Waqf Development and Management: A Systematic Literature Review of Best Practices, Challenges, and Strategies
Keywords:
Keywords: Waqf development, best practices, challenges
Abstract
Waqf development aims to advance social well-being and charitable activities in Islamic communities. Effective management in planning, developing, and administering waqf assets and funds is crucial for their optimal utilization, as mandated by Shari'ah and the founder's conditions. However, several issues impede the realization of waqf's full potential. Therefore, this systematic literature review (SLR) of 50 articles aims to examine the best practices, challenges, and strategies relevant to waqf development and management. The SLR procedure included formulating research questions, defining inclusion criteria, developing a search strategy, and evaluating the findings from research published between 2015 and 2024. The study utilized four databases (ScienceDirect, IEEE, Emerald Insight, and Google Scholar) and employed Google Notebook LM, an AI tool, to systematically conduct queries. The findings indicate that management is the central challenge to waqf development. Key challenges identified are insufficient financial resources, limited human resource expertise, inconsistent regulatory frameworks, a lack of transparency, low public awareness, inadequate technology adoption, and the rigidity of donor conditions. To counter these issues, practical strategies can be implemented, including improving legal and regulatory frameworks, enhancing good governance and sustainable funding, developing human capital, and boosting public engagement and literacy on waqf.
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References
[1] Ishak, A. H., Mohamad, S. N. A., Ab Manan, S. K., Yahaya, M. H., Daud, W. N. W., & Sharif, D. (2025). The critical success factors of waqf land development for sustainable agriculture. Social Sciences & Humanities Open, 11, 101244
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[3] Fahmi, A., Sugiarto, E., Winarno, A., Sumpeno, S., & Purnomo, M. H. (2018, November). Waqf lands assets classification based on productive value for business development using Naïve bayes. In 2018 International Seminar on Research of Information Technology and Intelligent Systems (ISRITI) (pp. 622-626). IEEE.
[4] Shulthoni, M., Saad, N. M., Ariffin, M. I., & Kayadibi, S. (2022). Practical models of waqf fundraising: Study on the waqf-based 4 pesantrens in Indonesia. INFERENSI: Jurnal Penelitian Sosial Keagamaan, 16(1), 1-24.
[5] Usman, M., & Ab Rahman, A. (2023). Funding higher education through waqf: a lesson from Malaysia. International Journal of Ethics and Systems, 39(1), 107-125
[6] Shulthoni, M., & Saad, N. M. (2018). Waqf fundraising management: a conceptual comparison between traditional and modern methods in the waqf institutions. Indonesian Journal of Islam and Muslim Societies, 8(1), 57-86.
[7] Ardiyansyah, R., & Kasdi, A. (2021). Strategies and Optimizing the Role of Productive Waqf in Economic Empowerment of the Ummah. Ziswaf: Jurnal Zakat Dan Wakaf, 8(1), 61.
[8] Ali, Z., Anjum, G. M., Iqbal, J., & Ahmad, I. (2024). The role of Islamic values in promoting social justice and community welfare. International Research Journal of Management and Social Sciences, 5(1), 575-585.
[9] Hassan, M. A. M., Alias, A., Mahamood, S. M., & De Costa, F. (2021). Waqf land development approaches and practices in the state islamic religious councils. Planning Malaysia, 19.
[10] Kamaruddin, M. I. H., Masruki, R., & Hanefah, M. M. (2018). Waqf management practices: Case study in a Malaysian waqf institution. World Journal of Social Sciences, 8(3), 1-12.
[11] Putra, T. W., Saputra, J., Possumah, B. T., & Hasyim, M. Y. I. (2023). Productive waqf development model: A comparative study between Indonesia and Malaysia. Tazkia Islamic Finance and Business Review, 17(1).
[12] Mustaffa, J., Isa, M. Y. B. M., & Mohammed, Z. (2022). Governance structures: Dependability and efficiency of the waqf institutional system in Malaysia. Journal of Economics and Business Aseanomics, 7(2), 058-070.
[13] Mohiddin, M. N. (2019). Waqf Development in minority muslim country: Singapore’s experience. Journal of Islamic Philanthropy & Social Finance (JIPSF), 2(1), 19-34.
