https://e-journal.uac.ac.id/index.php/Mashrof/issue/feedAl-Mashrof (Journal Islamic Banking And Finance)2025-10-15T07:18:58+00:00Dr. Lu'lu' il Maknuun, S.E, M.Mluluilmaknuun92@gmail.comOpen Journal Systems<p>Al-Mashrof (<strong>Journal Islamic Banking and Finance</strong> ) is a scientific journal published by the Sharia Banking Study Program, Faculty of Sharia, KH Abdul Chalim University (UAC), Mojokerto. This journal is published periodically twice a year, in July and January. This journal aims to promote scientific research within the academic environment, exploring concepts of Islamic banking, Islamic finance, and their real-world applications. The topics discussed in this journal cover various important aspects of Islamic banking, such as Islamic monetary policy, Sharia financial regulations, risk management, Islamic finance innovations, and the role of technology in strengthening the Islamic financial industry. </p>https://e-journal.uac.ac.id/index.php/Mashrof/article/view/6976ISLAMIC MONETARY POLICY AND ISLAMIC FINANCIAL CONTRACT INNOVATION: AN ANALYSIS OF THE EFFECT ON ECONOMIC STABILITY AND BANKING COMPETITIVENESS2025-10-15T07:17:37+00:00Ariefah - Sundariariefah.sundari@unisda.ac.idKhotib .khotib@uinsa.ac.idSiti Lathifatus Sun’iyahsitilathifatus@gmail.com<p><em>This study examines the influence of Islamic monetary policy and Sharia financial contract innovations on economic stability and banking competitiveness, using cash waqf management by Mawar Cooperative (2017-2024) as a case study. The research employs a mixed-method approach, combining quantitative analysis of financial reports with qualitative interviews. Findings reveal that Islamic monetary principles (prohibition of riba, gharar) and innovative contracts (mudarabah, musharakah) enabled 18% annual asset growth while distributing IDR 1.51 billion to education, da'wah, and economic sectors. The study demonstrates how Sharia-compliant investment strategies enhance financial stability by linking waqf assets to productive sectors (35% allocated to MSMEs). However, challenges include limited financial literacy (only 30% beneficiaries understand the mechanism) and regulatory fragmentation. The research contributes to Islamic finance literature by providing empirical evidence of cash waqf's dual role in social finance and monetary stability, offering policymakers insights for strengthening Indonesia's Islamic financial ecosystem. </em></p>2025-10-15T07:13:09+00:00##submission.copyrightStatement##