Utilization of Waqf Property and Governance Practice of Institutional Mutawalli

Abstract

Institutional mutawalli is the institution responsible for maintaining and managing the waqf property. The success of the administration and management of the institution mutawalli is the key to professional and sound governance, which has certainly led to the sustainability and continuity of the institution. Good and proper governance promotes the optimal use and benefit of each entrusted waqf property to others. Previous studies have found that most institutional mutawalli face challenges in their governance practices, which is why these waqf properties are not used to archive their full impact on other beneficiaries. The aim of this study is therefore to understand the current utilization of waqf property in Malaysia and to explore governance practices based on the experience of higher education institutions as an institutional mutawalli (IM). A qualitative method is employed in this study using case studies with purposive sampling, where formal and semi-structured interviews were conducted with the selective representative of the IM. The participants are those in leadership positions, such as the CEO and the top management of the institution mutawalli from the higher education institution. The findings of this study discussed in detail the practice and experience of waqf institutions utilization and governance of their waqf properties. This study identifies the key characteristics of the waqf property that must be possessed by the utilization and management of the waqf property. The findings could also benefit similar and different institutional mutawallis and policy makers from identifying the essential interdependent characteristics to help them achieve growth performance.