[14] Yaacob, H., & Nahar, H. S. (2017). Investigating awqaf management, accounting and investment practices in Malaysia: the case of a State Religious Institution. Global Journal Al-Thaqafah, 7(1), 59-70.[14
[15] Kamaruddin, M. I. H., & Hanefah, M. M. (2021). An empirical investigation on waqf governance practices in waqf institutions in Malaysia. Journal of Financial Reporting and Accounting, 19(3), 455-473
16] Sanusi, Z. M., Johari, R. J., Said, J., & Iskandar, T. (2015). The effects of internal control system, financial management and accountability of NPOs: the perspective of mosques in Malaysia. Procedia Economics and Finance, 28, 156-162.
[17] Sukmana, R. (2020). Critical assessment of Islamic endowment funds (Waqf) literature: lesson for government and future directions. Heliyon, 6(10).
[18] Purbasari, H., Salim, S. A., Wahab, E. B., & Bawono, A. D. B. (2024, December). Ensuring Accountability of Waqf Management Systems Using a Systematic Literature Review Method. In 2024 International Conference on Intelligent Cybernetics Technology & Applications (ICICyTA) (pp. 1348-1353). IEEE.
[19] Selim, M., Qamber, M., Abdali, M. H., Mohammed, A. A., & Madan, A. A. (2023, September). The Effectiveness of Islamic Microfinance for Solving the Problems of Unemployment, Poverty, and Poor Standard of Living. In 2023 International Conference on Sustainable Islamic Business and Finance (SIBF) (pp. 223-227). IEEE.
[20] Hamzah, M. T. U. M., Sulaiman, S., Kamaruddin, M. I. H., & Hasan, A. (2023). Applications of Waqf-Featured Fund in the Malaysian Islamic Fund Management Industry: A Comparative Study. Global Journal al Thaqafah, 13(1), 90-118
[21] Sholihah, H., & Zaenurrosyid, A. (2021, March). Islamic philanthropy development model based on management of waqf treasure improvement on the mosques of the Northern Seaboard of Java. In 2nd Southeast Asian Academic Forum on Sustainable Development (SEA-AFSID 2018) (pp. 63-70). Atlantis Press.
[22] Kasri, N. S., Bouheraoua, S., & Mohamed Radzi, S. (2023). Maqasid al-Shariah and sustainable development goals convergence: An assessment of global best practices. In Islamic finance, fintech, and the road to sustainability: Reframing the approach in the post-pandemic era (pp. 59-105). Cham: Springer International Publishing
[23] Manaf, Z. I. A., Kader, S. Z. S. A., & Mohamad, N. A. (2019). Examining the evolution of waqf regulations in Selangor: an analysis of the governance framework and transformative approach. IIUMLJ, 27, 337.
[24] Taifur, M. A., & Ab Rahman, A. (2025). THE Potential For Human Capital Development (Hcd) Through Waqf Fund. Online Journal of Islamic Management and Finance (OJIMF), 5(1), 96-113.
[25] Ulfa, N. N., & Mustafa, M. I. (2023). Finding Solutions for Productive Waqf Management in Indonesia. Fara'id and Wealth Management, 3(2).
[26] Mahat, M. A., Jaaffar, M. Y., & Rasool, M. S. A. (2015). Potential of micro-waqf as an inclusive strategy for development of a nation. Procedia Economics and Finance, 31, 294-302.
[27] Saad, N. M., Kassim, S., & Hamid, Z. (2016). Best practices of waqf: Experiences of Malaysia and Saudi Arabia. Journal of Islamic Economics Lariba, 2(2).
[28].Khan, K. S., Kunz, R., Kleijnen, J., & Antes, G. (2003). Five steps to conducting a systematic review. Journal of the royal society of medicine, 96(3), 118-121.
[29].Fabiano, N., Gupta, A., Bhambra, N., Luu, B., Wong, S., Maaz, M., ... & Solmi, M. (2024). How to optimize the systematic review process using AI tools. JCPP advances, 4(2), e12234.
