PM launchesNational Waqf Development Corporation

Prime Minister Manmohan Singh inaugurated National Waqf Development Corporation (NAWADCO) in New Delhi. Government has established NAWADCO for the development of waqf properties for the benefit of the Muslim community.

This Corporation has been established with an authorized share capital of Rs.500 Crore. It will facilitate and mobilize financial resources for setting up of facilities like schools, colleges, hospitals on waqf properties for community purposes in a transparent manner.

NAWADCO will facilitate and mobilize financial resources for the development of Waqf properties for community development purposes in a joint venture with the State / Union Territory Waqf Boards and the Mutawallis. The Waqf Boards and the Muthawallis were not having the financial resources to develop the properties leading to encroachments.

There are more than 4.9 lakh registered waqf properties in India today which fetch an annual income of about Rs.163 crore. Many of these properties have the potential of generating considerable returns, which in turn could be used for the socio-economic development of the Muslim community. As per the estimates of the Sachar Committee, if these properties are properly developed, they could fetch an annual income of about Rs. 12000 crore, assuming an annual return of 10 percent on the value of the property. It is this vast potential that NAWADCO will strive to realize.

Government has also recently amended the Waqf Act. The amendments are expected to bring transparency in administration of waqf properties and provide an enabling environment for the development and utilization of waqf lands to the benefit of the Muslim community.

The amended Act has particularly strengthened the role of Central Waqf Council (CWC), which was established to advise the Government on matters pertaining to the working of State Waqf Boards and proper administration of waqf properties. The Council is now empowered to issue directives to State Waqf Boards on their performance, particularly on their financial performance, survey of waqf properties, maintenance of waqf deeds, and prevention of encroachment of waqf properties.

Keeping in view the need to prevent their alienation, ‘Sale’, ‘Gift’, ‘Mortgage’ and ‘Exchange’ of waqf properties have been made void ab initio. The process of leasing of waqf properties has been made transparent.