Implementation of the integration of Hajj funds and Waqf in Malaysia and Indonesia

Abstract

Innovating waqf products using cash funds has the potential to transform the modern economy regardless of religious and national boundaries. Among the existing sources of funds that can be endowed is the Hajj savings fund derived from the savings of prospective Hajj pilgrims. The Hajj fund can pave the way for the emergence of new innovations in waqf products, such as Hajj endowments, to help alleviate the financial burden of performing Hajj due to reduced subsidy costs. This study aims to identify the management methods of Hajj in Malaysia and Indonesia and analyze the integration of Hajj funds and waqf in both countries. The data collection method used in this study involves document analysis using references from journals, books, papers, annual reports, newspaper clippings, and others. The study found that the integration of Hajj funds and waqf can serve as an initial catalyst for the establishment of Hajj waqf in Malaysia.