Activating the principles of good governance in the management and investment of waqf corporate assets

Abstract

The Waqf system has undergone significant development in the modern era, most notably through the introduction of innovative mechanisms for its investment. Among the most prominent of these is the emergence of Waqf corporations as an institutional model that combines the binding conditions of Waqf with commercial investment instruments. With this evolution, the need has arisen to establish the principles of good governance in the management of these corporations to ensure the protection and sustainability of Waqf funds. This article aims to elucidate the complex concept of governance in Waqf corporations, underscore its importance in improving and enhancing the effectiveness of institutional investment, and propose practical solutions to reinforce the efficacy of this model. The study employs a descriptive methodology to outline the conceptual and regulatory framework, and an analytical approach to examine the dimensions of governance and assess its practical applications. The findings reveal that the governance of Waqf corporations constitutes a strategic necessity to ensure a balance between the requirements of investment and adherence to the objectives of Islamic law (Maqasid al-Shariah).