Pathology of Financing by Issuing Waqf Sukuk in Iran

Document Type : Research Paper

Authors
magid aghataghi 1
Hossein Hasanzadeh Sarvestani 2
alireza saboori 3
1 Master Of capital market MBA, Kharazmi University, Tehran, Iran
2 Assistant Professor, Finance Department, Faculty of Islamic Studies and management, Imam Sadiq University, Tehran, Iran.
3 phD student of Islamic Finance, Imam Sadiq University, Tehran, Iran.
10.30497/ies.2020.2775
Abstract
Muslim scholars have tried to design suitable Islamic financial instruments to meet the financing needs of different sectors of the economy by referring to the Islamic teachings of Islam. One of the instruments is the waqf Sukuk. Waqf Sukuk can play an important role in the development of public infrastructure. An investigation of the performance of the waqf sukuks in Iran shows that although the initial purpose desired by the designers has been achieved to a very limited extent, but wider use of this Waqf Sukuk requires a comprehensive pathology and accurate revise. In the present study, according to the literature of the subject and the interview with experts, the disadvantages of the issue  of waqf sukuk in Iran and the considered solutions of experts for the elimination of disadvantage were identified and then according to the method of TOPSIS , disadvantages  of experts consensus was ranked. The basis of the TOPSIS method is the choice of options that has the smallest distance from the positive ideal and the maximum distance from the negative ideal. The results of the research show that the disadvantage (low awareness of the authorities and the crowd people about the concept and function of the waqf sukuk), (lack of active use of cooperation and participation of people, and public charities for the marketing of issue of the waqf sukuk) and (insufficient advertising and marketing), Compared to other items are, the first, second and third most important damages to the issue of waqf sukuk in Iran.
Keywords
waqf
waqf Sukuk
Crowdfunding
Islamic finance instruments (sukuk). JEL Classification: G19
O16
H00
Iran Civil Law
Iran Budget Law (1392)
Abedi M, & Saatchi A., (2007) Jurisprudential and Legal Analysis of the Concept and Effects of act Zame vakil, Studies in Jurisprudence and Islamic Law, 9 (16), 231-248. (In persian).
Amid H., (1984), Amid Persian Dictionary, Tehran: Amir Kabir Publication. (In persian).
Amiri, H, & Roshandel A, & Sadegh poor F., (2015) Factors Affecting Purchase of Waqfe Sukuk (Case Study: Education), Islamic Economics, 16(63), 147-165. (In persian).
Ansari M. & Taheri M., (2005). Encyclopedia of private rights vol (3), Tehran: mehrab fekr publication. (In persian).
Asgharpoor M.J. (2002). Multiple Criteria Decision Making, Tehran: Tehran University Publication, 2nd Edition. (In persian).
Azar, A, & Yarmohamadi Reza, & Mesbahi Moghadam G., (2017) Identifying and Prioritizing Desirable Financial Criteria In the Islamic Capital Market Based on Resistance Economy’s Perspective, Islamic Economics Studies, 9(18), 78-116. (In persian).
Azar, A. (2008). Applied Decision Making: Multi-Attribute Decision Making (MADM), Tehran: Negahe danesh Publication, 3th Edition. (In persian).
Bahman poori A, & Haeri M.h, & Fakhlaei M.t., (2018) Khiyar shart dar Solh, fegh va osoul, 50(113), 9-21. (In persian).
Bostani, F. A. (1382). Al-Mojam Alvasit. Tehran. Iran: Tehran University. (In persian)
Ebadi S., (2007), Waqf Structure in Islamic World, Tehran: Foundation of Waqf Research and Developmen. (In persian).
Helli, J. H. (1983). Sharaye Al-Eslam. Beirut. Lebanon: Dar-Alazva. (In persian)
Hoseini A, & Hekmat H, Kashef M., (2013) The Role of Ijarah and Mosharekat Sukuk in corporates financing, Accounting Research 3(8), 1-28. (In persian).
Jer, Kh. (2014). Laroos Dictionary. Tehran. Iran: Amir Kabir
Mesbahi Moghaddam G, & Sayyah S, & Naderi Nouraeini M., (2009), Feasibility Stock and Money Waqf: Waqf Fund Model of stock and Money in Iran, Economic Essays, 6 (12), 59-89. (In persian)
Mousavian A, Soroush A., (2011) Jurisprudential, Economoic and Financial Pothology of Mosharekat Sukuk in Iran, Stock Exchange, 4(14), 29-60. (In persian).
Mousavian A. (2012), Islamic Capital Market, Vol (1), Theran: Institute of Islamic Culture and Thought Publication. (In persian).
Najafi, M. (2006). Financing through the conversion of objective property into securities: Sukuk Economic Jurisprudential Study, (Master Thesis.Imam Sadegh University.Tehran. Iran). Retrieved from http://isu.ac.ir. (In persian)
Rahimi H, & Yazkhasti A., (2012) the Position of Culture in our Riligion, National Conferancce of Waqf (with the Emphasis on Higher Education), Kashan University, 315-334. (In persian).
Soroush A, & Sadeghi M., (2007) Ijarah Sukuk Risk Management, Islamic Economics, 7(27), 157-186. (In persian).
Soroush A., (2008) Financing Waqf Using Sukuk, Collection of Articles of Dedication and Islamic Civilization, Vol 2, Tehran, Osave publication. (In persian).
Soroush, A. (2007), Investigation Ijarah Sukuk, Mahnamehe bourse, (65), 14-25. (In persian).
Zolfaghari M, & Goodarzi A, & Sahabi B., (2011) Jusrisprudential, Economic and Financial Pathology of Mosharekat Sukuk in Iran, Islamic Economics, 12(45), 131-156. (In persian).