Accountability of Mosque Financial Management: A Case Study of Pangeran Diponegoro Mosque, Yogyakarta, Indonesia

Abstract

This study aims to describe how the Pangeran Diponegoro Mosque instituted open and accountable financial management related to the mosque’s activities. Specifically, this study aims to: (1) describe the forms of activity and financial reporting practiced at the mosque; and (2) analyze the extent to which these practises reflect principles of accountability and transparency for non-profit entities; and (3) identify supporting and constraining factors that shape accountability in reporting within a mosque funded by its community. The research employed a qualitative approach with a single-case study design, utilizing in-depth interviews with mosque administrators (takmir) and congregants/donors, in addition to an analysis of financial documents. Data analysis was conducted by adapting accountability and transparency indicators from previous studies. The results indicate that financial reporting is conducted regularly through simple cash reports, which include receipts, expenditures, and balances, along with occasional announcements to the congregation. This practice incorporates elements of accountability and transparency, as evidenced by periodic reports, deliberations, and informal disclosures. However, it lacks support from specific internal regulations, has never undergone third-party auditing, and does not leverage digital media platforms, such as Instagram, for disseminating financial information. Key supporting factors include the management's religious commitment, social closeness with the congregation, and the convenience of cashless donations via transfer/QR. Conversely, inhibiting factors involve the limited accounting skills of mosque committees and the absence of up-to-date operational guidelines from the Ministry of Religious Affairs regarding a practical reporting format for mosque financial management. This research provides input to the Ministry of Religious Affairs regarding the need to develop national guidelines for mosque financial reporting that are simpler, more uniform, and in accordance with Sharia principles. It also highlights the importance of improving basic financial reporting capacity at the mosque committee level to strengthen accountability and transparency across mosques in Indonesia.