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The question

Is it permissible for charitable organizations to invest large amounts of Zakat funds, especially during Ramadan, and direct the profits to the poor and needy?

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Source: FtawySummary from Ftawy's records · added here Sep 2, 20261 min readAlso available in العربية
The answer

funds must be disbursed immediately upon reaching their eligible recipients as mentioned in the Quran. Investing these funds is not permissible because it leads to delaying their arrival to their rightful owners or their complete loss in case of a deficit. Contemporary scholars have issued fatwas prohibiting its investment for this very reason.

Some have permitted its investment on the condition that the urgent and immediate needs of the beneficiaries are met first, and sufficient guarantees are available to avoid loss. However, this condition is difficult to achieve given the large number of needy individuals.

Summary from Ftawy's records · added here

Reviewed by El Fatwa's sharia committee.

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Where this answer came from
Source platform
Ftawy
Original fatwa ID
14279
Added here
. This is when the answer was added to El Fatwa, not the fatwa's date.
Text
Summary from Ftawy's records, reviewed by El Fatwa's sharia committee.
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Read the full answer on Ftawy