Ottoman Cash Waqf Contracts and the Transactions from the Fifteenth to Nineteenth Centuries: A Source for the New Cash Waqf Fintech Contract Model and SDGs

Abstract

This chapter examines a number of classical Ottoman Cash Waqf contracts from fifteenth to nineteenth centuries as a reference model that may develop comprehensive policies and recommendations. These recommendations aim to assist in ving the Sustainable Development Goals (SDGs), which include reducing poverty, raising the standard of living, fostering a decent social life, and increasing economic growth. The rapid growth of Islamic banks and finance since 1960s, along with the recent challenge posed by Covid-19, caused academicians and practitioners to explore innovative solutions for the issues mentioned above. This includes a revival of the Ottoman Cash Waqf in better contract and system. The contracts of Mu’amele-i Seriyye, Murabaha, Mudharabah, Istirbah, and Istiglal were instrumental in strengthening the financial stability and economic growth, ultimately improving the quality of life for the people during the Ottoman Empire. However, since the fall of Ottoman, this system has been forsaken due to several issues. Therefore, this chapter elucidates Ottoman viewpoints, especially the contracts that have a considerable practical impact on the accountability and awareness to humanity and the environment. The findings of this study are likely to lead to the development of a new systemic financial contract solution that can offer societies as one of social finance support system. This will be achieved through the implementation of Fintech application, using blockchain and artificial intelligence within a Cash Waqf management system. The proposed Fintech application enhances users’ trust to use the Cash Waqf with a new contract model. It can also reduce transaction costs, fraud, and systemic risk, as well as provide traceable accountability and a high level of data protection.