[30] Manaf, Z. I. A. (2017). Resolution of waqf land disputes: The relevance of a waqf tribunal in Malaysia. In Kertas Prosiding, International Conference
[31].Akrianto, M. I., Permanasari, A. E., Hidayah, I., & Sholihin, M. (2023, February). Analysis of Google Play Store's Sentiment Review on Waqf Digital Platform Using Fasttext Embedding
[32] Zhang, H., Afroz, R., Imon, R. A., & Salim, K. (2025). Islamic Finance and Its Role in Fostering Sustainable and Inclusive Economic Growth: A Bibliometric and Content Analysis. In Islamic Finance and Sustainability (pp. 3-26). Routledge.
[33].Faisal, F. (2021). Implementation of risk management in management of waqf assets. International Journal Reglement & Society (Ijrs), 2(1), 67-74.
[34].Owais, M., & Ali, J. (2023). Waqf management reform: A pathway to alleviate poverty within Muslim societies. Journal of Emerging Economies & Islamic Research, 11(1), 57-70
[35].Zarfi, A. (2019). The integration of Awqaf, Zakat and Crowd-Funding in Islamic Microfinance Framework" Focus on Moroccan case". Recherches et Applications en Finance Islamique (RAFI), 3(1), 43-57
[36] Junarti, J., Alhabshi, S. M., Mardika, I. H., & Anwar, S. (2021). Sustainability of Waqf Muhammadiyah: A Historical Study from Past to Present. The International Journal of Business Review (The Jobs Review), 4(1), 41-54
[37].Kresnowati, A. M., & Berakon, I. (2017). Forecasting the potential role of cash waqf as a Islamic social fund in eradicating poverty and improving social welfare: the use of weighted moving average method study at special region of Yogyakarta (DIY). Global Review of Islamic Economics and Business, 5(1), 037-054.
[38] Abas, F. N., & Raji, F. (2018). Factors contributing to inefficient management and maintenance of waqf properties: a literature review. International Journal of Islamic and Civilization Studies, 5(3), 53-67.
[39] Tursunov, I. M. (2023). A Critical Review Of Legal And Regulatory Waqf Framework In Uzbekistan. (3), 63-7
[40] Ab, W. M. A. F. W., Rahaman, S. E. Y., & Haron, M. S. (2021). An investment portfolio strategy for waqf assets in Malaysia: a study at selected state Islamic religious councils. Journal of Academic Research in Business and Social Sciences, 11(5), 481-495
[41] Iman, N., Santoso, A., & Kurniawan, E. (2021). Critical Assessment of the Productive Waqf Innovation Linkage Literature: Lessons for Waqf Asset Management Institutions in Indonesia. Rigeo, 11(6).
[42] Sukmana, R. (2020). A critical assessment of retail sovereign sukuk in Indonesia. Qualitative Research in Financial Markets, 12(2), 243-262.
[43[]obin, M. A., & Ahmad, A. U. F. (2017). Achieving sustainable economic development through Islamic microfinance and the potential of a proposed two-tier mudarabah waqf business model. In Handbook of empirical research on Islam and economic life (pp. 193-212). Edward Elgar Publishing.
[44] Yasin, Y., Helmy, M. I., Ma’yuf, A., & Arwani, A. (2023). Waqf and sustainable development law: models of waqf institutions in the Kingdom of Saudi Arabia and Indonesia. Ijtihad: Jurnal Wacana Hukum Islam Dan Kemanusiaan, 23(1), 93-114.
[45] Abas, F. N., Sipan, I., Yaacob, A. C., & Raji, (2019) F. Rental Model Determination For Medium Commercial Waqf Properties.
[46] Halim, M. B. B. M. A., Borhan, H., Hitam, M., & Kamaruddin, S. M. (2024). Modelling the Database Development for Waqf Land in District of Melaka Tengah Malaysia. Business Management and Strategy, 15(1), 156-169.
[47.Kamaluddin, I., Safitri, D. A. O., & Putri, E. R. (2023). Cash waqf linked sukuk (CWLS) as a strengthener of the cash waqf ecosystem in Indonesia. INNOVATIVE: Journal Of Social Science Research, 3(5), 9676-9687
[48. Bakri, M. H., Md Sahiq, A. N. B., Ismail, S., Husin, A., Ali, R., & Rajiani, I. (2020). Waqf effeciency framework in Malaysia. In Proceedings of the 27th International Business Information Management Association Conference-Innovation Management and Education Excellence Vision (pp. 2258-2264)
[49] Kamaruddin, M. I. H., & Hanefah, M. M. (2021). Bridging zakat impacts toward maqasid shariah and sustainable development goals (SDGs), influence of corporatization and experiences on COVID-19. In Islamic Wealth and the SDGs: Global Strategies for Socio-economic Impact (pp. 393-420). Cham: Springer International Publishing.
