This document defines waqf and outlines its key principles and rules according to Islamic law. Waqf refers to holding an asset and preserving it to benefit certain philanthropic causes in line with the founder's wishes. There are several pillars to waqf: the founder, the endowed asset, the beneficiaries, and the establishment agreement. The endowed asset must meet certain conditions, be irrevocable, perpetual, and inalienable. There are also various methods for establishing and managing waqf assets and funds. The three main principles are that waqf assets cannot be sold, transferred as gifts, or inherited.

1. WAQF DEFINATION
WAQF – In Islamic law the meaning is holding
certain property and preserving it for the
confined benefit of certain philanthrophy and
prohibiting any use or disposition of it outside
its specific objective (Monzer Kahf, 2003)
WAQF – From Shariah perspective, the
meaning is holding a maal (a property/an asset)
and using it usurfruct continuously for the benefit
of the beneficiaries as prescribed by the waqf
founder.
REGULATORY FRAMEWORK : PART 1

2. PILLAR OF
WAQF
AL-WAQIF
AL-MAWQUF
MAWQUF ALAIH
AHLI/FAMILY
KHAIRI/AAM/PUBLIC
FORMATION OF WAQF
AL-SIGHAH

3. Source : JAWHAR
AL-WAQIF
Waqf is considered valid (sah) from syariah
aspect if waqif/muhabbis (founder) fulfill the conditions below:
1. Be an adult (baligh), free person, non-bankrupt, sound of mind.
2. Eligible to perform waqf due to have the opportunity to spend
and capable to handle the financial affair.
3. Voluntarily basis- not due to any force
4. The waqif in the situation of maradul maut only can waqf one third
or less.
5. Any waqif that create waqf through will (Wasiat) still need to obey
to rukun waqf.

4. Source: JAWHAR
AL-MAWQUF
Waqf asset / maal for waqf should fulfill the conditions below:
1. Specific property (ta’yin)
2. Have value according to syariah and can utilize/use it usurfruct
(land, building, shares and etc.)
3. The property (al-mawquf) must be objects of a valid contract. The
founder can’t also have pledge the property previously to someone
else.
4. The objects should not already be in the public domain.
5. The maal can generate manafaah/usurfruct in longer period
(perpetuity).

5. Source : JAWHAR
MAWQUF ALAIH
The receiver of waqf benefits must:
1. not those who involve/live in sin
2. Not under the category of kaffir harbi or murtad person
3. Must be those under the category of qualified to received the
waqf manafaah.
AL-SIGHAH
Waqf statement includes offer (ijab) and the statement of acceptence
(qabul) by those who received the waqf asset. Sighah can be
created in two form:
1. Clear statement (Soreh)
2. Symbolic (Kinayah) - signal, written statement and kinayah
statement.

6. Source : JAWHAR
Example:
1. Clear statement (Soreh)
I am Nurul bte. Abdullah, would like to waqf my ……... (2) acre of land
under the title of ……………(freehold/leasehold) located at lot ……
(1234), in………..(town), ……………. (district ), ……………(state) to
…….(Religious Council) from …………………. for the general benefit
of Muslim.
2. Symbolic (Kinayah) - signal, written statement and kinayah
statement.
By making statement like: “ This land belong to them (needy people)
forever.
Waqf considered valid if there is statement of offer (ijab) from waqif
and statement of acceptance(qabul) from trustee/nazir/mutawalli.

7. Source : IIUM Endowment Fund
Features of waqf:
1) IRREVOCABILITY
the lack of power of the settler (waqif) to revoke his
donation at any time.
Jumhur: effective and binding as soon as the
declaration is made by the donor without any need for
delivery of possession to the beneficiary.
The property is transferred from the ownership of the
settler to the ‘ownership’ of Allah and hence
irrevocable.

8. Source : IIUM Endowment Fund
In Msia:: S4 (1) A wakaf shall immediately come
into effect once all the requirements and conditions
of the wakaf had been fulfilled, unless it is expressly
provided that it shall commence only after the death
of the waqif.
(2) A wakaf which has come into effect cannot be
sold or transferred by the waqif or be inherited by
any person.

9. Source: Dr. Zulkifli USIM
2. PERPETUITY
ta’bid;
1. once the declaration of waqf is made by the donor, a
legally binding waqf is automatically effected.
2. waqf cannot be constrained by time and
temporariness.
3. the subject matter of the waqf should remain so
forever.
Jumhur: Perpetuity on immovable property..

10. Source : DR. ZULKIFLI USIM
3. INALIENABILITY
 after a valid declaration is made, the subject matter of
the waqf ‘passes out of the ownership of the waqif and it
cannot be alienated or transferred either by the waqif or
the mutawalli nor do their heirs can take it by way of
inheritance.
 prohibit the administrator from mortgaging or pledging
the waqf property as security for a loan, simply because
whatever cannot be sold cannot be mortgaged too.
Section 4 (2), all properties are vested in the Majlis and
prohibits any conveyance, assignment, or transfer
whatever’ affecting waqf

11. Source : DR. ZULKIFLI USIM
Three principle of waqf rules
From this features we can conclude that there are 3 principle of
waqf rules that need to be fulfill in carry out/managing the waqf
asset.:
1.Waqf asset cannot be sold
2.Waqf asset cannot be transferred as a gift (hibah) to other
parties.
3.Waqf asset cannot be inherited by any person

12. Source : DR. ZULKIFLI USIM
WAQF METHODS
i.Waqf Irsod - State Authorities, Federal Government, or
institutions that pass their land as waqf
ii.Waqf Shares – Waqf the shares owned in any companies or
buy the shares and then waqf it to Religious council for benefit of
Muslim society.
iii.Shares Waqf – SRC create a certificate and promote Muslim
community to buy the certificate and waqf the certificate. Cash
tap from this method will be transform into immovable property.
iv.Waqf Musytarak - Combination of various type of waqf.
Can be combination of waqf that created from the process
of Istibdal and shares waqf.
i.Waqf Musyak – Waqf asset that have the issue of ownership
right that lead to difficulties to divide the asset/ use the manafaah.