Challenges and prospects in waqf reporting practices in Malaysia
Journal of Financial Reporting and Accounting
ISSN: 1985-2517
Article publication date: 12 April 2022
Issue publication date: 29 May 2024
Abstract
Purpose
This study aims to explain the justification behind the current weak waqf reporting practices in waqf institutions in Malaysia and also investigates the factors affecting the good waqf reporting practices.
Design/methodology/approach
A series of interviews with four waqf officers who are involved with waqf reporting process from four different waqf institutions in Malaysia were conducted.
Findings
The findings show a number of reasons for the current weak waqf reporting practices including the absence of standardised waqf reporting standards, no reporting or disclosure awareness by the waqf management, limited reporting channels from the state authorities to the national authorities, diversification in the governance structure and reluctance of waqf administration to disclose waqf reporting. The findings also identified several factors contributing to good waqf reporting practices. This includes leadership, good cultural setting within the institution, political will as a push factor, limited qualified personnel as well as sustainability issues and finally, the visibility of the waqf report itself.
Practical implications
The study findings and recommendations are useful for the State Islamic Religious Councils and waqf institutions in Malaysia to enhance the waqf reporting practices in Malaysia.
Originality/value
This study is among the few studies that identify the reasons and factors affecting the good waqf reporting practices in Malaysia.
Keywords
Acknowledgements
The authors would like to thank the Ministry of Higher Education Malaysia and Universiti Sains Islam Malaysia for funding this paper under the Fundamental Research Grant Scheme (FRGS) entitled “Developing a Shariah and Outcome Based Reporting Model for Waqf Institutions (USIM/FRGS/FEM/055002/51618)”.
Citation
Kamaruddin, M.I.H., Hanefah, M.M. and Masruki, R. (2024), "Challenges and prospects in
Publisher
:Emerald Publishing Limited
Copyright © 2022, Emerald Publishing Limited