The Foundations of Waqf Institutions: A Historical Perspective

The Islamic waqf system is an institution that provides property owners guaranteed financial security as a reward for their societal services. For this reason it became an effective mechanism for the distribution of social services in the Muslim World, and continued to be so for a long time. According to the Islāmic rules governing waqf, the administrator of the waqf, known as the mutawallī, is obliged to follow the conditions of the endowment laid down by its creator, the waqif. However, in reality, the instructions of the wāqif were thwarted or could not be followed, which often resulted in the mismanagement or destruction of the waqf. It was therefore becoming imperative to bring contemporary changes to the waqf system in order to facilitate better management of waqf resources. Governments, however, found it less tedious to seize these resources rather than introducing new waqf governance rules. In the 19th century, with the founding of European-inspired municipalities waqf-based public services were almost completely rejected in favor of state-funded public services. The present study seeks to examine the motives behind the foundation of waqf institutions in the Muslim world and explore its importance for the welfare and development of an Islāmic state and its subjects.