This study aims to analyze strategies for strengthening community-based economic sustainability through the empowerment of Islamic boarding school cooperatives. The research focuses on the Kiai Syarifuddin Islamic Boarding School Cooperative in Lumajang, which faces various institutional, managerial, and business planning challenges. The study employs a qualitative approach using a participatory field research design. Data were collected through participatory observation, semi-structured interviews, focus group discussions, and documentation. The research participants consisted of 25 cooperative managers and members. The findings reveal that the main issues include unsystematic financial administration, weak business planning, and limited managerial capacity. Empowerment interventions through governance training, basic bookkeeping practices, business management assistance, and the development of a sustainable business plan have proven effective in improving financial literacy, managerial skills, and the collective commitment of the cooperative managers. These findings affirm that pesantren cooperatives have strong potential to become pillars of community-based economic development when managed professionally, transparently, and with a long-term orientation.
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