Assessing the Implication of Law 41/2004 on Waqf Practice: A Systematic Literature Review

Abstract

The enactment of Law No. 41 of 2004 in Indonesia significantly impacts the country's socio-economic landscape, particularly concerning the management of waqf assets. With Indonesia hosting the world's largest Muslim population, waqf emerges as a critical avenue for advancing societal welfare, yet its realization often faces challenges. This study aims to discern Law No. 41 of 2004 on waqf practices by examining its positive and negative impact after long years of its enactment. The study employs the Systematic Literature Review (SLR) method, involving the identification, analysis, evaluation, and interpretation of previously obtained research data. SLR aims to discover relevant articles, gather necessary information, evaluate, and synthesize them to gain a broader understanding. The study found that in the positive parts, the Law gave a more broadened scope of waqf, ensuring more potential. It also gives better contribution to the enhancement of socio-economics welfare of its recipient. Meanwhile, we also found the lack of nazir professionalism and many lands remains uncertified. The findings rise awareness of all stakeholders that the current regulation while boosting the waqf development, it has several points need to be improved.