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Abstract

Islam places great emphasis on social justice and the equitable distribution of wealth, advocating for the support of poor and deserving classes through various forms of capital. This study explores the Islamic economic principles that promote financial empowerment of the underprivileged, such as Zakat, Sadaqah, Waqf, and interest-free loans (Qarz-e-Hasan). These mechanisms not only address immediate needs but also aim to provide sustainable solutions by enabling individuals to become self-reliant and productive members of society. The paper further examines how Islamic teachings encourage wealth circulation and discourage hoarding, thus fostering economic balance. Historical examples from early Islamic societies and contemporary models are analyzed to illustrate practical applications. By aligning spiritual obligations with socio-economic strategies, the research underscores how Islamic capital instruments can play a transformative role in poverty alleviation and inclusive development, especially in modern welfare-based policy frameworks.