Contractual-based Islamic crowdfunding model for sustainable agricultural financing

Rizal Fahlevi, Muhammad Nadratuzzaman Hosen, Euis Amalia — Thu, 22 Jan 2026 00:00:00 +0000

Purpose – This study develops a Sharia-compliant crowdfunding model based on digital technology that integrates four principal contracts in Islamic jurisprudence (salam, istisna’, muzara’ah, and musaqah) to enhance the relevance and effectiveness of agricultural financing in Indonesia.
Methodology – Using a qualitative exploratory approach, we combine relevant literature and content analyses of agricultural crowdfunding campaigns. The model’s internal validity is reinforced through triangulation involving Islamic legal theory, and nationally recognized Sharia regulatory guidelines issued by the Indonesian National Sharia Council (DSN-MUI). Empirical campaign data. were obtained from 15 agricultural crowdfunding campaigns published during 2021-2024 period and validated through thematic analysis and triangulation across documents and campaign reports.
Findings – The findings reveal that most existing campaigns rely on single contracts, such as salam or murabahah, which are inadequate for the seasonal and high-risk nature of agriculture. The proposed multi-contract model offers a more equitable and Sharia-aligned financing framework that accommodates joint risk sharing and production-based returns. Furthermore, digital integration allows for the development of more inclusive, adaptive, and dynamic contracts.
Implications – Theoretically, this study contributes to the Islamic finance literature by introducing a risk-sharing, partnership-oriented financing framework tailored to the agricultural sector. Practically, the model provides actionable insights for Sharia-compliant crowdfunding platforms and financial regulators to promote inclusive and sustainable agricultural finance.
Originality – This study contributes to the literature by proposing a conceptual model of multi-contract agricultural crowdfunding, a novel approach that bridges normative Sharia principles with empirical evidence in the context of Islamic digital financial innovation.

Does effective governance matter for Islamic social finance? Evidence from mosques in Yogyakarta

Thu, 22 Jan 2026 00:00:00 +0000

Purpose – This paper examines how effective governance influences Islamic social finance management, using mosques in Yogyakarta as a case study during and after the Covid-19 crisis.
Methodology – This study employs a survey with a sample of 360 mosques in Yogyakarta using a quantitative approach with ordinary least squares (OLS) and logit regression models.
Findings – The findings indicate that an increase in the effective governance index score has a positive and significant effect on the fundraising index and zakat distribution, resulting in increases of 0.14 standard deviations and 6.5 percent, respectively. Furthermore, effective governance had a positive and significant effect on the probability of mosques having a financial management system, with a marginal effect of 7.3 poin percentage.
Implication – The government should offer financial management training and support the digitalization of reporting systems as a means of strengthening mosque governance.
Limitations – First, the data used were cross-sectional, which may restrict researchers' ability to identify long-term causal relationships. Second, despite efforts to address endogeneity using several variables, the instruments are theoretically valid but statistically insignificant.
Original – This study is the first to present micro-level empirical evidence from mosques in Yogyakarta, an area that has rarely been explored in Islamic financial governance literature. Furthermore, we used a multidimensional effective governance index that ranges from 0 to 1. The index was then standardized using a z-score to ensure comparability and balance across mosques.

Jurnal Ekonomi & Keuangan Islam

Contractual-based Islamic crowdfunding model for sustainable agricultural financing

Does effective governance matter for Islamic social finance? Evidence from mosques in Yogyakarta