Six #Islamic #banks collaborate to develop #waqf #fund

Six Malaysian Islamic banks have agreed to jointly develop a waqf fund which focuses on projects in four areas — economic empowerment, education, health and investment.
The banks are namely: Affin Islamic Bank Bhd, Bank Islam Malaysia Bhd, Bank Muamalat Malaysia Bhd, Bank Kerjasama Rakyat Malaysia Bhd (Bank Rakyat), Maybank Islamic Bhd and RHB Islamic Bank Bhd . They have signed a Waqf Fund Strategic Collaboration Agreement.
The Association of Islamic Banking Institutions Malaysia said in a statement that waqf has great potential in developing the economy of Muslims, noting the many potential waqf lands for development and generous members of society who are willing to contribute. "The Islamic banks, with the existing infrastructure, risk and banking expertise, will join forces to generate positive and sustainable impact to the economy, community and environment," the Associations president Datuk Mohd Redza Shah Abdul Wahid, said. "Therefore, Islamic banks intend to support the efforts of the State Islamic Religious Councils as the sole trustee of waqf by jointly identifying high-impact projects to develop and maximise the use of banking channels for our customers to participate by contributing funds to develop the identified projects," he said.
At the momentc, eight state councils have agreed to participate in the project, which will establish a joint management committee with the participating Islamic banks to closely monitor the project. The Association will be issuing a Code of Governance and Administration as guiding principles for the participating banks to ensure good governance. According to Mohd Redza, it includes disclosure on requirements and reporting to donors and funders which are comparable to those of other Islamic banking operations.
The initiative is targeted to be launched in the fourth quarter of 2017, following which Malaysians will be able to use the banking channels of the six banks to participate in the development of identified waqf projects.