The Journal of Muamalat and Islamic Finance Research

The Impact of Jordanian Customs Policies on the Success of Supply Chains

Murad Ali Ahmad Al-Zaqeba — 2024-12-01

This study investigates the impact of Jordanian customs policies on the success of supply chains. This research paper was conducted using a quantitative survey design, with data collected from the Jordanian Customs Department through questionnaires. The questionnaires were adopted and adapted from previous studies, and they were developed using basic random selection techniques and a five-point Likert scale. A total of 189 responses were collected, of which 181 were valid for statistical analysis; eight responses were excluded due to outliers. Consequently, 181 were analysed using Smart PLS 4.1.0.3 for hypothesis testing. The findings provide insights into the impact of customs policies on supply chain success and highlight the mediating role of sustainable practices. This research contributes to understanding supply chain management in the context of customs policies. It also underscores the importance of aligning regulatory measures with sustainability goals to drive supply chain performance.

Conceptual Framework of Environmental, Social, and Governance (ESG) Research

Mohamad Yazis Ali Basah — 2024-12-01

This paper aims to assessing the growth and publication patterns in environmental, social and governance (ESG) research, identifying the main issues discussed among influential publications and authors that have shaped the discourse, and exploring the intersection of ESG with other emerging fields or trends. Data from the SCOPUS database were used in this study. The ‘biblioshiny’ R package, also known as ‘bibliometrix 3.0’, was employed to conduct bibliometric analysis, utilising mapping and clustering techniques on 1736 articles, in order to distil the comprehensive knowledge and identify emerging trends in ESG topics. The thematic Map classifies the ESG themes into niche themes (e.g., ESG investing, socially responsible investment, and ESG rating); emerging/declining themes (e.g., Sustainable development, corporate sustainability, and responsible investment); and basic/transversal themes (e.g., ESG, sustainability and CSR). Environmental, social, and governance imply a position between niche themes and motor themes, while the corporate social responsibility, corporate governance, and ESG performance implies a position between motor themes and basic themes. This study sheds light on the nature and patterns of ESG research. Citation rates are estimated by analysis, and journal impact factors are quantifiable and objective measures directly related to published research.

Unravelling Halal Bibliometric Research

Firmansyah — 2024-12-01

This study delves into halal research trends through a bibliometric analysis of 69 articles from 2018-2023. The data was retrieved from the Google Scholar database. This study will analyse the co-authorship, co-citation, and co-occurrence using VOSviewer. In addition, it will employ a Systematic Literature Review (SLR) to unveil future research. The result reveals a surge in publications, with 2022 as the peak year, emphasizing English as the dominant language. Indonesia stands out as the most prolific source of research, contributing 42 articles and boasting the highest citation count (198). Author A.S. Rusydiana leads with nine publications, while the journal “Halal Tourism and Pilgrimage” claims the top spot with five articles. Notably, the most cited article (82 citations) by Secinaro and Calandra focuses on halal food research trends. Network, density, and overlay visualizations depict key research clusters, highlighting 18 themes requiring further exploration. Interestingly, ten themes remain relevant despite recent advancements, while 10 require extra attention. Furthermore, a SLR of recent research identifies 36 potential avenues for future investigation. Nevertheless, this study offers a valuable roadmap for navigating the ever-evolving landscape of halal research for future inquiry.

Signifying the Crucial Role of Performance Measurement in Istibdal Waqf Projects in Malaysia

Nor Amni Bazilah Mohd Zain — 2024-12-01

Istibdal waqf is one of the methods conducted to optimise waqf property to become more productive. In Malaysia, scholars have agreed that istibdal can be applied to all categories of waqf property. It is also used to solve the problems related to waqf land, which includes urban development, roads, land acquisition, and unproductive waqf land. Istibdal waqf can also be implemented if a waqif has expressed the intention to implement istibdal if the waqf properties can no longer benefit the beneficiaries. Therefore, this study aims to explain the indicators proposed for measuring the performance of the istibdal waqf project in waqf institutions in Malaysia. This study used qualitative research based on the library method. Facts and arguments are drawn from library materials such as high-impact journals and articles, newspapers, and conference papers. The result of the study discovered some indicators for the performance measurement in istibdal waqf. The indicators are divided into four categories: input, output, outcome, and network. To maximise the potential of waqf in a country, the performance measurement of waqf institutions must be measured to ensure that the waqf projects can benefit the community.

