THE IMPLEMENTATION OF GOOD GOVERNANCE IN SUSTAINING WAQF FUND: AN EXPERIENCE OF INDONESIAN WAQF BOARD (BWI)

Good governance is at the heart of any successful organization. It helps the organization to achieve its objectives and drive improvement, as well as maintain legal and ethical standing in the eyes of shareholders, regulators and the wider community. The implementation of good governance builds a positive reputation and helps to increase business sustainability and profitability within the organization. Indonesia is the most populous Muslim-majority country in the world and has great potential in waqf assets and funds. Indonesian Waqf Board (BWI) is an independent state institution, formed based on Law Number 41 of 2004 concerning waqf. The main objective of its establishment is to become a coordinating institution of existing nazhir (waqf managers) in managing and supervising waqf assets and funds. This paper aims to critically analyze the implementation of good governance adapted by the Indonesian Waqf Board (BWI) in sustaining its waqf fund. A qualitative method approach was employed using primary and secondary sources. The primary data was collected through the interview session with BWI officers, while secondary sources were collected through published regulation and reports, journal papers, and articles. The content analysis approach was adopted to analyze the data gathered from this study. The findings showed that the Indonesian Waqf Board (BWI) was given huge responsibility by carrying out various functions whether as a motivator, facilitator, regulator and other supporting roles. The huge responsibility and the overlapping functions of the BWI have pros and cons in sustaining its waqf fund. This study is expected to provide the current condition of waqf governance in Indonesia and the sustainability of waqf funds managed by the Indonesian Waqf Board (BWI).