Efficiency of zakat institutions in Malaysia: an application of data envelopment analysis
The aim of this paper is to measure the efficiency of zakat institutions in Malaysia during the period of 2003 to 2007. Using a Data Envelopment Analysis (DEA) technique, the results show that zakat institutions have exhibited mean technical efficiency of 80.6%. The results also suggest that pure te...
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| Format: | Article |
| Language: | English |
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The Statistical, Economic and Social Research and Training Centre for Islamic Countries (SESRIC)
2012
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| Subjects: | |
| Online Access: | http://irep.iium.edu.my/25973/ http://irep.iium.edu.my/25973/1/My_Paper_in_SESRIC_zakat_efficiency.pdf |
| _version_ | 1848779561778544640 |
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| author | Abdul Wahab, Norazlina Abdul Rahman, Abdul Rahim |
| author_facet | Abdul Wahab, Norazlina Abdul Rahman, Abdul Rahim |
| author_sort | Abdul Wahab, Norazlina |
| building | IIUM Repository |
| collection | Online Access |
| description | The aim of this paper is to measure the efficiency of zakat institutions in Malaysia during the period of 2003 to 2007. Using a Data Envelopment Analysis (DEA) technique, the results show that zakat institutions have exhibited mean technical efficiency of 80.6%. The results also suggest that pure technical inefficiency dominates the scale inefficiency effects in determining technical efficiency of zakat institutions in Malaysia. Further analysis of Spearman and Pearson correlation coefficients suggests that while higher Muslim population states tend to positively correlated to zakat collection, its correlation with efficiency score does not indicate a strong relationship, implying that it does not promise efficiency of zakat organization. |
| first_indexed | 2025-11-14T15:19:44Z |
| format | Article |
| id | iium-25973 |
| institution | International Islamic University Malaysia |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-14T15:19:44Z |
| publishDate | 2012 |
| publisher | The Statistical, Economic and Social Research and Training Centre for Islamic Countries (SESRIC) |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | iium-259732012-11-06T13:21:44Z http://irep.iium.edu.my/25973/ Efficiency of zakat institutions in Malaysia: an application of data envelopment analysis Abdul Wahab, Norazlina Abdul Rahman, Abdul Rahim HJ9011 Local finance The aim of this paper is to measure the efficiency of zakat institutions in Malaysia during the period of 2003 to 2007. Using a Data Envelopment Analysis (DEA) technique, the results show that zakat institutions have exhibited mean technical efficiency of 80.6%. The results also suggest that pure technical inefficiency dominates the scale inefficiency effects in determining technical efficiency of zakat institutions in Malaysia. Further analysis of Spearman and Pearson correlation coefficients suggests that while higher Muslim population states tend to positively correlated to zakat collection, its correlation with efficiency score does not indicate a strong relationship, implying that it does not promise efficiency of zakat organization. The Statistical, Economic and Social Research and Training Centre for Islamic Countries (SESRIC) 2012 Article PeerReviewed application/pdf en http://irep.iium.edu.my/25973/1/My_Paper_in_SESRIC_zakat_efficiency.pdf Abdul Wahab, Norazlina and Abdul Rahman, Abdul Rahim (2012) Efficiency of zakat institutions in Malaysia: an application of data envelopment analysis. Journal of Economic Cooperation and Development, 33 (1). pp. 95-112. ISSN 1308-7800 http://www.sesric.org/jecd/jecd_articles/art11032901-2.pdf |
| spellingShingle | HJ9011 Local finance Abdul Wahab, Norazlina Abdul Rahman, Abdul Rahim Efficiency of zakat institutions in Malaysia: an application of data envelopment analysis |
| title | Efficiency of zakat institutions in Malaysia: an application of data envelopment analysis |
| title_full | Efficiency of zakat institutions in Malaysia: an application of data envelopment analysis |
| title_fullStr | Efficiency of zakat institutions in Malaysia: an application of data envelopment analysis |
| title_full_unstemmed | Efficiency of zakat institutions in Malaysia: an application of data envelopment analysis |
| title_short | Efficiency of zakat institutions in Malaysia: an application of data envelopment analysis |
| title_sort | efficiency of zakat institutions in malaysia: an application of data envelopment analysis |
| topic | HJ9011 Local finance |
| url | http://irep.iium.edu.my/25973/ http://irep.iium.edu.my/25973/ http://irep.iium.edu.my/25973/1/My_Paper_in_SESRIC_zakat_efficiency.pdf |