Moving Ijtihad and Tajdid on Amal USAha Muhammadiyah (Aum) in Building the Civilization of Islamic Economy

Muhammadiyah declares that the gate of ijtihad (reasoning) and tajdid (modernization) were being yet continued. Ijtihad was the base core to establish the main character of Muhammadiyah as a Modern Islamic Modernization Movement. Then, the establishment on tajdid (modernization) grows as a motor to improve the system of its movement on finding the solution to ideology problem, politic, business, social, cultural, and defence. Muhammadiyah, which the first time moved on social-religious track, was still upbringing to comprehend and rolling in the progressivity of Moslem society as in the case Indonesia. By ijtihad (reasoning) and tajdid (modernization), the role-model of Muhammadiyah as a social-religious movement grows its root on business practice. The Council of Business and Enterpreneurship (MEK) of Muhammadiyah schedules on developing the House for Charity of Muhammadiyah (AUM). Dawam Rahardjo (2000) confirms, a large number of member and institution will represent as a comparative advantage capital resources to the movement of Muhammadiyah. Those resources orchestrate Muhammadiyah as an organization which is not only moves on social-education-and-religious practices, but as well in business and finance. At least, there are two reasons why Muhammadiyah rolls in business practice. Firstly, Muhammadiyah perform to roll in this business merit by the image of intechangible advantages to other charities: as well as schools, hospitals or religious calls. Secondly, Muhammadiyah sustains a potential power to organize those. That is supported by the fact that there are many beureucrates possess in higher structural of Muhammadiyah, the large number of human resources out-put by Muhammadiyah schools, the enterpreneurs possessions, and large number of its members. This paper researches the Muhammadiyah-Nomic, the contribution of ijtihad and tajdid on Charitable Enterprises of Muhammadiyah (AUM) in building the civilization of Islamic economy.


organization which is not only moves on social-education-and-religious SUDFWLFHV EXW DV ZHOO LQ EXVLQHVV DQG ÀQDQFH $W OHDVW WKHUH DUH two reasons why Muhammadiyah rolls in business practice. Firstly,
Muhammadiyah perform to roll in this business merit by the image of intechangible advantages to other charities: as well as schools, hospitals or religious calls. Secondly, Muhammadiyah sustains a potential power to organize those. That is supported by the fact that there are many beureucrates possess in higher structural of Muhammadiyah, the large number of human resources out-put by Muhammadiyah schools, the enterpreneurs possessions, and large number of its members. This paper researches the Muhammadiyah-Nomic, the contribution of ijtihad and tajdid on Charitable Enterprises of Muhammadiyah (AUM) Rahardjo (2000) mengungkapkan, anggota yang besar dan lembaga yang banyak jumlahnya dapat dipandang sebagai modal atau sumber daya yang merupakan comparative advantage bagi pergerakan Muhammadiyah. Muhammadiyah determines that the gate of ijtihad always opens and it is never closed. Ittiba' and ijtihad are such two important elements that become fundamentall chacarter of Muhammadiyah is being tajdid movement. 3 At ÀUVW 0XKDPPDGL\DK LV VXFK D VRFLDO PRYHPHQW ZKLFK NHHSV doing comprehensive efforts to give the big contribution for the moslem society particularly indonesian. Mitsuo Nakamura says that, since its establishment the Muhammadiyah has positive contributionm, the most prominent is as the movement of civil society. First, Muhammadiyah created the unity and lodge of nations through building and developing the existence of the Republic of Indonesia since its establishment. Second, Muhammadiyah is the container that was instrumental in developing the initiative citizens independently. 4 In the line of ijtihad and tajdid, Muhammadiyah as a religious social movements gained root movements on the space economy. The Assembly's Economic and Entrepreneurship (MEK) Muhammadiyah has focused the agenda on the development of Charity Efforts Muhammadiyah (AUM). Dawam Rahardjo offers, a member of the large institutions which has much amount can be considered as capital or resources that constitute the comparative advantage to the movement of Muhammadiyah. The resources have pushed the movement of Muhammadiyah, thosemovements Moving Ijtihad And Tajdid On Amal Usaha Muhammadiyah (AUM)...
are not only such a social-educational-religious, but also as economic and business movement. 5 Moreover, the goals of Muhammadiyah in building "The Grand Communities", it seems indispensable to economic development. 6  Reffering to the some cases above, Muhammadiyah also has vision of social welfare charity, that is "building people who embody the ideals of the ukhuwwah (fraternity), h{ urriyyah (freedom), musa> wah (equation), and 'ada> lah (justice)". 8

B.
