Waqf, Endowment, Trust Philanthropy, Altruism, and aims

The concept of charity, philanthropy, and altruism is not limited to a particular religion or caste. Acts of giving and supporting the well-being of humanity are values embraced by individuals and communities across various cultures and belief systems. Waqf and Endowment, rooted in Islamic principles, are founded on the objective of serving humanity through charitable acts. The primary purpose of waqf is to dedicate assets and resources in perpetuity for the benefit of society. This can manifest in various forms, including education, healthcare, social welfare, infrastructure development, and other noble causes. Throughout history, waqf has demonstrated its ability to positively impact communities and contribute to societal development. From the early Islamic civilization to the present day, numerous waqf initiatives have played a significant role in providing essential services and addressing pressing needs. Waqf-funded educational institutions have produced scholars, scientists, and intellectuals who have contributed to knowledge and progress. Hospitals and healthcare centers established through waqf have saved lives and improved public health. Social welfare programs supported by waqf have uplifted the disadvantaged and alleviated poverty. Moreover, waqf continues to be relevant and successful in the present. Many modern-day waqf initiatives, both within and beyond Islamic contexts, are actively engaged in philanthropic endeavors. They strive to address contemporary challenges such as poverty, education gaps, healthcare access, environmental sustainability, and community development. Furthermore, the principles of waqf and endowment have influenced and inspired other charitable foundations and initiatives worldwide. The idea of dedicating resources for a perpetual charitable purpose has been adopted in different cultures and societies, demonstrating the universal appeal and effectiveness of such models. While challenges exist, including legal complexities, administrative issues, and differences in interpretation, the underlying spirit of waqf and endowment remains rooted in the noble intention of serving humanity. By addressing these challenges and fostering collaboration among stakeholders, waqf and endowment can continue to be successful instruments for philanthropy and community development.

Charity is an act of generosity toward others. The word trust originates from Latin; it means “care” (Abdulmenem, 2017). Charitable trusts and waqfs are methods of facilitating the intergenerational management of family wealth (Schoenblum, 1999). A key principle is that the trust management will be in such a manner that the consequential benefits and advantages accrue, not to the trustee but to the trust beneficiaries (Mobray, 2008). An important element of the trust includes a fiduciary relationship between the trustee and the beneficiaries of the trust. A trustee is thus known as a fiduciary. Both the settlor and the beneficiaries repose confidence in the trustee to hold the property in the best interest of the beneficiaries. Trust has been viewed as “a fiduciary relationship with respect to property arising as a result of a manifestation of an intention to create it, and subjecting the person by whom the property is held to equitable duties to deal with the property for a charitable purpose.” (Spilios, 2019). There are different types of trusts emerged over history, including but not limited to endowments, private family trusts, discretionary trusts, charitable trusts, mixed trusts, offshore trusts, etc. The trust concept has developed by leaps and bounds and has been described as the greatest and most distinctive achievement performed by Englishmen in the field of jurisprudence (FW Maitland, 1936). Trust can succeed because of three factors. Firstly, in creating a trust, a founder can play a whole range of „tricks‟ with three particular aspects of property ownership; nominal title, benefit, and control. The founder (or the court) can juggle these around in various ways. Secondly, effective, equitable remedies and detailed legal rules strengthen the rights and obligations expressly created in a trust. Thirdly, in the areas where it is most often used, the trust performs its "tricks" with property better and has stronger legal reinforcement than other competing legal institutions (Moffat, 2009). The legal basis for the present day form of foundations only came about in the 19th century through the separation of civil law and public law (Reuter, 2001).

