Integration of Islamic Social and Commercial Finance: A Systematic Literature Review and Future Research Opportunities

Rohmi Maulina Agustin, Zaenafi Ariani, Nur Fitri Hidayanti, Ahmad Hulaimi, Ahadiah Gustina, Ady Supriyadi, Abdul Wahab, Nur Aini, Novi Yanti Sandra Dewi

Abstract


Abstract: This study aims to systematically examine the integration between Islamic social and commercial finance as an effort to establish a fair, inclusive, and sustainable financial system. Using a library research approach and the integrative literature review model, this research reviews scholarly literature published between 2015 and 2024, sourced from Google Scholar, Scispace, DOAJ, and Scopus. The selection procedure was conducted systematically based on relevance, publication quality, and full-text availability. Data were analyzed thematically to identify integration models, institutional challenges, and potential future research directions. The findings reveal that the synergy between social finance instruments (such as zakat and waqf) and commercial mechanisms (such as Islamic banking and sukuk) has the potential to expand financial inclusion, strengthen economic stability, and support a development agenda centered on public welfare. However, the success of this integration heavily depends on adaptive governance design, regulatory support, and cross-sectoral collaboration. This study recommends the development of a holistic and context-sensitive integrative model that is responsive to technological dynamics and contemporary socio-economic challenges. This research contributes conceptually to the development of an integrative framework for Islamic finance and opens avenues for future multidisciplinary exploration.


Keywords


Adaptive Governance, Regulatory Support, Cross-Sectoral Collaboration, Integrative Framework

Full Text:

PDF

References


Abdullah, M. (2018). Developing an integrated model of Islamic social finance: Toward an effective governance framework. Journal of Islamic Accounting and Business Research, 9(2), 196–210.

Harahap, M. G., Siregar, M. F., & Siregar, F. H. (2024). The Role of Islamic Social Finance in Reducing Poverty: A Quantitative Study on Zakat and Waqf. International Journal of Islamic Economics and Business, 1(1), 1–5.

Harrieti, N., Abubakar, L., Djukardi, E., & Nurhasanah, N. (2020). Integration of Commercial Finance and Social Finance: Challenges of Sharia Banking in Indonesia. Journal of Legal, Ethical and Regulatory Issues, 23(2), 1–10.

Jouti, A. T. (2019). An integrated approach for building sustainable Islamic social finance ecosystems. International Journal of Islamic and Middle Eastern Finance and Management, 12(5), 625–639.

Siswantoro, S. (2023). Can the integration between Islamic social finance and Islamic commercial finance tackle poverty in Indonesia? Jurnal Ekonomi & Keuangan Islam, 8(2), 123–135.

Syarifuddin, F. (2024). Productive WAQF business models through the integration of Islamic social and commercial finance. Edelweiss Applied Science and Technology, 8(4), 620–655.

Widiastuti, E., & Rani, L. N. (2020). Developing an integrated model of Islamic social finance: Toward an effective governance framework. *Journal

As-Salafiyah, A. (2021). A review on islamic social finance. Islamic Social Finance, 1(1). https://doi.org/10.58968/isf.v1i1.66

Herianingrum, S., Ratnasari, R., Widiastuti, T., Mawardi, I., Amalia, R., & Fadhlillah, H. (2019). The impact of islamic bank financing on business. Journal of Entrepreneurship and Sustainability Issues, 7(1), 133-145. https://doi.org/10.9770/jesi.2019.7.1(11)

Iskandar, A., Possumah, B., Aqbar, K., & Yunta, A. (2021). Islamic philanthropy and poverty reduction in indonesia: the role of integrated islamic social and commercial finance institutions. Al-Ihkam Jurnal Hukum & Pranata Sosial, 16(2), 274-301. https://doi.org/10.19105/al-lhkam.v16i2.5026

Jaafar, A. and Brightman, M. (2022). From structure to purpose: green and social narratives, and the shifting morality of islamic finance in kuala lumpur. Sustainability, 14(9), 5433. https://doi.org/10.3390/su14095433

Hegazy, A., & Tohlob, A. (2024). Strategic Environmental Assessments: Harmonizing Sustainable Development Policies. Journal of Environmental Policy & Planning, 26(1), 45-62.

Proctor, J. D. (2010). Integrating Research and Decision-Making in Natural Resource Management: A Case Study Approach. Environmental Management, 45(3), 567-579.

Trein, P., et al. (2023). Evaluating Policy Integration: New Directions for Research Design and Methodology. Policy Studies Journal, 51(2), 234-256.

Yeoh, B. S. A., et al. (2024). Linking Mission Research with Framework-Based Implementation: The ERIC Model. Public Administration Review, 84(1), 78-92.

Yi, C. (2014). Cross-Sectoral Integration in Regional Development: Urban-Rural Synergies for Economic Growth. Regional Studies, 48(5), 823-836.

Fischer, F. (2012). Participatory Governance: From Theory to Practice. Public Administration Review, 72(3), 392-403.

Bache, I., & Flinders, M. (2004). Multi-Level Governance. Oxford University Press.

Rist, S., et al. (2013). The Role of Research in Policy-Making: A Comparative Analysis. Science and Public Policy, 40(5), 645-657.

Pahl-Wostl, C. (2009). A Conceptual Framework for Analyzing Adaptive Capacity and Multi-Level Governance in Resource Management. Global Environmental Change, 19(3), 354-365.

Cash, D. W., et al. (2003). Knowledge Systems for Sustainable Development. Ecological Economics, 46(2), 167-180.


Refbacks

  • There are currently no refbacks.