Tarjih of Islamic Economy in Muhammadiyah 1. 9 Muhammadiyah in carrying out the process of ijtihad and related tajdid Islamic economics as follows: Decision Legal Affairs Committee on "The Book of a.
Some Problems" No. 19 a and b; The decision of the Legal Affairs Committee in b.
Sidoarjo in 1968 on the subject of the bank, particularly the number 4 that suggest to PP Muhammadiyah to seek the realization of the conception of the economic system, especially the banking institutions in accordance with Islamic qaida'; The decision Wiradesa Legal Affairs in 1972 on Banking c.
no. 1 mandated the PP Muhammadiyah to soon be able to meet Congress's decision in Sidoarjo 1968 Legal Affairs on the realization of the conception of the economic system, especially the banking institutions in accordance with Islamic qaida'; Decision Tarjih in Malang in 1989; d.

Economy Tajdidin Muhammadiyah 2.
Then the Legal Affairs Committee and the Central Executive Tajdid Muhammadiyah decided fatwa: 10 Islamic Economics is an economic system based a.
on sharia values which include fairness, honesty, interest-free, and is committed to improve the common welfare; For the enforcement of Islamic economics, Islamic b. missionary movement Muhammadiyah as enjoining good and forbidding wrong and tajdid, need to be actively involved in developing and advocating Islamic economy within the framework of the public welfare; Interest is riba because: (1) it is in addition upon the c.
principal capital lent, when God said, "And if you repent (of taking usury), then before you staple your treasure"; (2) additional binding and exchanged whereas that is voluntarily and not enforced by not including the riba; Economic Sharia asked to increase the income such as d.
Sharia The Contribution of Ijtihad and Tajdid toward 3.

AUM in Building the Civilization of Islamic Economy
In the beginning, Muhammadiyah was mostly driven by merchants of batik in Yogyakarta, it looks at the early period of the founding of the Muhammadiyah members composition is dominated by those who had behind it the merchants (Syafrudin Anhar). The membership data in 1916, listed as the following: merchants 47,0% self-HPSOR\HG HPSOR\HHV RIÀFLDO SULYDWH VFKRODUV 10,7%, 8,7%, labour journalist and 0,7%. At that time, the development of the Muhammadiyah developed due to the interaction of batik traders have a plot, then proponents of Muhammadiyah do Da'wah and relation as in Pekalongan, Pekajangan, Solo, Kotagede (Yogyakarta), Minangkabau, and recently it was developed in the area of entrepreneurship (merchants) of Muhammadiyah is not a little. 12 Muhammadiyah relation with economic activity provides some notes that: First, Muhammadiyah realizes the importance of unity of self-reliance because it is not part of the state while avoiding dependence on the efforts of others. Second HFRQRPLF DFWLYLW\ VXIÀFLHQW LQWHUQDO G\QDPLFO\ enough among Muhammadiyah shows that Muhammadiyah is still dominated by the urban middle class that is relatively stable in economic activity. Thirdly, some economic activities, such as banks, treasury, actually since the beginning has been initiated and the agenda in economics Muhammadiyah, but not enough to be a record. This important to continue to evaluate and seek new models of articulation of 0XKDPPDGL\DK LQ WKH HFRQRPLF ÀHOG 13 In an interview with Dr. Abdul Mu'ti, M.Ed., the secretary of Muhammadiyah stated that, "Muhammadiyah is clearly going to continue to deal with the state. If there are organizations that do not intersect with the government as possible during the preaching only to invite people to pray alone. But we know that Muhammadiyah has Hospitals, 12 Syafrudin Anhar, "Revitalisasi Gerakan Ekonomi di Muhammadiyah", Paper Seminar Pra Muktamar in UAD Yogyakarta, 2010.
