Determining the characteristics ofwaqf-based Islamic financial institution and proposing appropriate models for Indonesia

Purpose - This study aims to determine the characteristics ofwaqf-based Islamic financial institution (IFI) and subsequently propose somewaqf-based IFIs. Design/methodology/approach - This study uses the Delphi method, combined with the Likert scale, to determine and validate the agreed characteristics ofwaqf-based IFI models. Subsequently, based on the agreed characteristics, the authors proposewaqf-based IFI models. Findings - The results show that there are 28 important characteristics ofwaqf-based IFI, which respondents agree on 24 characteristics with significant Kendall’s concordance or rater agreement (W). The type ofwaqf-based IFI could be a bank, venture capital or cooperative; the business orientation should be a combination of commercial-social, and it could be implemented in the national, community or micro level. Based on the agreed characteristics, the authors propose severalwaqf-based IFI, including integrated commercial-socialwaqf-based bank, integrated commercial-socialwaqf-based venture capital and integrated commercial-socialwaqf-based cooperative. Research limitations/implications - Respondents of this study comprise experts and practitioners who reside in Indonesia so that the results of proposedwaqf-based IFIs are most suitable to be implemented in Indonesia. Practical implications - The conceptual framework and method used in this study could be applied to determine the characteristics ofwaqf-based IFI and propose the most suitablewaqf-based IFI models in other countries. Originality/value - This study starts with determining the essential characteristics ofwaqf-based IFI, which then be used to proposewaqf-based IFI models.