[50] Amrin, A., Rahim, A., & Yono, Y. (2023). Fundraising Management of Money Waqf in Indonesian Waqf Savings in a Sharia Review. Al-Infaq: Jurnal Ekonomi Islam, 14(1), 128-141
[2] Duasa, J., & Munir, M. Green Waqf and Sustainable Development: Cases in Malaysia and Indonesia. In Islamic Finance and Sustainability (pp. 508-541). Routledge.
[3] Fahmi, A., Sugiarto, E., Winarno, A., Sumpeno, S., & Purnomo, M. H. (2018, November). Waqf lands assets classification based on productive value for business development using Naïve bayes. In 2018 International Seminar on Research of Information Technology and Intelligent Systems (ISRITI) (pp. 622-626). IEEE.
[4] Shulthoni, M., Saad, N. M., Ariffin, M. I., & Kayadibi, S. (2022). Practical models of waqf fundraising: Study on the waqf-based 4 pesantrens in Indonesia. INFERENSI: Jurnal Penelitian Sosial Keagamaan, 16(1), 1-24.
[5] Usman, M., & Ab Rahman, A. (2023). Funding higher education through waqf: a lesson from Malaysia. International Journal of Ethics and Systems, 39(1), 107-125
[6] Shulthoni, M., & Saad, N. M. (2018). Waqf fundraising management: a conceptual comparison between traditional and modern methods in the waqf institutions. Indonesian Journal of Islam and Muslim Societies, 8(1), 57-86.
[7] Ardiyansyah, R., & Kasdi, A. (2021). Strategies and Optimizing the Role of Productive Waqf in Economic Empowerment of the Ummah. Ziswaf: Jurnal Zakat Dan Wakaf, 8(1), 61.
[8] Ali, Z., Anjum, G. M., Iqbal, J., & Ahmad, I. (2024). The role of Islamic values in promoting social justice and community welfare. International Research Journal of Management and Social Sciences, 5(1), 575-585.
[9] Hassan, M. A. M., Alias, A., Mahamood, S. M., & De Costa, F. (2021). Waqf land development approaches and practices in the state islamic religious councils. Planning Malaysia, 19.
[10] Kamaruddin, M. I. H., Masruki, R., & Hanefah, M. M. (2018). Waqf management practices: Case study in a Malaysian waqf institution. World Journal of Social Sciences, 8(3), 1-12.
[11] Putra, T. W., Saputra, J., Possumah, B. T., & Hasyim, M. Y. I. (2023). Productive waqf development model: A comparative study between Indonesia and Malaysia. Tazkia Islamic Finance and Business Review, 17(1).
[12] Mustaffa, J., Isa, M. Y. B. M., & Mohammed, Z. (2022). Governance structures: Dependability and efficiency of the waqf institutional system in Malaysia. Journal of Economics and Business Aseanomics, 7(2), 058-070.
[13] Mohiddin, M. N. (2019). Waqf Development in minority muslim country: Singapore’s experience. Journal of Islamic Philanthropy & Social Finance (JIPSF), 2(1), 19-34.
[14] Yaacob, H., & Nahar, H. S. (2017). Investigating awqaf management, accounting and investment practices in Malaysia: the case of a State Religious Institution. Global Journal Al-Thaqafah, 7(1), 59-70.[14
[15] Kamaruddin, M. I. H., & Hanefah, M. M. (2021). An empirical investigation on waqf governance practices in waqf institutions in Malaysia. Journal of Financial Reporting and Accounting, 19(3), 455-473
16] Sanusi, Z. M., Johari, R. J., Said, J., & Iskandar, T. (2015). The effects of internal control system, financial management and accountability of NPOs: the perspective of mosques in Malaysia. Procedia Economics and Finance, 28, 156-162.
[17] Sukmana, R. (2020). Critical assessment of Islamic endowment funds (Waqf) literature: lesson for government and future directions. Heliyon, 6(10).
