FINANCIAL TECHNOLOGY (FINTECH'S) ROLE IN DAY TO DAY BANKING: A NEW DIGITAL ERA VISION

1. Associate Professor, Faculty of Management, Pacific Academy of Higher Education & Research University, Udaipur. 2. Teaching Assistant, Indian Institute of Management, Udaipur. ...................................................................................................................... Manuscript Info Abstract ......................... ........................................................................ Manuscript History Received: 20 February 2020 Final Accepted: 22 March 2020 Published: April 2020

The finance segment has as of late seen the convergence of different FinTech players, both major tech monsters such as Facebook and Startups displaying competitors outlined for banks, processors, and systems. Whereas start-ups', in common, have not been a major risk to the payment industry within the past, the development of smartphones as a channel, communicating prompt client desires and real-time account exchange will have the most exceedingly bad impact. FinTech has certainly disturbed the keeping money and payment industry by advertising simple money trade and exchange choices. Whereas customers are presently anticipating the same rates and comfort as they arrive at FinTech stations, conventional banks have been cleared out to offer an assortment of choices.

…………………………………………………………………………………………………….... Introduction:-
Fintech (financial technology) is a software and other advanced technology that provides automated and enhanced financial services. Quick and simple forms of mobile instalments have changed the way we oversee our cash. Techsavvy clients, particularly millennial clients, anticipate cash exchanges, credits, obligation administration and venture to be effective, secure and non-heating, without individual or bank visits. Established bank products find themselves on an expatriate basis and it is much easier, more efficient and easier to use with businesses and bank customers. Unlike traditional banks, fintech startups are flexible and fast when it comes to implementing new services based on changing needs.
The hallmark examples of FinTech in our daily lives are mobile payment systems, cryptocurrencies and blockchains such as Bitcoin and Gemini. It is anticipated that the upcoming FinTech service plan will replace the market with AI and machine learning, and make FinTech products a part of our digital life.
The World Economic Forum describes FinTech: "New people who promise to rediscover how financial products are designed, used and manufactured." EY welcomes FinTech's broad definition: "organizations that incorporate new business models and technologies to enable, develop and disrupt financial services", emphasizing that FinTech not only informs new entrants but also corporate funding and services.

Fintech 3.0 (2008-present) is all about launch:
Whereas the roots of the recent monetary emergency and the worldwide monetary emergency are getting to be more justifiable, the common open has developed suspicious of the conventional keeping money framework. This driven to a alter of intellect and clear the way for a unused ind ustry, FinTech 3.0, which numerous financial specialists were not working on. In this manner, this period is checked by the development of unused players together with existing players (e.g. banks).
The discharge of Bitcoin v0.1 in 2009 was another occasion that had a major impact on the cash related world and driven to the rise of different cryptocurrencies (following a major crypto cross down in 2018).
Another vital include of FinTech's confront is its section into the huge markets for smartphones, which have given Web get to to millions of individuals around the world. The smartphone has gotten to be the essential implies by which individuals get to the Web and different monetary administrations. Google Wallet was formally propelled in 2011, taken after by Apple Pay in 2014.

Research Problem:
The research problem of the present study is as follows: "Increasing access to technology and financial awareness has seen that government is making concerted efforts to promote digitalization, innovation and development in the fintech sector. If the Fintech industry continues to grow at breakneck speed. Does it mean the end of traditional banks? Or are developments in the fintech sector jeopardizing traditional banks?
The purpose of the study is to discuss the impact that Fintech has on the disruption of the traditional banking system, identify the factors influencing Fintech's growth in India, discuss the issues and challenges affecting Fintech in India, and show Fintech's role in the banking days.

