Abstract
India’s waqf institutions are one of the largest non-governmental landowners, holding over 870,000 properties spread across 940,000 acres. These institutions face significant difficulties related to governance, financial management, and legal disputes despite their enormous potential for community development. The Waqf (Amendment) Act, 2025, aims to fix these problems by making changes that make Waqf boards more open, accountable, and inclusive. This paper examines the current state of Waqf governance in India, analyzes the implications of the 2025 amendments, and proposes strategies for effective management and sustainable development of Waqf assets. Through a comprehensive review of literature and policy analysis, the study highlights the need for a robust governance framework that aligns with both Islamic principles and contemporary administrative practices.
Keywords
Waqf, Islamic endownment, charitable trust, Islamic philanthropy, awaqf,endownment management, Islamic philonthrophy ,Islamic finance, shariah complaint assets
Introduction
Waqf, an Islamic philanthropic endowment, plays a pivotal role in supporting religious, educational, and social welfare activities. In India, Waqf properties are managed by state-level Waqf boards under the Waqf Act, 1995. However, these institutions have been plagued by issues such as encroachment, mismanagement, lack of transparency, and legal disputes. The Sachar Committee report from 2006 pointed to the underutilization of Waqf assets, estimating that only a small portion of their potential income was generated from them. In response, the Indian government introduced the Waqf (Amendment) Bill, 2024, which was passed in April 2025, aiming to overhaul the management and governance of Waqf institutions. This paper explores the challenges faced by Waqf boards, the reforms introduced by the 2025 amendments, and the strategies necessary for the effective utilization of Waqf assets. The institution of waqf—an Islamic endowment of property to be held in trust and used for charitable or religious purposes—has played a significant role in the social, economic, and cultural development of Muslim societies for centuries. The idea of waqf emerged as a crucial mechanism for wealth redistribution, public welfare, and community development, rooted in Islamic jurisprudence. Over time, as Muslim empires and later modern nation-states evolved, the administration of waqf properties became a matter of public policy, governance, and legal oversight.
In India, the waqf system has a long and complex history, dating back to the medieval period under the Delhi Sultanate and the Mughal Empire. With the advent of colonial rule, the British administration introduced legislative frameworks to manage these religious endowments, culminating in a more structured but also more bureaucratic approach to waqf governance. Post-independence, the Government of India recognized the need to further regulate and protect waqf properties, leading to the establishment of statutory bodies known as Waqf Boards under the Wakf Act of 1954 (later replaced by the Wakf Act of 1995).
Waqf Boards are tasked with the supervision, protection, and administration of waqf properties within their respective jurisdictions. Waqf Boards in India face numerous challenges, including encroachments, poor management, a lack of awareness, and bureaucratic inefficiencies, despite their legal mandate. These issues hinder waqf assets’ ability to fulfill their intended religious and charitable purposes as well as their economic potential. The purpose of this study is to investigate the history, structure, and operation of Waqf Boards in India, as well as their current operational framework. It also aims to analyze the legal and administrative challenges faced by these institutions and to offer suggestions for reform and improvement. This study hopes to contribute to broader discussions about minority rights, religious institutions, and the role of public policy in managing community assets by comprehending the socio-legal dynamics of waqf administration.
Research Methodology
This study employs a qualitative research approach, utilizing a combination of literature review and policy analysis. To comprehend the historical context and current difficulties of Waqf governance in India, the literature review includes academic articles, government reports, and legal documents. Policy analysis focuses on the provisions of the Waqf (Amendment) Act, 2025, examining their potential impact on the administration of Waqf properties. Additionally, case studies of successful Waqf management models from other countries are analyzed to derive best practices applicable to the Indian context.
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Review of Literature
1. Governance Challenges in Waqf Institutions
Studies have identified several governance issues within Waqf institutions, including inadequate financial management, lack of transparency, and absence of standardized reporting practices. Research by Mohamad Yunus et al. (2024) emphasizes the need for clear documentation and uniform management practices to enhance accountability and trust in Waqf institutions.
2. The Role of Good Governance in Sustainable Development
Good governance is crucial for the sustainable development of Waqf properties. Hassan and Noor (2020) propose an Islamic Good Governance Framework for Waqf institutions, highlighting principles such as justice, accountability, and trust. According to their framework, adhering to these principles may result in a more efficient use of Waqf assets for community welfare.
3. International Best Practices
International models of Waqf management, particularly from Malaysia, offer valuable insights. Yaacob (2025) discusses the development of a new model for higher education Waqf management in Malaysian public universities, emphasizing the importance of a strong legislative framework and effective governance mechanisms.
Method
There are multiple steps in the research methodology:
1. Literature Review.An extensive review of existing literature on Waqf governance, including academic journals, government reports, and legal documents.
2. Policy Analysis. Detailed examination of the Waqf (Amendment) Act, 2025, focusing on its provisions related to governance reforms.
3. Case Studies.Identifying best practices through an analysis of successful Waqf management models from other countries.
4. Stakeholder Interviews.Interviewing experts, such as legal scholars, policymakers, and Waqf board members, to learn more about the challenges and opportunities in Waqf management in practice.
