This paper discusses the potential role of the institution of waqf (perpetual endowment) in poverty alleviation, particularly in the developing world. It attempts to define a new approach to poverty analysis and suggests a way to make the role of waqf more effective in the poverty alleviation and socio‐economic development of a resource‐poor country. The author explores how stagnant communal assets can be revitalized into productive economic instruments, providing sustainable funding for education, healthcare, and micro-entrepreneurship. By moving beyond traditional charity models, this research provides a framework for using waqf as a permanent foundation for institutional development and long-term self-reliance among underprivileged populations.

Core Concepts: Waqf, Poverty Alleviation, Socio‐Economic Development, Perpetual Charity, Resource-Poor Countries, Institutional Finance, AUB.