Minister of Religious Affairs Invites Economists to Collaborate on Strengthening Religious Fund Management Governance
Jakarta – Indonesia’s Minister of Religious Affairs Nasaruddin Umar has called upon Islamic economic experts and practitioners to work collaboratively with the government in transforming the management of religious community funds, including zakat (obligatory alms), infak (voluntary donations), waqf (religious endowments), and sadaqah (charitable giving).
“We require input and specialised assistance from experts outside the ministry in a professional capacity, both theoretically and practically. This is of vital importance, therefore, let us together provide strategic content on this matter,” stated the Minister during remarks delivered in Jakarta on Monday.
The Minister made these comments whilst delivering an address at the 22nd Anniversary Celebration of the Association of Islamic Economists (IAEI) Indonesia and an Islamic Economic Stakeholders Gathering in Jakarta.
Nasaruddin Umar emphasised that the Ministry of Religious Affairs requires fresh perspectives and professional expertise from external parties to strengthen credible Islamic economic governance.
According to him, one crucial point concerns the Government’s plan to establish a Religious Fund Management Institution (LPDU). He has set a target to intensify formulation and concrete proposals regarding the LPDU, particularly during the Ramadan period.
The Grand Imam of Istiqlal Mosque stressed that each step to strengthen this economy must remain within the framework of applicable law, particularly in accordance with the mandate of Article 33 of the 1945 Constitution.
In efforts to promote the nation’s economic advancement, he reflected upon the principles of economics during the time of Prophet Muhammad. He outlined that security stability is a key factor for economic growth.
“The economy requires a sense of security. The Prophet set an example—trade can only flourish when there is stability, so a ceasefire must take priority. We must not damage resources such as crops or people’s industries. The essence of Islamic economics is sustainability without usury and without hoarding practices,” he said.
Furthermore, the Minister issued an important note that Islamic economic thinkers must not lose their identity. He cautioned against becoming trapped in excessively rational-liberal thinking without strong theological foundations.
“I urge that our ideas not be separated from verses, hadith, and classical Islamic texts as legitimation. We must possess deep Islamic knowledge so that we are not called liberal,” he stated.