Pillar 03

Ethical Finance

Fund the institution and its mission through Shariah-compliant, transparent and ethically anchored financial systems.

Definition

What this pillar means

Ethical Finance is the integrated practice of raising, allocating and stewarding institutional funds through Shariah-compliant instruments, transparent accounting and maqāṣid-aligned investment decisions.

Objectives

What we aim to achieve

Diversify revenue with ethical, Shariah-compliant instruments

Revive and modernise waqf as a productive endowment base

Build robust zakāh and ṣadaqah collection and distribution systems

Adopt transparent, audit-ready financial practice

Avoid all forms of ribā, gharar and impermissible income

Components

What the pillar contains

Waqf and endowment strategy

Zakāh and ṣadaqah management systems

Islamic investment and treasury policy

Donor stewardship and fundraising ethics

Financial reporting, audit and Shariah assurance

KPIs

How we measure progress

Share of revenue from sustainable / endowment sources

Zakāh collection-to-distribution efficiency

Donor retention rate

Audit and Shariah-compliance findings closed

Reserves and operating runway in months

Outcomes

Expected results

Financial resilience and reduced donor dependency

Higher trust from donors, regulators and the community

Revived waqf assets producing ongoing benefit

Operations fully aligned with Shariah principles

Part of the Onike Framework Ecosystem

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Advancing Sustainable Islamic Institutions Through Strategy, Operational Excellence and Ethical Finance.