FINANCIAL MANAGEMENT PRACTICES IN RELIGIOUS INSTITUTIONS: A NARRATIVE REVIEW OF MOSQUE-RELATED CASE STUDIES
Abstract
This study explores the financial management practices of mosques, focusing on the challenges and opportunities these institutions face in ensuring long-term financial sustainability. The research aims to identify the key financial mechanisms used by mosques, evaluate the effectiveness of traditional and modern financial practices, and propose strategies for improving financial stability. A narrative literature review was conducted using Scopus to examine relevant studies on mosque management, financial practices, and governance. The findings reveal that mosques primarily rely on voluntary donations, zakat, and sadaqah as their main sources of income, but face significant financial instability due to the unpredictability of these funds. Traditional Islamic financial mechanisms such as waqf offer potential for long-term sustainability but are underutilized due to administrative challenges and lack of awareness. The study also highlights the growing importance of integrating modern financial practices, such as digital payment systems and crowdfunding platforms, to increase transparency, enhance financial efficiency, and diversify income sources. Effective governance and community engagement are also identified as crucial elements for improving financial management in mosques. This study contributes to the existing literature by providing a comprehensive understanding of mosque financial management and proposing practical solutions for improving financial sustainability. The findings suggest that mosques must adopt a hybrid financial model that combines traditional Islamic principles with modern tools to ensure their long-term viability. Future research could focus on empirical studies to assess the effectiveness of these strategies in diverse mosque settings.
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