Journal of Research Administration

Peer-reviewed and Referred. Scopus and Cosmos Indexed Journal

Published Paper


The Determinants of Waqf Institutions' Development: A Systematic Review

Yousef Saleh A Alsudays1, Aza Azlina Binti Md Kassim2

Page: 340-357
Published on: 2025 December

Abstract

Background: Waqf, as an Islamic philanthropic institution, has historically played a central role in promoting social welfare, education, and economic development. Despite its potential, contemporary waqf institutions face significant challenges, including weak governance, lack of transparency, and underutilized assets, while also showing promise through innovative models such as crowd funding, productive waqf, and blockchain-based reporting. Objective: This study aims to systematically review the determinants of waqf institutions’ development, focusing on individual, psychosocial, organizational, and systemic factors that influence their effectiveness and sustainability. Methods: A systematic review was conducted following the PRISMA 2020 protocol. Searches across major academic databases yielded 30 eligible studies published between 2020 and 2025. The included studies comprised both empirical and conceptual works, representing diverse geographical contexts such as Malaysia, Indonesia, Nigeria, and Guinea. Data were synthesized to identify common themes and determinants across the literature. Results: The findings reveal that individual determinants such as religiosity, altruism, age, gender, and income strongly shape donor participation. Psychosocial factors including trust, reciprocity, and life satisfaction influence long-term sustainability. At the organizational level, governance structures, reporting practices, and intellectual capital are central to institutional credibility and performance. Systemic enablers such as supportive legal frameworks, alignment with Sustainable Development Goals, and innovative financing models like productive waqf, microfinance, and blockchain-based solutions are critical for modern waqf development. Conclusions: The review highlights that the advancement of waqf institutions depends on strengthening trust and transparency, professionalizing management, and integrating innovative financial tools while remaining grounded in Islamic principles. By addressing governance inefficiencies and leveraging modern instruments, waqf institutions can significantly enhance their role in socioeconomic empowerment and sustainable development across Muslim societies.

 

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