5. Design of the Study The purpose of the exploratory and descriptive study is to comprehend the issues and functions of Waqf Boards, especially in relation to governance, property management, and legal disputes.
6. Methods for Collecting Data Primary Sources:
Interviews with Waqf Board officials, legal experts, and community stakeholders.
Field visits to selected Waqf properties for observation and informal discussions.
Applications for Right to Information (RTI) to access State Waqf Board official records. Additional Resources: Journals and academic books on public administration, property law, and Islamic law. Reports by the Central Waqf Council and state-level Waqf Boards.
Government publications such as the Sachar Committee Report and Joint Parliamentary Committee Report on Waqf.
Legal case studies from Indian courts involving Waqf disputes.
7. Sampling Method
Purposive sampling was used to select specific Waqf Boards and properties known for landmark legal or administrative issues. Diversity in geographical, administrative, and religious representation was ensured by the selection.
8. Data Analysis
Content analysis was applied to legal documents, interview transcripts, and government reports.
Comparative analysis was used to evaluate the performance of different State Waqf Boards.
Case law analysis was used to interpret judicial trends in Waqf-related litigations.
9. Ethical Issues to Consider Confidentiality of interviewees was maintained, and all information obtained through fieldwork was used strictly for academic purposes. Where required, informed consent was obtained. Let me know if your paper is more legal, sociological, or administrative in focus—so I can tailor the method further.
Suggestions
1. Establishment of a Centralized Digital Database
Better asset tracking, management, and utilization can be made possible by establishing a digital database that is centralized for all Waqf properties. This database should include detailed information on property ownership, income generation, and legal status.
2. Capacity Building for Waqf Board Officials
Financial management, legal procedures, and governance practices are just a few of the areas in which Waqf board members could benefit from additional training.
3. Implementation of Transparent Reporting Mechanisms
Waqf boards should adopt standardized reporting practices to ensure transparency in financial transactions and property management. Stakeholders’ trust can be increased through regular audits and public disclosures.
4. Community Involvement in Decision-Making
Waqf assets can be used in ways that meet the needs of the beneficiaries if local communities are involved in decision-making processes regarding them.
5. Legal Reforms to Address Encroachments
Strengthening legal frameworks to address encroachments on Waqf properties is essential. This includes expediting legal proceedings and imposing penalties for unauthorized occupation.
Conclusion
In India, Waqf boards’ governance and management are crucial to maximizing the assets’ potential for community development. The Waqf (Amendment) Act, 2025, introduces significant reforms aimed at enhancing transparency, accountability, and inclusivity within Waqf institutions. However, successful implementation of these reforms requires a comprehensive approach that includes capacity building, adoption of best practices, and active community participation. By addressing the existing challenges and implementing the proposed suggestions, Waqf boards can play a pivotal role in promoting social welfare and sustainable development in India. The research into the role and function of Waqf Boards reveals the complex, multifaceted, and often underutilized potential of these institutions in advancing socio-economic development, especially in Muslim-majority societies or communities with significant Muslim populations. Waqf, historically recognized as one of the most influential Islamic philanthropic institutions, has played a transformative role in the development of education, healthcare, public infrastructure, and poverty alleviation across centuries. However, as the findings of this research suggest, the modern institutionalization of Waqf through state-controlled or semi-autonomous Waqf Boards has produced mixed outcomes — marked by both promise and persistent challenges.
One of the central conclusions of this study is that while Waqf Boards are structurally designed to oversee the administration and protection of Waqf properties, their actual performance is often hindered by bureaucratic inefficiencies, legal ambiguities, insufficient transparency, and lack of strategic vision. Due to their limited resources, out-of-date records, and inadequate enforcement mechanisms, many Waqf Boards are susceptible to mismanagement and encroachment. Moreover, the lack of trained human capital and modern governance practices further exacerbates the problem, making it difficult for these institutions to fulfill their intended mandate effectively.
At the core of these institutional inefficiencies lies the issue of governance. The findings emphasize that accountability, transparency, participation, responsiveness, the rule of law, and good governance practices are crucial to revitalizing Waqf institutions. In many jurisdictions, the legal framework governing Waqf is outdated, fragmented, or inconsistent with contemporary needs. Effective oversight is hampered by this legal insufficiency, which discourages private participation. Therefore, a modern legal and regulatory framework, built on Islamic principles yet aligned with current socio-economic realities, is essential for enhancing the credibility and effectiveness of Waqf Boards.
Another critical finding from the research is the untapped economic potential of Waqf assets. Many Waqf properties, particularly in South Asia, are prime real estate in urban centers. However, due to lack of development, poor planning, or legal entanglements, these properties remain underutilized or unproductive. If efficiently developed and professionally managed, Waqf assets can generate substantial income streams to support community welfare, education, healthcare, and microfinance initiatives. This necessitates a paradigm shift in how Waqf Boards view their roles — from custodians of static assets to strategic managers of dynamic social investments.
