What is waqf and how does it work?

For over 20 years, Islamic Relief has been investing donations as waqf. Since 2019, the International Waqf Fund, our subsidiary organisation previously known as Islamic Relief Waqf, has been collecting and investing donations to create a more sustainable way of giving. Here, a member of the International Waqf Fund team explains how a Waqf share works.

At the International Waqf Fund, we collect donations to support projects, but not in the same way most humanitarian international organisations do. Before I explain how a donation through the International Waqf Fund differs, let me give you an insight into what waqf is.

What is waqf?

Waqf is a sustainable and ongoing charitable fund and is a form of sadaqah jariyah – the act of voluntarily making a long-term charitable contribution that will continue to benefit others. It relies on the importance of zakat (a form of alms giving and religious tax) as a pillar of Islam and the need to give in charity.

Where did the idea come from?

Although not explicitly mentioned in the Qur’an, waqf has been widely used throughout Islamic history to help develop and support communities.

Prophet Muhammad (peace be upon him) was the first to establish a waqf in the history of Islam. Muslims have since continued the traditions of waqf, investing community donations and using the profits towards deserving causes.

What has waqf helped to fund?

Throughout history, waqf has contributed to the construction of mosques, schools, universities and scientific institutions around the world, as well as the associated expenses of such facilities, including student accommodation and teachers’ salaries.

How does the International Waqf Fund use your donation?

You can donate any amount towards Sadaqah Jariyah or purchase a Waqf Share which is a fixed amount of £150.

When you make an initial donation, of either Sadaqah Jariyah or a Waqf Share, the International Waqf Fund invests the full amount. We then use the returns we receive from this investment to fund projects that support people in need around the world.

We ensure to invest your donation in safe, Shariah-compliant investments.

Your contribution towards a Waqf Share is not only an act of charity, but it also provides an ongoing opportunity for you to give and make a difference in the lives of others as the returns from your donation continue to be invested, bringing relief to people year on year.

You can even choose to gift a Waqf Share on behalf of someone else, making it a thoughtful and meaningful gift.

What sectors does waqf operate in?

We offer Waqf Shares in the following sectors:

• Sustainable livelihoods
• Emergency relief
• Orphan sponsorship
• Water, hygiene and sanitation
• Health and nutrition
• Ramadan food packs
• Qurbani

Waqf is a more sustainable way of giving as your donation is continually being reinvested to accrue more returns and support more projects.

Visit the International Waqf Fund for more information.