13 Majelis Diktilitbang and LPI PP Muhammadiyah, 1 Abad Muhammadiyah: Gagasan Pembaharuan Sosial Keagamaan (Jakara: Kompas, 2010), p. 242. educational institutions, charitable efforts of others so that it will always intersect." 14 Muhammadiyah established a large number of schools, teacher education and has publications and activities related to social welfare. Muhammadiyah schools have helped educating Indonesian nationalists, and its activities against the development of communism and radical secularism. Muhammadiyah continues to serve actively associations in WKH ÀHOG RI HGXFDWLRQ DQG VRFLR FXOWXUDO ZKROH WKH HUD LQ cathcing the independence. 15 Besides, Abdul Mu'ti also said, "We bought the land and buildings in Cairo Egypt to be a branch of Muhammadiyah. It is not for showing, but this is our expansion into the International. Now the Sharing Economy era, no longer own economy, this Muhammadiyah's Charity Effort to unify, then it doesn not enrich themselves. We have proved unable to fund the construction of the hospital with money from BMT worth 26 billions. We will build the Muhammadiyah University International, the tallest building in Jakarta. So if Mr. Haidar want to go to the nearest helicopter. We must jump and in the end it's a matter of time. The university of Muhammadiyah Metro is great and we should be aware of all the potential for greatness. So Muhammadiyah future must have a big dream. We must do is we must have the greatness together, not just the individual greatness." According to Dawam Rahardjo, there are three reasons that make the Muhammadiyah to involve themselves directly in the thought and movement of people empowerement. generally engaged in small industry and handicraft as a result of industrialization and development policies of the new order that is causing the marginalization of small businesses. Secondly WKH LQÁXHQFH JDLW QRQ JRYHUQPHQWDO RUJDQL]DWLRQV (NGOs) which, among other activities fostering of small and informal sector. Third, the birth of Muhammadiyah generation of professionals in the environment thanks to advances in education, which are active in NGOs or bureaucrats involved in the development program. 16 Muhammadiyah has seriously in strengthening the local economy also began to involve entrepreneurs nonnative (China). Lukman Harun (Deputy Chairman of PP Muhammadiyah), in a discussion on May 13, 1990 at Hotel Sahid Jakarta, stated that Muhammadiyah needs to learn a lot of Chinese friends who were in Indonesia. According to Lukman Harun, assimilation is not an issue for Muhammadiyah. 17 The Muhammadiyah. Secondly, the resources of the charity efforts of Muhammadiyah. Third, network of Muhammadiyah. The sstablishment of MEK is the result of the process of ijtihad and tajdid economic thinking which leads to empowerment of AUM which focus more on the economic movement of Islam. The strategic role of MEK is how recently it was able to unearth and harness the economic potential that exists in Muhammadiyah.
The process of ijtihad and tajdid always will be continued by Muhammadiyah and will not stop here, so that efforts to improve the professionalism of the economic movement. Muhammadiyah has started to build the movement is no longer charitable social enterprises by establishing charitable religious but economic enterprises. And educational institutions should be resources to build human understanding of Islamic economics.
So it is very clear that ijtihad and tajdid in 0XKDPPDGL\DK LV YHU\ LQÁXHQWLDO LQ WKH GHYHORSPHQW RI Islamic Economics characterized by AUM. In Decision 1968 Tarjih Sidoarjo decided that: Riba is haram, with nash sharih Qur'an and Sunnah; a. Bank with usury system is haram and banks without b. usury lawfull; The interest granted by the state-owned bank to its c.
customers or vice versa so far applicable, including the case mutashabihat; Suggest to the PP Muhammadiyah to seek the realization of the conception of the economic system in particular banking institution according to the rules of Islam. 19 The working meeting of Muhammadiyah Economic Assembly II in 1989 in Ciawi, 20 GHFLGHG LQ WKH ÀHOGV RI banking, among others, continue the program of formation of BPR, with target in 1990 formed fruit 100 BPR, and every wiliyah there is a minimum of 1 RB. Its realization of combined teams of economic Assembly of PP 0XKDPPDGL\DK RQ -DQXDU\ DW WKH +RWHO 6DUL 3DFLÀF Jakarta, 21 decided among other things: Approve the establishment of the Foundation a.
or Institution (Legal) Banking and Financial Development; BPR (conventional) Ciputat named PT BPR Sun b.
Arthadaya is a pilot project. 22 Interview with Muhammad Ridwan, SE, M.Ag., Economic Council Chairman and Entrepreneurship Regional Chairman of Muhammadiyah (PWM) Special Region of Yogyakarta (DIY), 23 ijtihad in Muhammadiyah more praxis LQ WKH ÀHOG RI HFRQRPLFV WKDW 0XKDPPDGL\DK LV WKH OHDGLQJ sector in terms of economic development. Tajdid after one century of Muhammadiyah in the movement to 4 after the education, health, and the orphanage is the economy. 6SHFLÀFDOO\ <RJ\DNDUWD 0XKDPPDGL\DK ([HFXWLYH Board continues to seek to build up the spirit in which the renewal movement Muhammadiyah is mandatory to answer the challenges of the times. The right momentum and this century to make the post-war movement Muhammadiyah started to rethink economic independence has ever been successful in the K.H. Ahmad Dahlan.
