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Vol. 1 No. 3 (2026): APRIL : MUJAHADAH JURNAL ILMU MULTIDISIPLIN

Unlocking Youth Potential through Waqf: A Systematic Literature Review on Skills Development in the Islamic Economic Framework

Submitted
July 4, 2026
Published
2026-04-02

Abstract

This study aims to analyze the role of waqf as an instrument for youth skill development within the framework of Islamic economics using a Systematic Literature Review (SLR) approach based on the PRISMA protocol. The study synthesizes 67 selected publications from international academic databases covering the period 2000–2024 to identify patterns, models, challenges, and research gaps related to the optimization of waqf in youth empowerment. The findings indicate that waqf, in both its traditional and productive forms (including cash waqf), holds significant potential as a sustainable financing source for youth education, vocational training, and entrepreneurship development. Various innovative models, such as Waqf-Based Vocational Training Centers and waqf-linked microfinance schemes, have demonstrated effectiveness in improving access to skills acquisition and employment opportunities. From a theoretical perspective, the utilization of waqf aligns closely with the principles of maqasid al-shariah, particularly in the preservation of intellect (hifz al-‘aql) and lineage (hifz al-nasl), thereby reinforcing the normative legitimacy of youth development programs. However, the effectiveness of implementation remains constrained by several challenges, including governance issues, limited capacity of nazhir (waqf managers), low levels of waqf literacy, and the underutilization of digital technologies. The study also identifies critical gaps in the literature, particularly the lack of longitudinal empirical research and the limited involvement of youth as active agents within the waqf ecosystem. In response, this study proposes an integrative conceptual framework that positions waqf as a dynamic social investment mechanism for value-based human capital development. Practically, these findings offer policy implications for governments and waqf institutions to strengthen regulatory frameworks, enhance institutional capacity, and promote technology-driven innovation in order to optimize the role of waqf in unlocking the sustainable potential of Muslim youth.

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