THE EFFECT ON SOCIO-ECONOMIC DEVELOPMENT OF AWQAF PROPERTIES INVESTMENT FUND IN SOMALIA

Abstract

This study examines the role of the Awqaf Properties Investment Fund (APIF) in shaping socio-economic development in Somalia through the lens of international cooperation and Islamic political economy. Utilizing a qualitative case study approach and secondary data analysis, the research highlights how APIF, facilitated by multilateral institutions like the Islamic Development Bank (IsDB), serves as a strategic instrument of international development. The findings demonstrate that APIF not only supports small-scale organizations in high-risk areas but also strengthens transnational economic ties by integrating Islamic financial mechanisms into global development frameworks. The primary contribution of this study to the existing body of knowledge in this field is its demonstration of the potential for Islamic finance, particularly the waqf-based initiatives it examined, to function as an alternative paradigm within the broader context of the international political economy, offering a sustainable and cooperative approach to fostering economic resilience. The insights derived from this study underscore the increasing relevance of Islamic financial instruments, such as waqf, in achieving Sustainable Development Goals and in advancing international development strategies.