BRIDGING DIGITAL INNOVATION AND SOCIAL IMPACT: A MAQASID-CENTRIC GOVERNANCE FRAMEWORK FOR FINTECH SUKUK IN PROMOTING FINANCIAL INCLUSION

Abstract

The rapid digital transformation in Islamic finance has given rise to innovative FinTech-based sukuk models, including blockchain-structured sukuk and digital wakaf platforms. While these technological advancements promise greater efficiency and accessibility, a critical governance gap persists. Current Shariah oversight mechanisms remain largely reactive and compliance-focused, potentially undermining the social impact and inclusion objectives that FinTech innovations should serve. This research addresses this gap by developing and proposing a Maqasid-Centric Governance Framework for FinTech Sukuk—a novel approach that integrates classical Islamic jurisprudence with contemporary financial technology to optimize socio-economic impact. Employing a qualitative, library-based methodology, the study conducts a three-layered analysis: usuli examination of foundational Islamic principles; comparative analysis of classical commercial law from the Shafi'i and Hanbali schools; and critical evaluation of contemporary fatwas from AAOIFI, SAC Malaysia, and DSN-MUI on digital sukuk instruments. These layers are synthesized through an expanded Maqasid al-Shariah lens emphasizing financial inclusion, technological accessibility, and social equity. The study reveals that without substantive, purpose-driven governance, FinTech sukuk innovations risk becoming technologically advanced yet socially limited instruments. In response, it makes three primary contributions: first, by proposing a practical "Maqasid Governance Dashboard"—an evaluative tool enabling regulators and practitioners to assess both permissibility and social impact; second, by demonstrating how classical Islamic legal principles can constructively foster financial innovation; third, by providing evidence-based policy recommendations for enhancing financial inclusion through technologically-enabled Islamic social finance. This study’s tripartite analysis reveals that classical jurisprudential tools, particularly the Hanbali principle of sadd al-dhara’i’ (blocking the means), provide a robust yet underutilized mechanism for preempting digital exclusion and steering innovation towards substantive maqasid fulfillment. This research ultimately offers a pathway for FinTech sukuk to serve as genuine instruments of socio-economic transformation, directly addressing the SINERGY 2026 theme of "Multiparadigm Innovation for Economic, Social, and Cultural Transformation."