[18] Purbasari, H., Salim, S. A., Wahab, E. B., & Bawono, A. D. B. (2024, December). Ensuring Accountability of Waqf Management Systems Using a Systematic Literature Review Method. In 2024 International Conference on Intelligent Cybernetics Technology & Applications (ICICyTA) (pp. 1348-1353). IEEE.
[19] Selim, M., Qamber, M., Abdali, M. H., Mohammed, A. A., & Madan, A. A. (2023, September). The Effectiveness of Islamic Microfinance for Solving the Problems of Unemployment, Poverty, and Poor Standard of Living. In 2023 International Conference on Sustainable Islamic Business and Finance (SIBF) (pp. 223-227). IEEE.
[20] Hamzah, M. T. U. M., Sulaiman, S., Kamaruddin, M. I. H., & Hasan, A. (2023). Applications of Waqf-Featured Fund in the Malaysian Islamic Fund Management Industry: A Comparative Study. Global Journal al Thaqafah, 13(1), 90-118
[21] Sholihah, H., & Zaenurrosyid, A. (2021, March). Islamic philanthropy development model based on management of waqf treasure improvement on the mosques of the Northern Seaboard of Java. In 2nd Southeast Asian Academic Forum on Sustainable Development (SEA-AFSID 2018) (pp. 63-70). Atlantis Press.
[22] Kasri, N. S., Bouheraoua, S., & Mohamed Radzi, S. (2023). Maqasid al-Shariah and sustainable development goals convergence: An assessment of global best practices. In Islamic finance, fintech, and the road to sustainability: Reframing the approach in the post-pandemic era (pp. 59-105). Cham: Springer International Publishing
[23] Manaf, Z. I. A., Kader, S. Z. S. A., & Mohamad, N. A. (2019). Examining the evolution of waqf regulations in Selangor: an analysis of the governance framework and transformative approach. IIUMLJ, 27, 337.
[24] Taifur, M. A., & Ab Rahman, A. (2025). THE Potential For Human Capital Development (Hcd) Through Waqf Fund. Online Journal of Islamic Management and Finance (OJIMF), 5(1), 96-113.
[25] Ulfa, N. N., & Mustafa, M. I. (2023). Finding Solutions for Productive Waqf Management in Indonesia. Fara'id and Wealth Management, 3(2).
[26] Mahat, M. A., Jaaffar, M. Y., & Rasool, M. S. A. (2015). Potential of micro-waqf as an inclusive strategy for development of a nation. Procedia Economics and Finance, 31, 294-302.
[27] Saad, N. M., Kassim, S., & Hamid, Z. (2016). Best practices of waqf: Experiences of Malaysia and Saudi Arabia. Journal of Islamic Economics Lariba, 2(2).
[28].Khan, K. S., Kunz, R., Kleijnen, J., & Antes, G. (2003). Five steps to conducting a systematic review. Journal of the royal society of medicine, 96(3), 118-121.
[29].Fabiano, N., Gupta, A., Bhambra, N., Luu, B., Wong, S., Maaz, M., ... & Solmi, M. (2024). How to optimize the systematic review process using AI tools. JCPP advances, 4(2), e12234.
[30] Manaf, Z. I. A. (2017). Resolution of waqf land disputes: The relevance of a waqf tribunal in Malaysia. In Kertas Prosiding, International Conference
[31].Akrianto, M. I., Permanasari, A. E., Hidayah, I., & Sholihin, M. (2023, February). Analysis of Google Play Store's Sentiment Review on Waqf Digital Platform Using Fasttext Embedding
[32] Zhang, H., Afroz, R., Imon, R. A., & Salim, K. (2025). Islamic Finance and Its Role in Fostering Sustainable and Inclusive Economic Growth: A Bibliometric and Content Analysis. In Islamic Finance and Sustainability (pp. 3-26). Routledge.
[33].Faisal, F. (2021). Implementation of risk management in management of waqf assets. International Journal Reglement & Society (Ijrs), 2(1), 67-74.
