JEDDAH, 24 September 2007 — Prince Faisal bin Salman, chairman of the resource development committee at the Charitable Society for the Care of Orphans (Insan) in the Riyadh region, announced the establishment of an endowment fund for investment.
“We have set up this fund in order to create financial resources to meet the society’s growing expenditures as it caters to the needs of increasing number of orphans. The Council of Senior Islamic Scholars has approved the fund,” he said.
Prince Faisal said the fund would operate in accordance with the Shariah and ensure permanent revenue to the society. “We also want to develop the concept of endowments in the country as endowments need not be in the form of real estate alone,” he said.
The new fund will invest in bonds and securities that conform with Shariah regulations as well as in Islamic sukuk and other areas. “There are regulations on distribution of these investments in order to have a balanced investment without entering in high-risk investments.” The launch of the investment fund comes on the eve of the society’s general assembly meeting in Riyadh under the chairmanship of Riyadh Governor Prince Salman. The meeting will also see the election of the society’s new board of directors.
Dr. Hamoud Al-Badr, secretary-general of the society, said they had received 53 nominations to get elected to the new board that will continue until 2011. The Ministry of Social Affairs will supervise the election and announce its results. Insan was established about eight years ago and has spent about SR200 million for the care of more than 21,500 orphans until the middle of this year.
The society plans to spend more than SR79 million this year on various programs. Last year it spent SR67 million. “In the coming phase, the society intends to cover all major cities of the Riyadh region,” he said. The society has four branches in the capital city and another in Al-Kharj, south of Riyadh.