<![CDATA[Educational policy formulation is a central process in the national education system to respond to various structural and cultural challenges. This article aims to critically analyze the concept of educational policy formulation, its foundations and principles, the stages of the process through evaluation, as well as the challenges and strategies in the context of Islamic education. The method used is a systematic literature review with a qualitative-descriptive approach. The results show that educational policy formulation must be based on four main foundations: philosophical, psychological, sociological, and juridical. Rational, incremental, democratic, and comprehensive principles serve as procedural foundations. The policy stages include problem identification, formulation, legitimation, implementation, monitoring, and evaluation. In Islamic education, the greatest challenges are the dichotomy of knowledge, weak human resource capacity, and the pressures of globalization that erode Islamic values. Recommended strategies include curriculum integration, strengthening Islamic character, improving teacher professionalism, and maslahah-based governance. This article contributes to the development of a contextual and adaptive Islamic education policy theory]]>
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