Accountability and non-profit sector is not a strange issue. As it has wider stakeholders as compared to other sectors, abuse, misappropriate and fraud cases frequently remark the ‘dark side’ of non-profit sector. Plus, with the introduction of Social Enterprise (SE) concept that combine for both social and economic objectives in an entity, accountability issue become more tension as the complexity of the organization itself. Therefore, this study aims to examine accountability from stakeholders’ perspective, focusing on Islamic Social Enterprises (ISEs) in Malaysia. A questionnaire survey was utilized in this study and 50 ISEs’ stakeholders from various stakeholders groups are contributed in this study. Based on findings, it can be said that all three accountability dimensions, which are accountability for input, accountability for output and accountability for procedural have significantly contribute toward accountability in ISEs in Malaysia. Ironically, most ISEs’ stakeholders are still believed that current accountability practices in ISEs in Malaysia is still in moderate level.

This study compares stakeholder and management perspectives on accountability practices in Malaysian Islamic Social Enterprises (ISEs). Two sets of questionnaires were used in the survey for this study. The first set was answered randomly by 100 ISE stakeholders, and the second set was answered by the management from 102 Malaysian ISEs. The findings showed that both ISE stakeholders and ISE management have mixed agreement for all six proposed accountability dimensions. Based on this result, Malaysian ISEs need to improve their accountability practices, particularly with regard to input, output and procedures. The accountability measurement proposed in this study could also be used by other ISEs as indicators to evaluate their accountability practices.

Historical evidence demonstrates the enormous role waqf institutions have played in the development and advancement of Muslims throughout the Muslim history. With the proper structure and strategy, waqf contributes to numerous spheres of life, including mainstream economic development. Contemporary development of Islamic finance has enabled the waqf concept to be linked to various financial products, including Shariah-compliant investment instruments, such as, Islamic unit trust funds and Islamic wholesale funds. This paper aims to highlight the current applications of the Waqf-Featured Fund (WFF) in the Malaysia Islamic Fund Management Industry. This is in relation to the launch of a new WFF framework to facilitate the offering of Islamic funds with waqf characteristics. The study took both qualitative via in-depth semi-structured interviews with eleven (11) WFF stakeholders, as well as, analyzing of policy documents, journal articles, books, and online resources. The findings shed light on the current issues and challenges confronting waqf projects in Malaysia, as well as the current guidelines and essential requirements for the WFF, the current application of the WFF in the Malaysian Islamic Fund Management (IFM) industry and a proposal for the future application model, which includes fund collection, investment structure, distribution process, and fund reporting.

The aim of this study is to examine the current waqf reporting practices in selected waqf institution in Malaysia. For this, the study employs a case study method to analyze intervention of life events which is the waqf reporting practices itself. A focus group discussion method was adopted to collect data from the respondents. For reporting purposes, this study adopted a single-case study method. Findings are analyzed and discussed are been made on current waqf reporting practices under three aspects: (i) waqf governance reporting practices; (ii) waqf performance reporting practices; and (iii) waqf socio-economic impact reporting practices. Based on results, the study highlights a number of good waqf reporting practices by selected waqf institution in Malaysia. However, this study also identified several waqf reporting weaknesses that led for a room of improvement in the future. For that, recommendations to overcome such waqf reporting weaknesses on governance, performance and socio-economic impact aspects are being made based on the findings.

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. Originality/value This study is among the few studies that identify the reasons and factors affecting the good waqf reporting practices in Malaysia.

The purpose of this study is to explain the justification behind the current Shariah screening methodology assessments used by KLSI, which differs from other major Shariah screening methodology around the world. Besides, this study is also attempts to investigate on the intention to entitle Shariah-compliant status by Public Listed Companies (PLCs) in Malaysia. This study employed a series of interviews with five individuals who are involves with KLSI Shariah screening methodology as data collection procedure. Thus, this study found a number of justifications on the reasons behind the current Shariah screening methodology assessments used by KLSI. This includes reasons on the adoption of additional 20% tolerable percentage, additional criteria on corporate image and maslaha (public benefits) and also views on the leniency of current KLSI Shariah screening methodology assessments. Besides, this study also identified several measures to identify the intention to entitle Shariah-compliant status by PLCs. This includes voluntary application, effort of de-listed PLCs to be listed as Shariah-compliant for the following year, impact of Shariah-compliant status especially on the share prices and potential investors, good corporate image on maintaining Shariah-compliant status and the core value of the business. Then, this study also provide several recommendations to be considered for future improvement especially on Shariah screening methodology assessment.