In Islam, the concept of charity begins from home, the family. This is evident in a famous hadith, prophet Muhammad (Sallallahu Alayhi Wasallam) said "it is better to leave your children rich than to leave them poor, reduced to begging from others." (Sahih al-Bukhari 3936, Book 63, Hadith 161). As part of Islamic finance, the core principles of waqf embrace the principle of altruism, which promotes or maximizes the benefits to others, inclusively for all humans and living beings. The principles emphasize the importance of maintaining public confidence since the system fully depends on the public’s propensity to donate (See REF). Philanthropy is the act of giving arising out of one's love and concern for others. It is the spirit of "goodwill to all men" - a voluntary act to serve the general well-being of the human race. In Islam, the concept of philanthropy comes from the attributes of Allah (Subhanahu wa ta aala), Himself, Ar-Rahman (The Benevolent), and Ar-Razzaq (The Provider). Although Allah (Subhanahu wa ta aala), the All-Knowing (al ‘Alim), has given overflowing blessings (rahmah) and provision (rizq) to His servants, this gift is not in equal measure. Some are blessed with more, some with less. Such a state of affairs has its divine secret and wisdom. The rationale behind such inequality in divine provision is that men will strive and try to help one another. The wealthy requires assistance in the form of labor and so will provide employment and wages for the needy. On the other hand, the needy will give their services to seek a livelihood. So both need and depend on one other. The term used for Muslim philanthropy is "sadaqah," which means voluntary charity. Allah promises manifold rewards to those who give in charity and help those in need. One type of "sadaqah" that promises everlasting rewards is "sadaqah jariyah" which means continuous or ongoing charity. A continuous charity is an action that remains active even after the person who gave such charity has passed away. Waqf is an important form of "sadaqah jariyah" and is a way to become closer to Allah (Subhanahu wa ta aala). Waqf is the act of dedicating one‟s property (back) to Allah (Subhanahu wa ta aala) where the property is kept intact, and its benefits are used according to the wishes of the donor for persons or a group of persons specified by the donor. Unlike obligatory zakat, waqf is voluntary, and so the motivation behind the desire to create waqf over one‟s property is largely to seek continuous rewards from Allah (Subhanahu wa ta aala) to get closer to Him. Although many of the visible waqf properties we see today are evidence of the founders of waqf (waqif ) who were rich and powerful (e.g., the Sultans and rich Muslim traders), it must be noted that one does not have to be rich to become closer to Allah (Subhanahu wa ta aala) through waqf. (Ref. Sharifah Zubaidah Syed Abdul Kader, Trust, Foundation and Waqf Development: Emerging of Established Traditions, p.5-6 and 8).

The "modus operandi " of a Waqf is as follows: a privately owned property (in some countries also public funds) is endowed for a charitable, even philanthropic, purpose, and the revenue, which the property generates, is allocated for this purpose in perpetuity. Historians do not usually distinguish between “charitable” and “philanthropic,” but economists do. Accordingly, charity is given to the poor to help them for their immediate needs, such as the provision of food. Philanthropy, by contrast, aims at eradicating a problem altogether by enabling people to solve their problems with hard work, such as providing scholarships to poor students who with hard work, escape poverty (Acs, 2013).

Giving and sharing what do you have with others without asking anything in return or expecting anything in return in this life, only hope that Allah grants the rewards in Jannah. As a man who hold the altruism behavior he/she don’t expect even a word of thanks from others as he always put others first, thinking about how his/her actions will affect others. Altruism is the unselfish concern of an individual for the welfare of another (Carlson, 2004). Altruism, selfless acts done for another’s benefit in spite of oneself, is a humanitarian endeavor praised by all societies (Mahdi, 2006).

In a situation where there are no longer any beneficiaries, then for some purpose for which the law will recognize and enforce.Five aims to achieve from Endowment Waqf. In Islam, the accumulation of wealth and its redistribution are closely related. Once wealth is accumulated, Muslims are ordained to redistribute their wealth voluntarily. Income redistribution by resorting to taxation is not the preferred method; instead, helping the poor voluntarily, primarily through the waqfs, is definitively preferred (Cizakca, 2011)

In conclusion, the concept of charity and philanthropy transcends religious and cultural boundaries, and waqf and endowment have a long history of success in making a positive impact on society. The underlying principles of perpetual charity and serving humanity guide these initiatives and contribute to the well-being of individuals and communities.