One of the most important issues in the utilization of waqf land in Indonesia lies on its productivity aspect. Most of the waqf land in the country is unproductive. This paper discusses endeavor to increase waqf land productivity.
One of the most important issues in the utilization of waqf land in Indonesia lies on its productivity aspect. Most of the waqf land in the country is unproductive. This paper discusses endeavor to increase waqf land productivity. Analytic Network Process (ANP) approach is employed by this research. The research model is validated by selected waqf experts. Data were collected from seven experts and practitioners from different perspectives. The results suggest that the most important aspect in optimizing waqf land in the country is improvement of management quality of nazir. It also finds that based on respondents’ collective insights, regulation adjustment is the best strategy framework to increase the productivity of waqf land and to provide optimum economic impact. Policy implication reflecting these adjustments has also been discussed in this paper.
Keywords: Waqf land optimization, Productive waqf, Waqf regulation
A vast potency in waqf land asset is inherited by Indonesian muslins. Data from the Ministry of Religious Affairs or Kementerian Agama (2021) suggest that currently there are 399.072 waqf land location spread across Indonesia. The waqf assets area is around 53.341,94 acres wide. However, the asset utilization is far from optimum despite its huge potential. In fact, 72,48% of the whole waqf land asset is still used to facilitate ritual worship only through building the mosque (Kementerian Agama, 2021). There is no further explanation about waqf land utilization in terms of economic and productive programs in the published data.
This actual condition is basically contradictive with basic idea of waqf promoted by the Prophet Muhammad PBUH. According to his guidance, waqf assets should be put in more productive approach. This idea is based on the Messenger’s history with one of his close companions, namely Umar bin Khattab RA in Khaibar. Delivered by Umar bin Khattab RA,
the Prophet Muhammad PBUH said “if you please, hold the assets and do charity from its benefit (Reported by Muslim)”. Hoexter (1998) stated that historically, land waqf is channeled not only for Muslim ritual worship facilities but also utilized for infrastructure development such as agriculture, education, and public services.
Read more, Download BWPS No. 3, 202120210531 – 03 – BWI Working Paper Series – May 2021 – Nazir Regulation Adjustments v4