Research method applied:
Review of literature and secondary data. Role and Impact of Fintech in Indian Banking system: As fintech is disrupting the banking industry, we may see innovations and changes in the coming months. FinTech start-ups have not proven profitable yet and they are working hard to create a sustainable business model. We cannot deny that Fintech is a growing power in the Indian banking sector.
Gone are the days when customers visit the branch because of their banking needs. This can be done at home or at the office, if requested for a money laundering, scheduled deposit opening, or check payment. The use of technology makes service delivery more efficient. For example, KYC-based paper archives can be supplanted by character administration innovation, check-in instalments are supplanted with NEFT or UPI instalments, or a certain number of customer-generated wallets. (Marous, 2018)the banking institution climate is in a state of alter. Unused fintech trailblazers are continuously coming to publicize, and conventional providers are attempting to adjust to computerized substances, made strides innovation and buyer request. From a competitive point of view, conventional money related teach and fintech companies presently get it that associations will develop over time.
The emergence of the fintech sector has made banking easier and simpler. FinTech products are built from the ground up with new, tech-savvy audiences and easy transaction monitoring. Overall, FinTech has brought about a significant change in the Indian banking system in the following areas: 1. Good opportunities for financial inclusion. 2. Inn Culture of Innovation and Entrepreneurship. 3. Credit check enabled by Tech. 4. Customer improvement in loan approval and delivery. 5. KYC text conversion process. 1144 6. Transmit products and services for SMEs. 7. Changing how people pay daily. 8. Transfer A fast and secure money transfer. 9. Reduce complexity and quantity of insurance. 10. Analytics data analytics and blockchain transparency 11. New types of banks such as neo banks, cloud banking and more. The arrival of the fintech sector has facilitated banking. 12. Today, AI and machine learning have impacted many aspects of financial services such as credit, underwriting, insurance and more. 13. Good fintech companies allow for greater financial inclusion, better decision making and more.

