NBCC to develop Waqf land, signs MoU with NAWADCO

Ministers and officials during the signing of the MoU  

IN A bid to develop Waqf properties, National Buildings Construction Corporation (NBCC) has signed an MoU with National Waqf Development Corporation (NAWADCO) on September 8.

India has the largest number of Waqf properties in the world. There are more than 4.9 lakh registered Auqaf (waqf properties) and the current annual income from these...

properties is about Rs.163 crore.

Sachar Committee has estimated that such properties, if properly developed, with a minimum return of 10 person, would be capable of generating an income of Rs.12000 crore per annum. And the money can be utilised for the welfare of the minority people.

India has the largest number of Waqf properties in the world. There are more than 4.9 lakh registered Auqaf (waqf properties) and the current annual income from these properties is about Rs.163 crores.

Sachar Committee has estimated that such properties, if properly developed, with a minimum return of 10 percent, would be capable of generating an income of Rs.12000 crore per annum.

The total area under waqf properties all over India is estimated at about 6 lakh acres, the market value of which is about Rs.1.20 lakh crores.

Many of these properties are on prime land and they have the potential of generating considerable returns, which in turn may be used for socio-economic development of deprived sections of Muslim community.
NAWADCO has identified several waqf properties including one in Delhi, two in Rajasthan, six in Madhya Pradesh and seven in Karnataka which shall be undertaken by NBCC for development as institutional and commercial projects.

Properties lying vacant will be taken up for easy and early development and the revenue, which would be garnered through the initiative, will be used to the socio-economic and educational empowerment of the community, said a NBCC statement.

"NAWADCO has identified several waqf properties including one in Delhi, two in Rajasthan, six in Madhya Pradesh and seven in Karnataka, which shall be undertaken for development as institutional and commercial projects," said Dr. Najma Heptulla, Minister for Minority Affairs during the signing of a memorandum of understanding (MoU).

The corporation was established following Sachchar Committee recommendation in January 2014, with authorized share capital of Rs.500 crore with a paid up capital of Rs.100 crore.

National Minority Development and Finance Corporation (NMDFC) have 49 percent shares in NAWADCO.

NAWADCO facilitates and mobilizes 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.

NBCC a Navratna CPSE under the Ministry of Urban Development, Government of India has been engaged in the field of construction and real estate development.

The MoU was signed between Dr. Anoop Kumar Mittal, CMD, NBCC and Rakesh Mohan, MD, NAWADCO, in the presence of M. Venkaiah Naidu, Minister for Urban Development and Dr. Heptulla.

In a related development, Air India is likely to sign a memorandum of understanding with NBCC to help the national carrier monetise its assets, after it failed to do so on its own.

Air India has been struggling to sell or lease its assets including land and buildings that the government recommended as part of a bailout plan in 2012.

NBCC will develop only land and not the apartments and flats that Air India owns across the globe. According to the government's turnaround plan for Air India, the carrier needs to raise Rs 5,000 crore through sale and leasing of assets, which will be used for repayment of loans.