Effect of Productive Business Loans on Increasing Small Business Income

The phenomenon of poverty and income inequality in Jambi Province is still an unresolved problem. Through the optimization of the role of the Amil Zakat, Infak, National Sadaqa (BAZNAS) Agency in Jambi Province, it is expected that the problem of poverty will be resolved soon. The purpose of this study was to determine the role of BAZNAS especially in productive business loan programs in increasing the income of small businesses. The research method consisted of qualitative descriptive analysis and quantitative analysis. the recommendations produced are: (1) provision of productive business loans from BAZNAS proved to be very beneficial for increasing small business income, but BAZNAS needs to selectively select prospective loan recipients so that they can be more targeted and their use is not misused by loan recipients; (2) there is a need for assistance, training and routine supervision of BAZNAS to loan recipients in order to be more professional in utilizing the business loan; and (3) to recipients of productive business loans so as not to abuse the loan for purposes other than business development especially if used for consumptive purposes that do not affect the development of their business. 4) The government needs to pay attention to the various obstacles faced by BAZNAS, as stated in the BAZNAS annual report to the government, so that BAZNAS can play a more optimal role in poverty reduction.