In addition, the study brings to light the importance of digitization and record management. One of the major causes of encroachment and fraudulent transfers of Waqf land is the absence of updated, centralized, and secure digital records. Implementing GIS-based mapping, blockchain systems for property registration, and digital archives can significantly reduce misappropriation and strengthen institutional trust. Malaysia and Turkey, two nations that have begun these reforms, are useful examples of how technology can improve Waqf administration. This paper also highlights the significance of community involvement in the governance and development of Waqf assets. Historically, Waqf was a community-driven institution, managed by trusted individuals appointed by the Waqif (donor). The over-centralization and bureaucratization of Waqf Boards have, in some cases, alienated the very communities they are meant to serve. It is possible to reestablish trust and revive the spirit of voluntarism and collective responsibility that was the foundation of the Waqf institution by giving local communities more power and involving NGOs, academics, and other members of civil society in the decision-making process. Furthermore, the research indicates that a more integrated approach to Waqf development is necessary — one that brings together financial, legal, ethical, and developmental dimensions. Waqf should be viewed as a viable third-party instrument, similar to trusts and foundations in Western legal systems, rather than just a religious or legal relic. Its integration into national development plans, especially in the context of Islamic finance, can open new avenues for ethical and impact-driven investments. Islamic social finance instruments like Sukuk, Zakat, and Waqf can be synergized to address contemporary challenges such as poverty, housing, and education deficits in a Shariah-compliant manner.
This study also calls for capacity-building efforts targeting Waqf Board officials, mutawallis (trustees), and relevant stakeholders. Training programs in asset management, Islamic finance, legal compliance, and community development are essential to equip these actors with the skills and knowledge necessary to manage Waqf institutions effectively. International collaboration and knowledge-sharing, particularly with countries that have demonstrated successful Waqf governance models, should also be encouraged.
From a policy perspective, governments must strike a balance between regulatory oversight and operational autonomy of Waqf Boards. When there aren’t enough checks and balances in place, complete autonomy can be misused, while excessive interference frequently results in politicization and inefficiency. As a result, creating a hybrid governance model that incorporates institutional autonomy, community participation, professional management, and regulatory oversight may be a viable option. Lastly, the research points to the need for further academic inquiry and empirical studies. There remains a significant gap in data on Waqf assets, their socio-economic impact, and the performance of various governance models. Cross-country comparisons, impact assessments, and novel financing methods like crowdfunding based on Waqf or Waqf platforms driven by fintech could be the focus of future research. In summary, this research reiterates that Waqf Boards, while often underperforming and underappreciated, hold immense potential as agents of Islamic philanthropy, social justice, and sustainable development. A multifaceted reform strategy is required to realize this potential, which includes digitizing property records, strengthening institutional capacity, updating legal frameworks, and re-engaging the community. If these reforms are thoughtfully implemented, Waqf Boards can be transformed into vibrant institutions that not only preserve Islamic heritage but also actively contribute to contemporary socio-economic progress. The time has come to reimagine Waqf not as a dormant institution of the past, but as a dynamic engine of inclusive and ethical development for the future.
References
1. Hassan, R., & Noor, F. M. (2020). A Framework for Islamic Good Governance in Waqf Institutions in the “Handbook of Research on the Theory and Practice of Global Islamic Finance IGI Global.
2. Mohamad Yunus, M. H. S., Muwazir, M. R., Noordin, K., & Ishak, S. N. (2024). Enhancing Waqf Governance for
Citation
1. An Extensive Analysis of the Waqf Act of 1995, Kshitij Naik, 7 IJLMH 1160 (2024), https://doij.org/10.10000/IJLMH.117576.
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4. Aadil Hussain Wagay et al., The Economic Value of Waqf Assets in India: A Study of the Sachar Committee’s Report, 44 Urban India 85 (2024), https://www.researchgate.net/publication/383869615_URBAN_INDIA_THE_ECONOMIC_VALUE_OF_WAQF_ASSETS_IN_INDIA_A_STUDY_OF_THE_SACHAR_COMMITTEE’S_REPORT.
5. Mohammad Abdullah, Islamic Endowment (Waqf) in India: Towards Poverty Reduction of Muslims in the Country, 2 J. https://www.researchgate.net/publication/340511489_Islamic_endowment_Waqf_in_India_Towards_poverty_reduction_of_Muslims_in_the_country, Research in Emerging Markets 48 (2020).
6. Strategies to Develop Waqf Administration in India, by Hasanuddin Ahmed and Ahmedullah Khan, was published by the Islamic Research & Training Institute in 1998.
7. Syed Khalid Rashid, Awqāf Experiences in South Asia, Institute of Objective Studies, 2002.
8. Syed Khalid Rashid, Certain Legal and Administrative Measures for the Revival and Better Management of Awqaf, Islamic Research & Training Institute, 2011.
9. Central Waqf Council, The Central Waqf Council Rules, 1998 (Amendment 2015), https://centralwaqfcouncil.gov.in/content/central-waqf-council-rules-1998-amendment-2014.
10. India Code, Waqf Act, 1995, https://www.indiacode.nic.in/handle/123456789/19839.
These citations encompass a range of legal texts, academic articles, and institutional reports pertinent to Waqf administration in India. They can be seamlessly integrated into your research paper to substantiate your analysis and discussions.
If you need further assistance with integrating these citations into your paper or require additional references, feel free to ask!