Short-Term and Long-Term Effects of the Islamic Bank Financing in Construction Sector on GDP in Indonesia

Eko Fajar Cahyono — 2024-12-01

Research on the role of Islamic banks on economic growth has been widely conducted. However, it focuses on total Islamic Bank Financing (IBF) rather than on sector-specific Islamic financing. This research addresses the gap by examining the short-term and long-term influence of Islamic bank financing in the construction sector on the Gross Domestic Product (GDP) in Indonesia. This research uses a quantitative approach, using the Conditional Error Correction Model (CECM) analysis method. Secondary data used in this research are from the first semester of 2006 to the first semester of 2023 and are taken and processed from related official institutions such as Bank Indonesia, the Central Statistics Agency, and the Financial Services Authority. In the autoregressive distributive lag (ARDL) model in the construction sector, IBF’s short-term impact on GDP is positive but insignificant, while the long-term effect is significantly positive.

Analisis Undang-undang Muamalat Islam dalam Hukum Kanun Lingga, Sarawak

Noranizah Yusuf — 2024-12-01

Hukum Kanun Lingga merupakan dokumen undang-undang yang pernah digunakan oleh masyarakat Islam di Sarawak dan mempunyai nilai sejarah serta budaya yang signifikan. Kajian ini bertujuan untuk menganalisis undang-undang muamalat Islam yang terkandung dalam Hukum Kanun Lingga. Kaedah kajian analisis kandungan telah digunakan, dengan aplikasi ATLAS.ti untuk mengenal pasti dan mengkategorikan kandungan undang-undang Islam dalam dokumen tersebut. Hasil kajian mendapati bahawa Hukum Kanun Lingga mengandungi pelbagai peraturan muamalat Islam, termasuk undang-undang berkaitan jual beli, gadaian, perkongsian untung, hutang, wadiah dan sebagainya. Dapatan kajian juga menunjukkan bahawa masyarakat Islam di Sarawak pada masa tersebut telah mengintegrasikan prinsip-prinsip syariah dalam kehidupan harian mereka sejajar dengan perkembangan undang-undang Islam di rantau ini. Kesimpulannya, Hukum Kanun Lingga bukan sahaja merupakan dokumen penting dalam sejarah undang-undang Islam di Sarawak tetapi juga bukti jelas pengamalan dan penerimaan undang-undang muamalat Islam oleh masyarakat Melayu Islam di wilayah tersebut. Analisis ini juga menjelaskan bahawa prinsip-prinsip Islam telah diadaptasi dan diamalkan dalam konteks tempatan yang memberikan naratif baru tentang sejarah perundangan Islam di Sarawak. Kajian ini juga relevan untuk pemahaman yang lebih luas dan mendalam tentang sejarah perundangan Islam di Asia Tenggara.

The Hukum Kanun Lingga is a legal manuscript that was formerly employed by the Muslim community in Sarawak and possesses substantial historical and cultural value. The objective of this study is to examine the Islamic trade regulations outlined in the Hukum Kanun Lingga. The content analysis method was employed, utilising ATLAS.ti to identify and classify the Islamic legal text contained therein. The study’s findings demonstrate that the Hukum Kanun Lingga encompasses a range of Islamic commercial norms, such as those pertaining to transactions, collateralised lending, profit-sharing agreements, debt, safekeeping and among others. Additionally, the study reveals throughout the historical period, the Muslim population in Sarawak had incorporated Shariah concepts into their everyday routines, along with the progression of Islamic law in the area. Conclusively, the Hukum Kanun Lingga is a significant historical document in the realm of Islamic law in Sarawak. Furthermore, it serves as an undeniable proof of the implementation and endorsement of Islamic commercial law by the Malay Muslim population in the region. This approach elucidates the adaptation and implementation of Islamic principles within the local context, offering a fresh perspective on the historical development of Islamic law in Sarawak. This study is also crucial for gaining a more comprehensive and profound comprehension of the historical development of Islamic law in Southeast Asia.

