The Potential of Cash Waqf as A Tool for Empowering the Islamic Economy in Indonesia

Abstract

This study aims to analyze the potential of cash waqf as a means of empowering the Islamic economy in Indonesia. This is in line with the growing awareness of the need for an Islamic Economic System as an alternative to the Capitalist Economic System, which has proven ineffective in improving the welfare of humanity. Moreover, various economic crises have always accompanied the journey of the capitalist economic system, while efforts to find solutions to these crises often result in harm to the weaker parties, the majority of whom are Muslims. In the concept of cash waqf, waqf can become a source of cash funds and can be donated in the form of cash. Cash waqf holds great potential for empowering the Islamic economy, which makes the institution of cash waqf very important to develop. The method used in this research is a library research approach, which involves using existing materials or data sources such as books, articles, academic journals, reports, archives, and other documents available in libraries or other literary sources. To achieve the desired goals of waqf, which include addressing various social and economic issues, it is necessary to develop cash waqf through the use of various systems, such as the mudharabah system, musharakah system, ijarah system, and murabaha system.