- Indonesia aims to become a global hub of the Islamic economy, but human resource quality remains a key challenge across real, financial, and social sectors.
- Prof Irfan Syauqi Beik emphasizes the need for skilled, ethical professionals in halal industries, Islamic finance, and productive management of zakat and waqf assets.
- A 'triple helix' approach linking academia, industry, and government along with innovation and practical education, is crucial for Indonesia to lead the global Islamic economy.
Indonesia holds enormous potential to become the global hub of the Islamic economy, yet this promise has yet to be fully realized, largely due to challenges in human resource quality. Prof Irfan Syauqi Beik, the Dean of the Faculty of Economics and Management at IPB University and Vice Chairman of IAEI, explained that the Islamic economy relies on three main pillars: the real sector, the financial sector, and the social sector. Each of these pillars, he emphasized, requires highly skilled and ethical human resources to drive sustainable growth.
In the real sector, which includes the halal food industry, tourism, and fashion, a significant workforce gap remains. Despite the booming demand, the number of experts available to meet industrial needs is still insufficient. “The halal industry is growing rapidly, but we need human resources who are prepared to step into specialized roles”, he said, highlighting how critical it is for education to align with market demands.
Meanwhile, the Islamic financial sector continues to face challenges as well. A large portion of the workforce around 60 percent comes from general economics backgrounds rather than specialized Islamic economics programs. This mismatch affects competitiveness, leaving graduates of Islamic economics programs with a difficult path to meet industry expectations.
Prof Irfan stressed that producing competent graduates is not just a matter of quantity but quality. While Indonesia boasts nearly 1,000 Islamic economics study programs the highest in the world the focus must shift toward cultivating ethical mindsets and practical skills that bridge academic theory and real-world application.
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The social sector, particularly zakat and waqf, also has untapped potential. Currently, only about 9 percent of waqf assets are productive, yet these funds could provide extraordinary support for social and economic development if managed effectively. Prof Irfan pointed out that without innovation in management and strategy, this sector will continue to underperform despite its potential to transform communities and finance key initiatives.
To address these challenges, Prof Irfan advocates for a 'triple helix' approach, in which academia, industry, and government collaborate closely. He believes universities should evolve into centers of innovation, public literacy, and research that directly influences national policies. “Universities must not only teach but also generate solutions that impact society and support national development goals”, he said.
Indonesia has already made strides in research-based innovation. Models like blended finance for cash waqf linked to sukuk showcase the country’s ability to combine Islamic principles with modern financial tools. Prof Irfan is optimistic that with supportive regulations and effective cross-ministerial coordination, Indonesia can take a leading role in the global halal market, which is currently dominated by non-Muslim countries.
“By strengthening competent and resilient human resources, Indonesia has the potential not just to participate in the global Islamic economy but to become its epicenter”, he concluded. The path forward requires consolidation, innovation, and collaboration, but with the right strategies, the nation’s vision of becoming the heart of the Islamic economy is within reach. This approach highlights how education, when combined with ethical training and practical experience, can transform Indonesia’s human capital into a driving force for economic growth and global leadership.
