The Synergy of Islamic Finance and Sustainable Development: Management Innovation In Pesantren-Based Amil Zakat Institutions

Presenters: Holilur Rahman, Noor Aimi Mohamad Fuad, Zaid Raya Argantara
Affiliation: Universitas Al Amien Prenduan Sumenep
Room: 2

ICIES News- The 4th International Conference on Islamic Economics Studies (ICIES) 2024 featured a compelling presentation by Holilur Rahman, Noor Aimi Mohamad Fuad, and Zaid Raya Argantara from Universitas Al Amien Prenduan Sumenep. Their research, titled “The Synergy of Islamic Finance and Sustainable Development: Management Innovation in Pesantren-Based Amil Zakat Institutions,” delved into the crucial intersection of Islamic finance and sustainable development goals (SDGs) through innovative management practices in Pesantren-based Amil Zakat Institutions.

The study addresses a significant gap identified by a PUSKAS BAZNAS survey, which revealed that 55% of zakat managers in Pesantren lack adequate managerial knowledge and skills. Through a qualitative approach and extensive literature review, the researchers analyzed various sources related to zakat management and sustainable development.

Key findings from the research highlighted that management innovation within Pesantren-based Amil Zakat Institutions can markedly enhance the effectiveness and efficiency of zakat management. The study emphasized the importance of collaboration with other stakeholders to expand the social impact of zakat. Furthermore, the researchers stressed the necessity of training and developing managerial skills among zakat managers in Pesantren to improve their capacity to manage funds more effectively.

The presentation underscored that the synergy between Islamic finance and sustainable development can be actualized through innovative management practices in Pesantren-based Amil Zakat Institutions, aligned with the principle of unrestricted public interest (al-maslahah al-mursalah). By improving managerial knowledge and skills, leveraging technology, and fostering strategic collaboration, these institutions can significantly contribute to achieving the SDGs.

The findings presented at ICIES 2024 offer practical insights for enhancing the role of Islamic finance in sustainable development. The research calls for a concerted effort to equip zakat managers with the necessary skills and knowledge, thereby enabling them to manage zakat funds more effectively and amplify their social impact. Through strategic management innovations, Pesantren-based Amil Zakat Institutions can become pivotal players in the global quest for sustainable development.

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