Interview with Iwa Khairuttaqwa, S.Th.I. as the Manager of the BTM Umbulharjo, Yogyakarta. 24 According to Iwa, the process of ijtihad and tajdid economy in Muhammadiyah is a response of the Da'wah of Islam teaches that in Muhammadiyah not only tablig assemblies but also about economic teachings of Islam which has a clearer concept.
One of the tajdids in the economy in Muhammadiyah is by establishing BTM and PP Muhammadiyah decision very clearly how each PCM stands one BTM or BMT Muhammadiyah. Iwa added that ijtihad and tajdid very LQÁXHQWLDO EHFDXVH 0XKDPPDGL\DK LV D ODUJH RUJDQL]DWLRQ that structured so that when there is a decision of the centre on the lower level sami'na wa at} a'na (we hear and we obey).
Muhammadiyah with the national network will be easy to give effect in the form of policies such as the establishment of BTM and BMT Muhammadiyah. The role of the Economic Council and Entrepreneurship is important to build strategic steps in which the grassroots level (grassroots) easy to run more programs simultaneously economy.
The level of Muhammadiyah's administrators understanding about the Islamic economic have been growing well and need to be upgraded to the citizens of Muhammadiyah. Muhammadiyah is very important to master the economy. K.H. Ahmad Dahlan teaches us all how to pay attention to the social side with he initiated building up education and health. So that is how the Da'wah tajdid economy needs to continue to be built as concrete evidence that Islam is a religion that kaffah (comprehensive). If Muhammadiyah does not call in economic means Da'wah Muhammadiyah incomplete yet thorough (syumu> l).
The Ijtihad and tajdid Muhammadiyah always based from the Qur'an and the Sunnah. But in terms of the implementation is not necessarily relevant to practice. As an example in terms of opinion of the covenants, and riba which Muhammadiyah in agreement. However during these campuses do not run in accordance with Muhammadiyah fatwa haram the riba. Examples of Muhammadiyah University of Yogyakarta (UMY) and Ahmad Dahlan University (UAD) are teaming up with conventional banks. This makes the Muhammadiyah in charity business education is not consistently running the covenants, and usury. It is also possible this is due to their historical relationship that has long partnership.
Interview with Hadi Supono, 27 Chairman of the Executive Board and BTM Assembly Economic and entrepreneurial PCM Limestone and Vice Chairman of the PDM MEK Sleman. The charitable efforts of Muhammadiyah PDM and PCM Limestone managed with various efforts. The citizens of Muhammadiyah Limestone in Sleman is very focused raising AUM Limestone.
Ijtihad economy is everything that is done by 0XKDPPDGL\DK LQ RUGHU WR SURYLGH EHQHÀWV WR WKH SHRSOH ,Q the form of economic ijtihad establish economic enterprises to develop economic life at Muhammadiyah propaganda. In this Sleman PDM BTM establishs Limestone which has assets of 1,3 billion, Stores Building, Limestone Hospital, the Institute of Education, and others.
Muhammadiyah develops economy to really present in the community give the solution and peace together. With this economic PDM Sleman AUM could give scholarships from kindergarten to college. Giving aid to the poor, and do community economic empowerment.
Edy Suandi Hamid revealed several factors that strongly supported internally to build a business network and the economic power of Muhammadiyah. First, the presence of citizens and sympathizer of Muhammadiyah. Second, the Muhammadiyah has network organization from central level to twigs. Third, the existence of institutions of Muhammadiyah which spread in various corners of the ground water. Fourth, Muhammadiyah with various social activitiy is already known by the public at large. Fifth, most citizens of Muhammadiyah has been known as a businessman or a tough business. 28 Educational institutions from early childhood to university, hospital, foundation orphans, and in the economy VXFK DV ÀQDQFLDO LQVWLWXWLRQV 65% %07 VXSHUPDUNHW and other diverse in every area. In a special study Amal Economic Enterprises, the author examines the BTM and %07 LQ 0XKDPPDGL\DK WKH GHYHORSPHQW RI PLFURÀQDQFH institutions continue to increase the amount of time.