THE IMPACT OF LAW ON THE DEVELOPMENT AND COMMERCIALISATION OF WAQF PROPERTY

Abstract

Waqf has a long history of improving a country's and civilisation's economic cycles. However, there is a lack of development and commercialisation of waqf property in Malaysia, with 11,091.82 hectares of land remaining undeveloped (92.8 per cent). The law must be improved, and waqf functionaries must be empowered to develop and market waqf. Waqf was established under Muslim rule. Hence the National Land Code of 1960 (NLC) does not recognise it as a trust. As a result, when the Land Administrator registers the Waqf Land in the Title, the registration will merely include the name of the State Islamic Religious Council without endorsement as sole trustee, and the record indicating the property is a waqf property will stay with the Registrar of Waqf. Many Muslims are concerned that the State Islamic Religious Council may abuse its power or mismanage the situation due to this situation. This will impact the expansion of Islamic finance and the well-being of society. This article aims to look at how the legislation affects the development and commercialisation of waqf land. This work employs qualitative research methods. Thematic analysis will be used to analyse the data. The legal implications and challenges surrounding the development and commercialisation of waqf land in Malaysia were discovered in this study. The conclusions of this article are critical in assisting diverse stakeholders in developing and commercialising waqf land.