Based on Islamic social enterprise (ISE) concept which is a combination of both social and economic objectives embedded with Islamic principles and values, this study aims to classify ISE based on economic sectors namely public, private and non-profit sectors. In addition, eight organisations that represent ISEs in Malaysia are also being discussed in order to support the classification of ISE based on economic sectors. In order to examine these eight ISEs, this study reviews professional documents, online information and comprehensive literature to analyse selected ISEs in Malaysia. Based on findings, this study concludes that ISEs in Malaysia can be classified based on all three economic sectors identified. Therefore, this study contributes to the body of knowledge as the first study made in examining and exploring classification of ISEs based on economic sectors specifically within Malaysia context. Besides, this study also among the pioneer studies on ISE itself.

The main focus of shariah governance for an organization is to ensure that it is comply with shariah laws and regulations. Under Islamic finance industry, shariah governance is being given attention due to rapid growth of this industry in the world. For Malaysia, the authority through Bank Negara Malaysia (BNM) have taken a proactive role by introducing shariah governance guidelines including the Shariah Governance Framework (SGF) 2010, the Islamic Financial Services Act (IFSA) 2013 and the latest is the Shariah Governance Policy Document (SGPD) 2019. These shariah governance guidelines are supposed to support the development of shariah governance practices especially by Islamic Financial Institutions (IFIs) in Malaysia. However, there is limited to none study conducted to compare these guidelines. These shariah governance guidelines is necessary to be compared in order to find out whether these guidelines are complemented each other and to identify any differences among these guidelines. Therefore, the aim of this study is to compare between these shariah governance guidelines. Based on the analysis, it has been found that SGPD 2019 is the most comprehensive covers on shariah governance as compared to IFSA 2013 and SGF 2010. However, these three guidelines still not become comprehensive enough, as there is still limited to none discussion on the definition and objectives of shariah governance itself. Keywords: Shariah governance, SGF 2010, IFSA 2013, SGPD 2019

This paper aims to present the viability of unit trust waqf as an alternative asset class for waqf creation. The paper provides the conceptual framework of unit trust waqf based on the existing fixed unit trusts structure managed under Permodalan Nasional Berhad (PNB). This paper starts with the conceptual exploration of the literature in the area of waqf, which are sourced from authentic sources of al-Quran and al-Hadith, as well as secondary sources such as books, journal articles and online resources. The novelty of this paper lies in its attempt to highlight the importance of waqf investment strategy in ensuring the perpetuity of waqf by preserving its capital to maintain sustainable return for waqf beneficiaries. PNB’s fixed unit trust structure has been identified as a viable conceptual model for unit trust waqf to pool more cash waqf from individual investors. The sustainability of the capital waqf assets in the form of unit trust is preserved through the parameters for its application as proposed toward the end of the paper.

The developments of social enterprise (SE) concept around the world have significantly impacted Islamic organizations’ behavior and operation. Due to SE concept where both social and economic objectives are combined in a single entity, it has increased the complexity of Islamic organizations’ operation. This is vital in maintaining sustainability and offering more contribution toward people especially Muslims society around the world. Islamic organizations that adopted SE concept are known as Islamic Social Enterprise (ISE). With the various types of ISE economics activities and different approaches in legal formation, there are issues arising in relation to its refined and definite concept. The same issues also can be found in the studies related to social enterprise (SE). Therefore, this study attempts to conceptualize the definition of ISE by discussing its objectives specifically from Islamic perspective. This study will enrich the literature on ISE by providing its alternative concept from the Islamic perspective.

This chapter examines the relationship between corporate governance practices and firm performance. The characteristics of the board of Shari'ah-compliant companies in consumer products counter of Bursa Malaysia were examined against the firm's performance using data from 77 companies from 2014 to 2016. Based on the result of multiple regression; board size, Muslim chairman, and Muslim director have a weak positive correlation with the performance of the firms. However, directors with Shari'ah background seem to have a negative correlation with the performance of the firms. The findings of the chapter would be very useful to the regulators to improve the Malaysian Code of Corporate Governance (MCCG). The findings also help to fill the gap on scarce literature that study the relationship between the corporate governance practices involving Muslim characteristics and performance.

This study aims to explore and understand the key challenges of corporate waqf management and its implementation, particularly in Malaysia. This study adopted a qualitative approach. Specifically, data obtained from three interviews that involved an academician, a Shariah scholar and a business practitioner have been examined thoroughly. Generally, this study discovers three primary challenges pertaining to corporate waqf and its possible implementation. Legal constraint based on current regulatory settings of waqf management, narrow mindset of key stakeholders and lack of awareness and understanding amongst the general public are the core reasons that impede the successful acceptance and implementation of corporate waqf. This study is expected to contribute to the improvement of the waqf management. It provides an initial understanding about the primary issues that would be confronted when implementing corporate waqf. Thus, it puts forward several insights about the future strategies for positioning corporate waqf into practice.

