PROFESSIONALISM OF PRODUCTIVE WAKAF MANAGEMENT ASSETS IN EMPOWERING THE PEOPLES ECONOMY IN INDONESIA AND MALAYSIA
M. Rachmat Effendi, Edi Setiadi, Asep Ramdan Hidayat, Siti Suriani Binti Othman

Universitas Islam Bandung, Universitas Sains Islam Malaysia

Abstract

This paper discusses productive waqf asset in Indonesia and Malaysia. Waqf, is one of the shariah financial instruments used in the Islamic economy to provide more value, benefit and a multifier effect on the improvement of the ummah economy. This study examines the professionalism of productive waqf management in relation to the economic empowerment of the Ummah. The aim is to map the quality of productive waqf management that reflects transparency and accountability. Because waqf institutions have an obligation to publish reports to stakeholders and Allah SWT as the trustee of waqf assets. The approach used is case studies and comparative with qualitative methods through in-depth interviews. So that an effective Waqf management model can be formulated and mapped and its effect on the quality of financial reports. The results obtained in the field are that some Nadzir waqaf in Indonesia such as Synergy Foundation that financial management is carried out in a professional, transparent and accountable manner. The process uses the zakat accounting standard PSAK 109. Every year the financial report is audited by an independent public accountant, the results of the opinion are unqualified (WTP). 90% of business proceeds are used for social activities and community empowerment. Meanwhile in Malaysia the findings suggest that productive waqf asset is still a new area to be developed in Malaysia, but the challenges to manage it are similar to managing zakat and other types of waqf. This research is expected to contribute both theoretically and practically in the management of productive waqf assets.

Keywords: professionalism, productive endowments, empowerment, the economy of the Ummah

Topic: Economic Welfare in Terms of Islamic Perspective