The Causes of Poverty and Unemployment and the Solutions of Islamic Economics

Abstract

This academic discussion provides an in-depth analysis of the causes of poverty and unemployment, offering effective and Sharia-compliant solutions based on the principles of Islamic economics. The topic is valuable because poverty and unemployment are not only economic issues but also major causes of social instability. The methodology used is analytical-descriptive, in which the causes of poverty and unemployment are examined from religious, economic, and social perspectives, followed by practical solutions derived from Islamic economic resources. The main findings of the discussion are that activating Zakat and Waqf institutions is an essential step toward social justice, Islamic financial mechanisms are an effective tool in the fight against poverty, the development of vocational skills is a key aspect of solving unemployment, and the fair distribution of income establishes the foundation for economic balance. Thus, Islamic economics offers a well-organized and balanced approach, which, if implemented in practice, could eliminate poverty and unemployment for good and create a just society.