Waqf Governance in Algeria:

Current Status and Future Prospects in Light of AAOIFI Governance Standard 13

Badreddine Berrahlia

F. Lalaymia Berrahlia

M. Kabir Hassan

 

Abstract: In this article, we consider the current status of the governance of the Algerian waqf and provide an analysis of how governance may be altered in the light of the implementation of Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) governance standard 13 and the emergence of standardisation as new regulatory process in order to achieve the waqf objectives in a more effective and efficient manner. We argue that the establishment of the National Office of Awqaf and Zakat and the implementation of investment regulation of waqf real estate are an important shift in the governance of the Algerian waqf that could strengthen the governance, transparency, and disclosure of this sector. We recommend devising an investment policy, including risk management, that drives a balance between the waqf revenue and its ultimate objectives, in addition to establishing anti-corruption procedures.