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What is Wakaf?

Literally Wakaf means to stop, contain or to preserve. In shariah, a Wakaf (plural: awqaf) is a sadaqah jariyyah (recurring / ongoing charity), a voluntary charitable endowment, from one's personal belongings or wealth in the form of cash / property for shariah compliant causes.

Its purposes must be:

  • Pious

  • Religious

  • Charitable

Once it is dedicated as a Wakaf, the ownership of the asset is transferred to Allah S.W.T. allowing a perpetual use for charity.

What is a Wakif?

A Wakif is the Wakaf contributor.

If I have no money or assets to contribute now what are my other options?

You could be a potential Wakif through planned giving; by writing a will (wasiat) to bequeath your asset i.e.from the sale of your HDB flat after your demise.

However, if you have inheritor(s) or heir(s) to your assets, only up to 1/3 of your asset(s) are allowed to be bequeathed as a contribution. This is in accordance to the Islamic ruling of Faraidh.

How will donating to this fund be different from donating to other funds e.g. Dana Madrasah?

This is a Wakaf fund hence only the income can be disbursed. The capital will be kept in perpetuity therefore the income can continue as long as the Wakaf exists. In this sense the benefits from the donation will still accrue to the person even after his or her death (hereafter investments).

What is the rationale for having the Wakaf ?

There are 4 Key Drivers:

  1. To provide more sustainable forms of funding forIslamic Education
  2. To rekindle the spirit of Wakaf creation for our future Muslim community
  3. To give provide greater recognition & permanence to the inheritance donation channeled to Muis
  4. To enable the Muslim public to build a permanent Wakaf with a modest outlay