Proposing a New Zakat model-The Salwa Fund

The purpose of this study is to design a product, which will provide support to true purpose of zakat, that is, eliminating poverty from its roots. It will help in increasing saving habits in zakat beneficiaries and work out their prosperity, under the new Zakat model. The Salwa Fund provides assurance, reliability and ease of payment to the zakat payer, access to funds, liquidity, marketability and flexibility, to the zakat beneficiary and this has been visualized in this document. A survey method was adopted to conduct a need analysis, among the current zakat payers, which affirmed the need for such a financial product which achieves the economy's goals of financial inclusion, along with providing a new financial product to the institutions, intermediaries and existing zakat organizations to help them in proper distribution of zakat funds and fulfill their corporate social responsibility by converting zakat beneficiaries to zakat payers.