; its

proximity to the data collection area;

financial constraints to the researcher;

and due to the distance and time frame

considerations.

The first Zakat organization in

Kano was the Zakat council established

in 1982 as a community based

organization aiming at reducing poverty

in the state, through the Zakat

collections. The committee of this

Zakat organization consisted of Muslim

leaders, Imams and educated people of

the state. Even though, the council

made a significant impact on the

collection and distribution of Zakat, it

was yet sluggish and was not

empowered by the government. Rather,

the scholars and Imams at the mosques

have made awareness and

enlightenment regarding the zakat

obligation (Sheriff 2015 a). Zakat is

being paid voluntarily by the people to

the council, and the money was initially

kept in the bank and later distributed to

the Zakat recipients (Ositien 2007).

The introduction of Shariah

governance system in the year 2000,

helped the committee to improve on the

methods adopted for the collection of

Zakat, and paved a way for the

government to look into Islamic

activities. It also intended to establish

an official body managed by the

government and charged with the

responsibility of collecting and

distributing Zakat (Ositien 2007).

In the year 2003, the Kano state

house of assembly passed a bill on the

Zakat and Hubusi Commission that

came into law as follows:

“This law may be cited as the

Kano state Zakat and Hubusi

Commission law 2003 and shall come

into force on the 7th November 2003".

This law charged the Zakat and

Hubusi Commission with the

responsibility of collecting and

distributing Zakat. It regulated all

affairs related to Zakat and Hubusi

Commission, investing its funds after

receiving approval from the state chief

executive, acting as a trustee of all

wealth under the Commission. The law

also gave the state Governor a right to

appoint the chairman, and other key

functionaries of the board. It also

extends the services of the board to

cover other local Zakat and Hubusi

council and village committees, by

establishing committees, whose

appointments and managements is

directly overseen by the Commission

Page 3 of 13

Journal for Studies in Management and Planning

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e-ISSN: 2395-0463

Volume 01 Issue 07

August 2015

Available online: http://internationaljournalofresearch.org/ P a g e | 231

(Ositien 2007).

However, this study finds that after

a decade of zakat and Hubusi

Commission establishment, the system

is yet meets its desired objectives,

coupled with serious charges of

mismanagement and unsystematic

procedures of zakat collection and

distribution. The Commission could not

gain the confidence of both, the zakat

payers and its recipients (Sheriff &

Muhammad 2015).

And therefore this study aims at

examining the current practices of

management and distribution of zakat

as observed by the Kano State Zakah

and Hubusi Commission to identify the

challenges faced by the institution and

recommends the best ways to handle

them.

Literature Review

Zakat distribution is not free from

challenges affecting its expedition, as

was the case for zakat collection and

management. Major problems

connected to zakat distribution

includes; the issues regarding the

determination of haddkifayah, the

location of zakat distribution; and

planning in zakat distribution. This

section discusses the scholastic views

on these issues with an aim to arrive at

the best practices of zakat distribution

(Sheriff 2015).

Hadd Kifayah (Minimum amount for

sustenance)

Hadd kifayah refers to the specific

amount supposed to be distributed to

each zakat recipients to fill the gap of

poverty. Questions related to the

minimum amount to be allocated to

each zakat recipients are discussed by

scholars. The most common questions

usually come in form of; ‘can zakat

recipients be given what will be

sufficient for him for the rest of his

life?’ or ‘is he given what will sustain

him to the end of the zakat year?

Imam Shafi’i maintained that the

group of poor and needy is to be given

what will sustain their needs for their

life time. This is referred to kifayatul

umr (minimum amount for life

sustenance) in the Shafi’i school of

thought. The Shafi’i school maintained

that by receiving zakat, it is expected

that the receiver will no longer be poor

in the future (al-Nawawy 1997).

This view may not be consistent

considering the large number of

potential zakat recipients across the

globe. The application of this view may

result in deprivation of some in favor of

others.

The most logical view regarding

the concept of kifayatul umr is shared

by Ramli (1993) as; provisions of

economic empowerment for the zakat

recipients that will enable him establish

his own business that could sustain him

for the rest of his life.

In contrast, the maliki and the

majority of hanbali scholars are of the

opinion that the zakat allocations

should not exceed the basic needs of the

recipients for the period of one year (al- Maqdisi 1972), (al-Bahuti 1982), (al- Qarafi 1994).