Savings concept in Islam

Savings in Islam is clearly a consequence or a response from the Islamic economic principles and moral values ​​of Islam, which states that human beings must live frugally and not luxury as well as their (self and descendants) is recommended in conditions that are not poor. [1] So can be said that the main motivation here is to save the moral value of the simple life (life saving) and virtue are not indigent.
In the discussion of savings in conventional economics, explained that the savings is the difference of income and consumption. Without explained in detail what the motivation of saving them. In this conventional theory, relatively seen that savings is a consequence of the income that is not used. Thus saving additional functions or marginal propensity to save (the marginal propensity to save; MPS) into MPS = 1 - MPC, where MPC is the marginal propensity to consume (the marginal propensity to consume) from an individual.
Explanation of the savings trend is also alluded to in the discussion the theory of money demand (money demand). We know that in the discourse of conventional money demand has three main motifs, namely motif transaction (transaction), the motive of precaution (precautionary) and the motive of speculation (Speculation). In Islam speculation motive is not recognized, because the economic activity in the form of speculation (gambling) is prohibited by Sharia. So there is motive for holding money is the motive for the transaction and keep watch, or in other words the motives for consumption (needs) and saving.
The saving rate of an individual in the Islamic theory can not be separated from consideration kemashlahatan ummah as a whole. In certain circumstances where the public so require a property or funds, then the individuals who have more funds, will reduce the level of savings, or more precisely to reduce the level of his wealth to help people in need. This mechanism can be either voluntary mechanism or mechanisms of binding, meaning that the state has the authority to force individuals who are well off to help people in need, by imposing a special tax, known as nawaib [2] in the rich societies. Thus, the savings rate in Islam has a strong correlation with economic conditions.
How is this saving rate to the level of investment in an Islamic economy? Savings in Islamic economics is not so strongly associated with the investment. Because when saving dimotifasi by reason precaution, living frugally and simply, it is not relevant to the accumulation of savings is then used for investment mechanism in the Islamic profit-sharing scheme that has a risk of loss. Owned investment risk for the outcome is not so in sync with the reason the owners of money to keep his money in the form of savings. Although the relationship is ultimately caused by the current Islamic banking mechanism which uses conventional benchmarks, where the postal savings just in case the community can be used by the bank on the financing side, consequently on the funding side of Islamic banks give bonuses to its customers the savings that are patterned on guard. In addition, based on the motive and the reality of Islamic societies as described in the discussion of consumption and demand, that the Islamic community consists of people Muzakki, mid-income and mustahik, it can be concluded that those who are active in saving are those who fall into groups and mid Muzakki -income. And accumulation of savings in theory will be relatively small when compared to the accumulation of investment, which means also the role of savings in the economy will be relatively small. Thus, the savings depend on the size of the portion of income determined by the needs vigil after him. And this needs to be formulated more specifically to calculate the position and role of savings in the economy.
Meanwhile, what was believed in conventional savings or excess income that is owned by a person or group of people will be "investment potential" can be justified in Islam, as long as it needs them in the consumption patterns of principal and guard have been met. Despite these advantages mentioned as well as the savings may be less precise, because there is the intention of the owner to use the excess as a capital to generate further profits (investment) [3]. So that is a potential savings of this type of investment that should be of concern to the regulators in order to create a policy, both in the real sector and monetary sector. Simply put the regulator should ensure the availability of economic enterprises or Islamic financial products are able to absorb the "investment potential", so the time of holding money by any owner of the funds will be reduced to a minimum. In other words, the provision of the regulation of business opportunities or Islamic financial products will further increase the velocity in the economy. Thus the monetary regulatory attention is not focused on the concept of money supply as conventionally adopted, but rather the velocity of the economy.
Savings and investment relationship in the typical Islamic economy is indeed different from those of conventional. So we need a concept of economic analysis approach that is able to provide an adequate explanation about the position and the proper saving and investment relations in the economic system of Islam, as well as their roles in promoting economic prosperity.Additionally, one thing that also deserves attention is the saving behavior of non-Muslim societies in which they are not exposed by the risk of zakat. In a country that applies the Islamic economic system, non-Muslim communities will also have the same rights and obligations with citizens of Muslim, but in a different form. Basic needs and protection of civil rights is no different from other Muslims, but they are also subject to the obligation to pay kharaj (land tax) and the jizya (tax people) as a Muslim obligation to pay zakat. That way non-Muslims also face the risk of its idle assets is reduced, so the savings will also be maintained on the same portion of the savings of Muslims with the motif just in case. While excess money or property of non-Muslims would be "forced" to enter in the mechanism of actual investment. Investment that is related to productive enterprise in the real sector.[1] The condition where it is believed will enhance the human potential to do things that are not in accordance with the creed and morals of Islam (kufr).[2] The tax is conditional or valid temporary in nature, meaning that all the conditions imposed communities need this tax. When economic conditions had improved, then this tax was no longer collected. See M. Nejatullah Siddiqi, Role of the State in the Economy: An Islamic Perspective, The Islamic Foundation, Leicester UK, 1996.[3] The definition of significant savings here are two: first savings intended to guard and savings devoted to investment. Of course, productive investment, rather than investing in a broad sense is performed by the conventional, where the activity of speculation into the definition of this investment.