Unlike the other commercial sources of funds, the zakat funds would never cause unnecessary burden to the economy since the type of the funds is not commercially claimable, and hence, no excessive social costs will occur. The same also goes to the awqaf sector, where, as a matter of fact, more people are endowed with low cost assets.
With this huge potential of zakat and awqaf land, we can expect Islamic social finance a significant drive to economic development. 18. Both zakat and awqaf as Islamic social finance can become a buffer as well as an economic stabilizer. Zakat funds provide a transfer payment to the hardest hit poor and needy people caused by recession.