Empowering Malaysian Higher Education: A Review of Cash Waqf Practices

Abstract

This study aims to examine the role of cash waqf in improving the sustainability and efficiency of higher education in Malaysia, with a focus on its impact on educational outcomes and institutional development. The research problem arises from the growing financial challenges faced by higher education institutions in Malaysia, which struggle to maintain quality and accessibility due to inadequate funding. While existing literature underscores the potential of waqf to address these financial shortfalls, particularly by enhancing access and quality, its full effectiveness is limited by challenges such as governance issues, regulatory barriers, and insufficient donor engagement. Thus, the objective of this study seeks to explore how cash waqf can overcome these challenges and contribute to the long-term sustainability of the higher education sector. The findings of the study reveal that cash waqf plays a significant role in boosting institutional performance, supporting funding structures, and fostering a conducive learning environment. Moreover, the integration of technology in waqf management, particularly in fund administration, enhances accountability among waqf managers and empowers donors, thereby opening up opportunities for innovative financing solutions. The policy implications suggest the need to revise policies that encourage public-private partnerships and improve the efficiency of waqf management through collaboration between universities and relevant waqf organisations. Additionally, understanding the socio-cultural factors influencing donor behaviour is critical for mobilising communities towards cash waqf contributions. The research also highlights the importance of tailored promotional strategies that resonate with cultural norms to sustain funding for higher education institutions. Consequently, this study provides valuable insights for policymakers and academic leaders on adopting effective cash waqf practices to strengthen the Malaysian higher education system.