Review of Literature:
As per the article (Mehta, 2019),a bank business is a business of trust. FinTech age group start-ups may have disruptive technology but very few reliability. Bitcoin has all the functions of a bank that is a store of value but has very little trust. It is built on disruptive blockchain technology, which transmits value over the Internet but has seen limited success.
New Challenges to Digital Transformation: Customer Expectations: (Görg)analysis that, the more business cases that come from the traditional and conventional environment of technology, the greater the challenges in successfully implementing digital transformation. Bank marketing should be a driving force in the process of developing the entire company, to integrate processes and structures, especially in the commercial and IT sectors. Over time, when markets become more complex and flexible and customers become more demanding, the leading role should be played by those who know the customer better and who need to take customer dialogue to a new level. Bank managers should guide and motivate all employees accordingly so that changes in attitudes can be implemented.
The digital future ahead: (Ralf Reich, 2019)analysis that, digital transformation is closely linked to mobile applications, social networks, and powerful devices. This is transparent but not enough for a strategic view. Background IT office processes need to be mounted on a powerful platform to enable information to flow seamlessly. Besides, banks should produce modern products and services that distinguish them from other competitors. So far, most of the digital trends are driven by major IT providers and start-ups. As long as banks refuse to convert to digital transformation, they will be deducted from current suppliers due to changed customer behaviour. With good strategies, on the other hand, banks have all the advantages of profiting from the digital sector and exploiting new business environments in the future.
FinTech Customer Experience Converts Financial Services to Reliability: (Schweisthal)analyzes that, Customers expect a lot more than the previous one and companies expect to use all available information to find solutions that best meet their needs. Customers have many options. For the past twenty years, you have been banned from a distance; If you don't want one size match up with all the services your financial institution provides, competing inside your home or work radio is another option. Due to the digital nature of these traditional services, now some possibilities seem endless. In all financial services, there are some fintech companies that offer easy-to-access solutions. However, the difference is cost, accuracy and customer service. Fintech companies are already meeting the need of traditional financial institutions to provide personalized and attractive content in a variety of ways. Being able to provide unique customers will not only attract customers but also increase loyalty. This general idea is not limited to industries that are on the verge of disintegration, but all businesses.
Fickleness has saved digital services in the digital culture: (Paul Mandeville)According to a recent survey, more than half of bank executives want to improve their social and social ways. However, the same research shows that more than 50% of consumers consider themselves bankers (trading time). The challenge facing bank executives in 2017 over the development of mobile apps and shifting budgets for Facebook is the ability to connect dots across multiple channels for accurate and relevant communication between financial institutions and its audiences. By adopting this type of marketing strategy, financial leadership can invest in mis-selling, which will affect the brand's credibility now and in the years to come. Don't compete with fintech; Build your business on top of them 1145 (Jain)reveals,financial division isn't modern to advancement. As human civilization advances, it is vital to concoct modern budgetary items to meet the developing requests of these complex societies. Innovation within the money related segment is exceptionally modern and has been in put for decades. Computer-readable checks, computerized information utilization, mechanized driving machines and electronic instalment frameworks have rearranged banking, accelerated development and presented unused items within the late 20th century. The development of fintech over the past decade has been to a great extent due to progresses in computer program and the Web. Since monetary administrations are made from intangible resources (as contradicted to cars, oil, lodging, pharmaceuticals, and so on), the money related administrations industry is at chance of running out of data generation.
How Does the Future of Work Affect Fintech: (Smith R. , How the Future of Work Will Impact Fintech, n.d.)points out that, over the last decade, American workers have made significant changes. One of these changes is the rise in the popularity of re-liberalization. In 2005, only 10% of workers had non-traditional workers, such as traders and independent contractors. In 2016, however, 16% of the workforce had other employees. By 2020, the private sector is expected to have 40% of the workforce.
Fintech and the Freelance Economy: (Smith R. , How the Future of Work Will Impact Fintech, n.d.)points out that, both the social economy creates huge opportunities and an astonishingly growing demand for fintech solutions. More things are happening online and between countries than at any time in history. Due to the liberalization economy, companies are rapidly expanding their sales, transactions, and teams into new areas of the world. However, there are often problems when paying people in different countries. In Latin America, for example, 20% of international credit cards are available. Also, regulations, taxes, and security should all be taken into account when people pay between countries. This means that the world needs the help of financial technology companies to create solutions for the growing demand for online, mobile, and international transactions.
Financial technology benefits to the banking industry: (Pack)revels that, in today's day and age, online life is about making changes and technological advancements about everything. The fintech (fintech) awareness, diverse solutions and variety of businesses are constantly evolving, making traditional banking practices obsolete. FinTech provides financial services that allow other existing financial services and products to establish. Numerous new companies presently offer specialized and regularly cheaper, speedier and more helpful administrations than conventional banks. Presently it pulled in not as it were these new companies but too banks that had to adjust to this unused alter within the banking industry. Therefore, this article discusses directly the advantages and disadvantages of fintech in the banking industry.
Like every other industry, FinTech is not without risk. There is a good relationship between right and wrong. While this is beneficial and easy, there are a few things to consider. As technology gradually integrates into traditional banking institutions, various government agencies have implemented rules and regulations to manage certain risks. As the banking industry continues to rise, it has learned to utilize its insufficiencies and unused challenges with the correct devices, genuine organization and genuine authoritative shapes.

Financial inclusion: A list of fintech and digital finance services in India:
(Kandpal & Mehrotra, 2019)points out, that the cashless exchange system continues to grow day by day as more and more people in the global market and the banking sector go from currency to currency to the cashless system. Not only is the cashless system necessary, but today's order is required. Over the final few years, endeavours to extend monetary incorporation in India have yielded blended comes about. Get to financial accounts has developed considerably, driven by a solid approach and administrative system. However, it is particularly difficult to propose official legal services without using and maintaining accounts. Government's recent efforts in demonetisation and non-monetary commerce will lead to new insights and modern section into the industry. Revisions to banking law to ensure healthy economic growth by ensuring a healthy BFSI are specified in government, RBI and banking institutions. Increased confidence in the industry is essential for India to grow again. While new technologies pose unique challenges for banks and regulators, security is an important issue. As cyber extortion is on the rise, regulators and bankers have to be come together to guarantee administrative components. The strict action by the Government of India has made financial products readily available to non-bank members. Payment companies have appeared the benefits of mobile-led arrangements, and conventional managing an account companies are presently attempting to enter India by propelling modern mobile banking arrangements. With the assistance of the 1146 government, huge innovation companies are utilizing unused strategies to reach the country individuals and teach them on various financial items, in this way empowering them to contribute the cash they gain well.

