Abstract: Cash waqf is a trust fund established with money to support services to mankind in the name of Allah. Cash waqf is important because it is created in the form of movable waqf (money) to establish liquid money in order to finance services and develop waqf property or to support and build an educational institution (schools or universities) or orphanage houses in the name of Allah s.w.t. In order to sustain cash waqf fund, numerous efforts should be carried out to ensure that the waqf fund is enough to finance the economic activity. One of the efforts that have a good potential in sustaining cash waqf is through strategic alliance between bank and university. The main objective of this paper is to identify the practice of strategic alliance between bank and university in Malaysia towards the sustainability of the cash waqf fund. This paper also aims to identify and to propose other initiatives that can be benchmarked by bank and university in Malaysia, in order to enhance the benefits of the strategic alliance. The methodology of this paper is a qualitative research through data analysis of secondary data from websites and previous studies, and also from primary data that has been gained from interview with Yayasan Wakaf Malaysia and Perbadanan Wakaf Selangor, that are related to strategic alliances in sustaining cash waqf fund. The study finding based on the two universities waqf fund shows that the strategic alliance between bank and university in Malaysia is based on the transaction collaboration, whereby bank act as the collecting agent to the university waqf fund. This study also finds that that there are other initiatives that can be benchmarked by bank and university in order to enhance the benefits of the strategic alliance between bank and university in sustaining cash waqf. The information on the strategic alliance between bank and university in sustaining cash waqf or waqf fund is scarce. Therefore, this study is expected to add some information on the related study in the future. Study on the strategic alliance between bank and university in sustaining cash waqf could benefit both parties which involve in the collaboration financially and socially. Other than charitable objective that can be achieved through the distribution of cash waqf to the beneficiaries, bank and university could also reducing cost in certain business activity like research and development through sharing of resources. The strategic alliance also could help bank and university in developing good image that would bring the sustainability of both organizations.
Keywords: Cash Waqf, strategic alliance, bank and university in Malaysia.
Title: Strategic Alliance between Bank and University in Sustaining Cash Waqf Fund in Malaysia
Author: Mohamad Abdul Hamid, Ishak Abdul Rahman, Suaibatul Aslamiah Abdul Halim
International Journal of Interdisciplinary Research and Innovations
ISSN 2348-1218 (print), ISSN 2348-1226 (online)
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