ABSTRACT
Local enterprises empowerment is a concept in economic and political development that comprises various social values. This concept reflects a new paradigm of development, which enhances the local actors in strengthening their capacity in alleviating poverty and inequality. The purpose of this study is to understand the impacts and challenges of Zakat, Infaq, Shodaqoh, and Waqf (ZISWAF) conducted by Rumah Zakat Indonesia through Empowered Village Program in Gumelem Kulon Village, Banjarnegara, Central Java. This study is conducted using phenomenological approach wherein the data are collected through in-depth interviews with prominent informants from the village. The results of this study indicate that ZISWAF has played a crucial role in enhancing the local entreprises in increasing their financial, physical, social, as well as institutional capital. Through community participation in community-owned enterprises financed from the ZISWAF program, rural communities now have wider access for their agriculture products to the international market.
