The Indonesian Waqf Board, or Badan Wakaf Indonesia (BWI)’s West Sumatra branch, as part of its overall strategy to develop Waqf assets across the country, has introduced two new Waqf initiatives to serve the region’s communities.
The new programs are the Madrasah Waqf, which focuses on the education sector, and the Waqf Program for Hajj and Umrah Pilgrims.
The launch was a collaborative effort by the Indonesian Ministry of Religion’s West Sumatra regional office and the BWI, which signed an MoU that underscores the focus on utilizing Waqf for societal benefit.
According to the BWI, the new programs align with the national Waqf strategy, and that they are expected to bolster the regional economy and enhance the quality of life and education in West Sumatra.
“We anticipate a significant increase in Waqf literacy, enabling the benefits of Waqf assets to extend to economic and educational improvements in the region,” a statement read.
The Madrasah Waqf collections will be done weekly or biweekly, with the benefactors encouraged to contribute voluntarily with no fixed amount required. The funds will be invested in Sukuk, the real sector and other productive Waqf locations, and the returns from these investments will be channeled back into the community, primarily through student scholarships.
Meanwhile, Hajj and Umrah pilgrims will be encouraged to contribute to the Waqf fund, and the BWI and the ministry will collaborate with the authorized banks in charge of pilgrims’ deposits to implement the initiative.
The launch of the two new Waqf programs builds on the success of the Catin Cash Waqf program introduced by the BWI in August 2023, which encouraged prospective brides and grooms to give cash Waqf before carrying out their marriage contracts.
The Waqf programs aim to cultivate the habit of giving Waqf in society, and increase the reach of Waqf funds as a social finance instrument to strengthen the community, the authorities said.