APPLICATION OF ISLAMIC APPROACH IN ADDRESSING WEALTH AND INCOME INEQUALITY IN NIGERIA

Abstract

The world is searching for an alternative approach that provides a lasting
solution to the myriad of contemporary economic challenges. These
include, among others, income inequality, extreme poverty, and rising cost
of living. As a lingering issue of growing concern, wealth/income
distribution has been disproportionately skewed toward a few privileged
Nigerians, trapping the overwhelming majority in extreme poverty. This
study used a desk review methodology to explain how the Islamic
approach to wealth and income distribution can be used to minimize the
gap between the haves and have-nots in Nigeria. The paper, therefore,
recommends the adoption of the Islamic approach to wealth redistribution
through the use of Zakat, Sadaqah, Waqaf, Wasiyyah, Mirath, Kaffarah,
and Qard Hasanah to address the perennial challenge of income
inequality in Nigeria.