Financing the Development of Old Waqf Properties

Abstract

The institution of waqf is one of the redistributive institutions that played a signifi cant socioeconomic role throughout Islamic history, from the time of the Prophet (Pbuh) until the end of the nineteenth century. Historically speaking, the institution of waqf played a great role in fi nancing almost all services needed in the Islamic world, such as the agricultural and the industrial sectors, the education and the health sectors, basic infrastructure and transportation facilities, besides enhancing business activities by mak- ing young entrepreneurs. However, from the beginning of the twentieth century, this institu- tion faced many social and political challenges that led to its destruc- tion towards the end of the Ottoman Empire. Since then, the institution became idle and unproductive in almost all Muslim countries, which trans- lated into a negative socioeconomic impact in Muslim societies within the past century. Due to societal challenges, such as widespread poverty, lack of education and good health care, lack of quality shelter and employment for the majority of Muslims in different Muslim societies, it has been real- ized that there is a need to revive the institution of waqf to be a contribu- tory factor towards solving many of these problems. Hence, within the last three decades, we have seen an optimized approach in galvanizing its socioeconomic role through the adoption of fl exible shari’ah measures as