Analysis Factor And Management Of Cash Waqf Fund Generation Through Istibdal Implementation In The Federal Territory

Abstract

This study was conducted to examine the factors and generation of cash waqf funds by implementing istibdal in the Federal Territory. This study was conducted based on the problem statement with respect to; waqf property could not be developed due to lack of funds, especially involving immovable waqf property. Thus, this study aimed to explore the implementation factors of istibdal waqf property and the generation of cash waqf funds in the Federal Territory. The qualitative approach was utilised in this study, where data were collected through library research and field study. Library research was conducted by collecting data from waqf books, articles, laws and relevant circulars, while field research was conducted through an unstructured interview method with two MAIWP officers, who directly involved in the implementation of istibdal waqf property. The results show that there are two factors in the implementation of istibdal waqf property in the Federal Territory, where the first factor is dealt by MAIWP initiative to develop waqf land that is not strategic, small, and uneconomical. The second factor is the acquisition of waqf land by the State Authority (PBN). The first factor has generated a high cash waqf fund for MAIWP in terms of profit from the sale of waqf property that has been implemented istibdal and rental income from waqf buildings that have been replaced, while the second factor has not yet generated funds because MAIWP is still planning to buy new waqf property instead. However, MAIWP plans to buy a new building for rent where the rental proceeds will be put into the mosque trust account, which is the beneficiary of the waqf. The results also show the openness of Fatwa Committee to refer to other than the Shafi’i sect in the issue of istibdal waqf.