Optimizing Waqf for Environmental, Social, and Governance (ESG) Goals : A Comprehensive Analysis
Mir^atun Nisa^ (a*), Raditya Sukmana(a), Dewi Aisyah Syarani Sjam(a), Devia Almeyda(a)

a) Islamic Economic Department, Faculty of Economic and Business, Universitas Airlangga, Surabaya, Indonesia
*miratun.nisa-2023[at]feb.unair.ac.id

Abstract

This research aims to explore the role of Waqf, or Islamic endowment fund, in realizing Environmental, Social and Governance (ESG) sustainability goals. By using a qualitative approach, this research attempts to conduct a comprehensive analysis based on a review of relevant literature. This study explores how Waqf, which is deeply rooted in Islamic tradition and culture, can be utilized strategically to achieve ESG objectives. By examining contemporary practices, innovations and challenges in the Waqf landscape, this research provides valuable insights into the adaptability of Waqfs in promoting environmental sustainability, social justice and responsible governance. The findings of this research are useful for supporting academic discourse and practical application. Waqf has a dynamic role as an instrument to address pressing global challenges, from climate change to social inclusion and ethical financial practices. Furthermore, this research underscores the need for collaborative efforts between stakeholders, including religious institutions, policy makers, and civil society, to optimize the impact of Waqf on ESG sustainability. Ultimately, this research contributes to the broader discussion regarding integrating traditional practices into contemporary sustainability frameworks, by emphasizing the important role of Waqf in realizing a more just and sustainable world.

Keywords: Waqf- Islamic Social Finance- ESG

Topic: Islamic social finance