Takaful Funding for Waqf Investment and its Jurisdiction

Abstract

In this research, I focused on co-financing of the waqf and its investments as a formula to be used in the financing of waqf property, which enables the Waqf Foundation to play the developmental role that is expected of it. The study seeks to analyze the feasibility of these formulas and their usefulness in the financing process, so therefore I defined and indicated the funding in general and the mutual benefit in particular and I have achieved many results, including:

1- Takaful financing in this manner contributes to the provision of capital and is carried out in accordance with Sharia’s accepted methods that seek to achieve permissible returns. And to strengthen the financing capacity, for Waqf investments, and to collect additional financial resources for the Waqf projects, which helps to create new Waqfs.

1. 2. The Waqf contribution to the diversification of financial sources as one of the funding sources for the waqf itself. As the investments of Waqf funds play a major role in the overall development, as their revenues can be a source of financing.

3 - Waqf funds are a new technique for the development of funds and investment in accordance with Sharia which is without the excesses of riba, it is a form of group waqfs it includes a collection of small quotas, shares, inheritance and rights to serve charitable projects.

Recommendations:

1 - Encouraging research and studies that are interested in the field of Waqf, especially the ones regarding to contemporary trends in the development and financing of Waqf investments which aim to create a framework for the development of Waqf properties in modern ways in accordance with the Shariah guidelines.

2 - Establishment of a joint effort between the Islamic banks and the Ministry of Awqaf in order to develop the assets of the Waqf by funding each other in accordance with lawful means including the Hassan Loan.