This chapter aims to provide an overview of the dates palm farming in Malaysia. Besides, this paper also discussed on issues and challenges, prospect and future “baraqah” for dates palm farming sector in Malaysia. As new farming sector in Malaysia, facts sheets and general farming information are readily available and easily accessible to dates palm farmer. However, as the sector is rapidly growing, the lack of research in dates palm farming, production and prospect in Malaysia could represents a serious limitation to the long term viability of the sector. As results, several important issues and challenges for dates palm farming in Malaysia are derived such as dependency of imported dates, insect pest attack, climate and lack of expertise in dates palm farming. Besides, several prospects and future ‘baraqah’ for dates palm farming in Malaysia such as fulfilling local consumption trends, cultivation nature, dates palm health and disease, establishment of the National Dates Palm Centre and Waqf dates palm are proposed.

This paper analyses 98 articles from the 10th International Islamic Economic System Conference (I-iECONS2023) e-proceedings, covering themes, types, authorships, contributions, and keywords. Key themes include Islamic Social Finance, Zakat, Wakaf, Takaful, Business, Management, and Leadership. Most articles are extended abstracts, primarily multi-authored, with Abdul Rauf Ridzuan as the top contributor. Malaysian authors and USIM researchers dominate the contributions. Articles are short, mostly in English, with a higher proportion of female authors. Popular keywords are “Malaysia,” “Waqf,” “Environmental,” “Sustainable Development,” and “Fintech.” The paper provides valuable insights for researchers and policymakers in Islamic economics and social finance.

This study aims at investigating adoption of FinTech in Islamic social finance especially for zakat and waqf institutions in Malaysia. A focus group discussion (FGD) with 13 zakat and waqf officers and FinTech experts in Malaysia was conducted. For reporting purposes, this study employed a single-case study approach. The FGD was conducted and completed at the end of December 2021 via an online approach through the Zoom platform. The findings highlight the level of FinTech adoption, issues, challenges, and prospects of FinTech adoption as well as impact of FinTech adoption especially on collecting, managing and distributing the Islamic social finance funds (zakat and waqf) to beneficiaries. The study findings and recommendations are useful especially for zakat and waqf institutions as well as the State Islamic Religious Councils (SIRCs) to utilize FinTech in their operation. This study is among the pioneer studies that explore FinTech adoption in Islamic social finance in Malaysia.

This study focuses on development of Shariah governance and audit in Islamic Cooperatives in Malaysia. Suruhanjaya Koperasi Malaysia (SKM) governs Islamic cooperatives, which aim to stimulate the development of co-operatives in accordance with Shariah. SKM provides guidelines for Islamic cooperatives to manage the operation of institutions. The development of Shariah governance and audit is essential to complement the Shariah compliance mechanism that already in place and practised internally in the microfinance institutions. Strong regulations, framework and guidelines are needed to uphold the practice of Shariah compliance. Roundtable discussions was used as methodology of the study with the industry practitioners in Islamic Cooperatives. Apart from that, this study also used current guidelines in Islamic Cooperatives as benchmarking practices. SKM published few guidelines related to Shariah governance to assist the operation of cooperatives. Based on the finding, there is an existence of gap in regulation, framework, and guidelines in governing Shariah compliance principles in Islamic Cooperatives. This is crucial since regulation, framework and guidelines in Shariah governance and audit in Islamic Cooperatives will increase the level of trust of the stakeholders that the activities and operations are Shariah-compliant. Also, giving the standardize framework it will contribute towards managing the risk of the microfinance institutions and, within the grander scheme of things, contribute to the growth of the industry and the economy by providing adequate disclosure for the stakeholders to make informed decisions.

This study aims to examine the disclosure of web-based accountability of zakat institutions in Malaysia. This study examines 14 zakat institutions which covers all states in Malaysia. The website of the zakat institutions are analyzed based on content analysis. The levels of disclosure in the websites are examined using binomial logic. This study finds that there are limited web-based accountability practices of zakat institutions in Malaysia. The limited disclosure is observed at all the three accountability dimensions' disclosures, namely financial accountability, performance accountability and political accountability. The findings suggest that there is a need for zakat institutions in Malaysia to enhance its accountability disclosure especially via websites.

This chapter is written by Muhammad Iqmal Hisham Kamaruddin, Mustafa Mohd Hanefah and Zurina Shafii from Universiti Sains Islam Malaysia (USIM). The chapter aims to assess the gaps that exist between the requirements outlined by Malaysia accounting standards (MAS) with AAOIFI’s Financial Accounting Standard No.1 (FAS1). Additionally, this chapter also focuses in examining the compliance of all IFIs in Malaysia with the disclosure on investment account. This issue could potentially be explored to identify the extend of the disclosure practices by IFIs in Malaysia and whether it is beyond MAS requirements and in line with some other additional features of FAS1.