Involvement International Journal of Business
Vol. 3 No. 1 (2026): January 2026

Unlocking the Economic Potential of Cash Waqf for Sustainable Poverty Reduction in Indonesia

Syaripudin, Enceng Iip (Unknown)
Gaussian, Gini (Unknown)
Safera, Nurul (Unknown)
Furkony, Deni Konkon (Unknown)
Burhanudin, Ujang (Unknown)
Mohd, Ismail Bin Mohd (Unknown)



Article Info

Publish Date
16 Jan 2026

Abstract

This study aims to analyze the economic potential of cash waqf as a social finance instrument for poverty reduction in Indonesia, with particular attention to governance structures and integration into economic empowerment strategies. The research employs a qualitative library research approach by reviewing peer-reviewed journal articles, academic books, and institutional reports related to cash waqf, Islamic social finance, and poverty alleviation. Data were analyzed using thematic analysis to synthesize conceptual and empirical insights from both Indonesian and comparative international contexts. The findings indicate that cash waqf in Indonesia has a large untapped economic potential, estimated at approximately IDR 180 trillion annually, with realization remaining below 10 percent. Effective implementation is closely associated with transparent governance, professional management, and institutional credibility. Furthermore, cash waqf demonstrates stronger and more sustainable poverty reduction outcomes when integrated into productive economic activities such as entrepreneurship development, microfinance, and social enterprises. The study discusses these findings through the lenses of social finance theory, institutional economics, and inclusive development. It argues that reframing cash waqf as a structured social finance instrument enhances its relevance for business-oriented policy discourse and strengthens its role in sustainable and inclusive economic development.

Copyrights © 2026






Journal Info

Abbrev

iijb

Publisher

Subject

Decision Sciences, Operations Research & Management Economics, Econometrics & Finance

Description

Authors are invited to contribute original research on a wide range of topics including financial management, marketing strategies, human resource management, entrepreneurship and innovation, international business, supply chain management, corporate governance, economics and business environment, ...