The Application of the Hassan Loan in Algeria: Social Experience and Solutions
- Hassan loan, Zakat, Islamic banking, Algeria, Social responsibility, Economic development, Islamic solution.
In this paper we try to address the theory of the Hassan loan and the extent to which this type of loan, as an Islamic solution, can achieve successfully its social and economic goals in Algeria. We try also to address the experience of Algeria in the adoption of the Hassan loan and in investing Zakat , organizing the collection of Zakat Funds, establishing a fund for charitable operations, and exploiting zakat in the process of good lending. We will discuss the extent to which this type of loan, as an Islamic solution, can achieve successfully its social and economic goals in Algeria. On the other hand, we will tackle how this experience can be a catalyst for the foundation of investment associations, the establishment of Islamic banks and the preparation for the existence of Islamic banking in Algeria. Finally, we concluded that the experience of the Zakat Fund encouraged Muzakin and investors to deal with Islamic banks and expanded the applications of good loans at Islamic banks. On the other hand, we concluded that the successful operation of Hassan loan projects requires good management and strict monitoring and control.