Implementation Gaps in Sharia Audit for Strengthening Islamic Financial Governance in Indonesia

Abstract

This study aims to examine the sharia audit within the framework of Islamic financial governance and to identify existing implementation gaps in Indonesia through a literature review approach. The findings reveal that sharia audit serves a strategic role as an assurance mechanism, ensuring alignment between sharia principles and the operational practices of Islamic financial institutions. Nevertheless, its implementation remains constrained by several challenges, including the absence of fully integrated sharia audit standards, a shortage of qualified human resources, and the limited integration of audit functions within broader governance systems. Furthermore, variations in interpretation and institutional capacity contribute to inconsistencies in audit practices across institutions. Although international standards issued by the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) provide an important normative benchmark, their adoption within the Indonesian context remains suboptimal. Accordingly, strengthening sharia audit practices requires a comprehensive and systemic approach, encompassing regulatory harmonization, capacity building for human resources, and the development of more practical and applicable audit methodologies.