al-Falāḥ in productive endowments: case study in South Sulawesi, Indonesia

Abstract

This study aims to determine the management mechanism of productive waqf based on jurisprudence, Compilation of Islamic Law (KHI), and Law Number 4 of 2004 regarding waqf. In addition, this study also aims to reveal the form of welfare distribution (al-falāḥ) channeled from various productive waqf programs. The type of research is qualitative research with a socio-historical approach. The study uses primary and secondary data from the Indonesian National Charity Foundation (YAKIN) in South Sulawesi. The results of this study show that productive waqf management has been managed based on a system of collaboration between YAKIN and Nāẓir who experienced and the development of each program model. Managed productive waqf are divided into two forms, namely “waqf khairy” in the form of education programs and cash waqf in the form of rice management programs, business assistance, and capital investment. The cash waqf collection system is carried out by fundraising through family, workmates, and social media networks. The review of jurisprudence on productive waqf is in accordance with the corridors of the sharī‘ah and compilation of Islamic law, but in the implementation of the Law Number 4 of 2004 regarding waqf, it does not fulfill the requirements of the cash waqf pledge. This research also reveals that the distribution classification of al-falāḥ for productive waqf includes socio-religious aspects in the form of school fees, mosque establishment and the cultivation of Islamic values.