Beyond Charity

Nur Atika Atan — 2024-12-01

Waqf and social-based healthcare institutions have existed for more than 150 years and were derived from the social economy concept, which emphasises social innovation in the economy. While Muslims are well-known for developing waqf, other religions, particularly Christianity, used philanthropic methods to create a diverse range of institutions that benefit the community. However, the three distinctive features prescribed by the Shariah law to prevent waqf assets from being sold or transferred to other parties have distinguished waqf from other institutions. The abundance of challenges in the economic and health sectors has threatened the sustainability of waqf and other social-based healthcare. Thus, this research aims to explore the philosophies underlying the establishment of each waqf and social-based healthcare institution through a qualitative methodology involving an in-depth investigation. Six of the fifteen identified waqf and social-based healthcare institutions participated in the interviews, and the transcripts were then analysed inductively using the NVivo software. Each code and theme produced is based on the conceptual framework that has been formed. The themes were compared to observe the similarities and differences in terms of the institutions’ background and philosophy of the establishment. The findings of this research reveal that despite the crucial roles of waqf healthcare institutions, the fact remains that they are still far behind in fulfilling the healthcare needs of the Muslim community. Meanwhile, the analysis of the institutions’ background philosophy revealed that the establishment of waqf and social-based healthcare is motivated by religion.

Climate Risk Preparedness

Harmanizam Mohamad Istihar — 2024-12-01

This study explores the readiness of takaful operators in Malaysia and investigates the challenges and opportunities associated with incorporating climate parameters into their existing risk management frameworks. Survey findings indicate a widespread recognition among respondents of the importance of climate risk assessment for takaful operations while revealing a neutral stance on the efficacy of current risk management strategies in addressing unforeseen climate-related risks. Critical impediments identified include internal data deficiencies, skills gaps within the workforce, and regulatory constraints concerning climate risk adaptation. In addition, respondents notably favour direct climate-specific metrics, such as flood models and rainfall intensity, for quantifying climate impacts. These results underscore the pressing need for Malaysian takaful operators to integrate climate risk parameters into their frameworks, reflecting an increasing acknowledgment of climate-related financial risks. Recommendations include enhancing data collection and analysis capabilities, bolstering workforce proficiency in climate risk assessment, and fostering partnerships to innovate risk management tools and practices. The study holds significant implications for policymakers and stakeholders seeking to fortify resilience and sustainability within the takaful industry amidst evolving climate dynamics.

Islamic Hedging in the Perspective of Maqasid Shariah ‘Abd al-Majid al-Najjar

Ahmad Syaichoni — 2024-12-01

This study aims to explore the effectiveness of Islamic hedging products in contributing to the Islamic financial industry in Indonesia, particularly in realising the Maqasid Shariah objectives according to ‘Abd al-Majid al-Najjar. Islamic hedging is generally perceived as an instrument designed to protect the business sector from risks, which aligns with Islamic derivatives’ primary objectives. However, the findings of this study reveal that Islamic hedging activities are unable to provide protection for social behaviour and maintain assets against the risks faced by business actors in the Indonesian financial sector. To ensure a fair analysis of these findings, several contributing factors should be further investigated. For instance, there may be a mismatch between the objectives of Islamic hedging and the broader Maqasid Shariah framework established by ‘Abd al-Majid al-Najjar, as the financial-driven nature of Islamic hedging may lack a focus on social aspects. Hence, this study contributes to the existing literature by highlighting the limitations of Islamic hedging in achieving Maqasid Shariah objectives within Indonesia’s Islamic financial sector.