The Role and Innovation of the Joint Business Cooperative (KUB) in Enhancing the Economic Welfare of Fishing Communities from a Sharia Perspective

Abstract

Indonesia's abundant marine resources provide significant opportunities to improve the welfare of coastal communities. However, many traditional fishermen continue to experience economic hardship due to unstable incomes, limited access to capital, and dependence on informal financing. In response to these challenges, the Joint Business Cooperative (Koperasi Usaha Bersama/KUB) was established as a community-based cooperative operating under Islamic principles to support the economic development of fishing communities. This study aims to analyze the role and innovations of KUB in improving the economic welfare of fishermen from a Sharia perspective in Tajungrejo Hamlet, Pangkah Wetan Village, Ujungpangkah District, Gresik Regency. This research employed a qualitative descriptive approach. Primary data were collected through in-depth interviews, observations, and documentation involving cooperative managers, members, fishermen, community leaders, and Islamic scholars, while secondary data were obtained from cooperative documents and relevant literature. The data were analyzed using the interactive model of Miles, Huberman, and Saldaña, consisting of data reduction, data display, and conclusion drawing. The findings indicate that KUB plays a significant role in improving fishermen's economic conditions by providing affordable fishing equipment, interest-free installment financing, quality services, and managerial innovations, including workshop services and partnerships with external institutions. Furthermore, all cooperative activities were found to comply with Islamic principles by avoiding usury (usury), promoting fairness, and prioritizing community welfare. It can be concluded that KUB has successfully contributed to strengthening the economic resilience of fishermen while implementing Sharia-compliant business practices, making it a sustainable model for community economic empowerment in coastal areas.