[34].Owais, M., & Ali, J. (2023). Waqf management reform: A pathway to alleviate poverty within Muslim societies. Journal of Emerging Economies & Islamic Research, 11(1), 57-70
[35].Zarfi, A. (2019). The integration of Awqaf, Zakat and Crowd-Funding in Islamic Microfinance Framework" Focus on Moroccan case". Recherches et Applications en Finance Islamique (RAFI), 3(1), 43-57
[36] Junarti, J., Alhabshi, S. M., Mardika, I. H., & Anwar, S. (2021). Sustainability of Waqf Muhammadiyah: A Historical Study from Past to Present. The International Journal of Business Review (The Jobs Review), 4(1), 41-54
[37].Kresnowati, A. M., & Berakon, I. (2017). Forecasting the potential role of cash waqf as a Islamic social fund in eradicating poverty and improving social welfare: the use of weighted moving average method study at special region of Yogyakarta (DIY). Global Review of Islamic Economics and Business, 5(1), 037-054.
[38] Abas, F. N., & Raji, F. (2018). Factors contributing to inefficient management and maintenance of waqf properties: a literature review. International Journal of Islamic and Civilization Studies, 5(3), 53-67.
[39] Tursunov, I. M. (2023). A Critical Review Of Legal And Regulatory Waqf Framework In Uzbekistan. (3), 63-7
[40] Ab, W. M. A. F. W., Rahaman, S. E. Y., & Haron, M. S. (2021). An investment portfolio strategy for waqf assets in Malaysia: a study at selected state Islamic religious councils. Journal of Academic Research in Business and Social Sciences, 11(5), 481-495
[41] Iman, N., Santoso, A., & Kurniawan, E. (2021). Critical Assessment of the Productive Waqf Innovation Linkage Literature: Lessons for Waqf Asset Management Institutions in Indonesia. Rigeo, 11(6).
[42] Sukmana, R. (2020). A critical assessment of retail sovereign sukuk in Indonesia. Qualitative Research in Financial Markets, 12(2), 243-262.
[43[]obin, M. A., & Ahmad, A. U. F. (2017). Achieving sustainable economic development through Islamic microfinance and the potential of a proposed two-tier mudarabah waqf business model. In Handbook of empirical research on Islam and economic life (pp. 193-212). Edward Elgar Publishing.
[44] Yasin, Y., Helmy, M. I., Ma’yuf, A., & Arwani, A. (2023). Waqf and sustainable development law: models of waqf institutions in the Kingdom of Saudi Arabia and Indonesia. Ijtihad: Jurnal Wacana Hukum Islam Dan Kemanusiaan, 23(1), 93-114.
[45] Abas, F. N., Sipan, I., Yaacob, A. C., & Raji, (2019) F. Rental Model Determination For Medium Commercial Waqf Properties.
[46] Halim, M. B. B. M. A., Borhan, H., Hitam, M., & Kamaruddin, S. M. (2024). Modelling the Database Development for Waqf Land in District of Melaka Tengah Malaysia. Business Management and Strategy, 15(1), 156-169.
[47.Kamaluddin, I., Safitri, D. A. O., & Putri, E. R. (2023). Cash waqf linked sukuk (CWLS) as a strengthener of the cash waqf ecosystem in Indonesia. INNOVATIVE: Journal Of Social Science Research, 3(5), 9676-9687
[48. Bakri, M. H., Md Sahiq, A. N. B., Ismail, S., Husin, A., Ali, R., & Rajiani, I. (2020). Waqf effeciency framework in Malaysia. In Proceedings of the 27th International Business Information Management Association Conference-Innovation Management and Education Excellence Vision (pp. 2258-2264)
[49] Kamaruddin, M. I. H., & Hanefah, M. M. (2021). Bridging zakat impacts toward maqasid shariah and sustainable development goals (SDGs), influence of corporatization and experiences on COVID-19. In Islamic Wealth and the SDGs: Global Strategies for Socio-economic Impact (pp. 393-420). Cham: Springer International Publishing.
[50] Amrin, A., Rahim, A., & Yono, Y. (2023). Fundraising Management of Money Waqf in Indonesian Waqf Savings in a Sharia Review. Al-Infaq: Jurnal Ekonomi Islam, 14(1), 128-141
Published
2025-08-28
Section
Articles
Copyright (c) 2025 Siti Mazwin Kamaruddin, Salbiah Mokhtar, Norainah Abdul Rahman, Kamariah Abdullah, Arina Rahmat, Azila Ahmad Sarkawi , Azra Rahmat
This work is licensed under a Creative Commons Attribution 4.0 International License.