Fintech is Transforming Everyday Life:
Thanks to FinTech and Techno-Speech for financial technology, you can send money to your friend via PayPal or deposit a picture with your smartphone. You can travel in a taxi without even paying driver cash or your credit card. Over the last decade, these transactions have woven into the fabric of existence day by day, they no longer seem revolutionary.
The future of fintech is unlimited. Finance is fundamentally different from many other industries that have developed in technology in recent years. It is more closely regulated than retail or communications, and each fintech company is responsible for negotiating with its customers at some point for money and financial well-being. According to Farokhania, "Generally financial services affect people the most and this is their wallet." "If there's something wrong with my finances, you've lost my confidence and you've got the job done." Regulatory and high customer expectations are inherently difficult for FinTech to emerge with immediate Facebook-or Uber-type disruptions. To take place. Both start-ups and legacy financial institutions are dramatically focused on technologies with long-term potential, and the investment rate in fintech means they have both time and investor interest. According to Pandit, "Banks are basically in the business of storing cash, moving money, borrowing and saving and investing.
AI-enhanced investment and advisory platforms or blockchain-technology-enabled cryptocurrencies are widespread in every area of commerce and finance. Even in a relatively cautious industry, technology has already brought about the hardest changes imaginable a decade ago.
Along with new opportunities and challenges, there are still great things ahead. "In the future, there will be more and more technology in finance," said Farokhania, adding that anyone working in the financial services sector will inevitably work in tech. "It is important to strike the right balance between financial knowledge and technology," he said.

The role of Fintech plays in your financial business needs:
Despite the industry's view on how today's industries start when it comes to technology, many companies are constantly using fintech as a source of services for many purposes in their financial sector. We look at how industries look at our company's economy and how they grow.

Banking :
Mobile banking usage is a major part of the fintech industry. Demand for mobile services has increased in the world of finance and consumers as they gain digital access to their bank accounts. Most major banks now offer some type of service that makes mobile banking an optional feature. This is especially true when it comes to growing nonbanks.

Businesses that benefit from using fintech :
You will see it working with blockchain and cryptocurrency fintech. Although these technologies are very different from each other, they complement each other for use in their applications. They both help when it comes to financial services delivery. Businesses such as contract manufacturers often benefit from the use of fintech to meet and manage their financial needs. In many cases this is very convenient.

Investment and savings :
Fintech has done wonders for many companies, and in recent years there has been a huge increase in investment and savings when it comes to applications. Many companies with FinTech have fewer hurdles because it is easier to save and invest now. Consumers are now being offered for marketing with less money.

Payment :
Now for Fintech's main idea and goal, and once it is easy to pay for it. It is easy to get money from business or personal. Instead of telling people to pay later, say "I'll give you money" or "Pay Venmo for you". Now, with the click of a button, people can send and receive money. You can easily send and receive money internationally, even at no extra charge.

Loan money:
Fintech plays a role in correcting a credit report, which can speed up the process of approving a person or company for a loan. This will make it much easier for customers. People from all over the world can apply for loans on their mobile phones. This type of access population can usually take advantage of mobile loans. Fintech users will also be able to request a credit score without lowering their score points. It is a matter of concern to the public in the past; Now the credit check is free of stress.

Fintech in India: A revolution is underway:
Fintech is currently one of the most emerging sectors in business development and job creation. Globally, fintech software and services are expected to reach $ 45 billion by 2020, growing at a CAGR of 7.1%, according to NASSCOM data. India is also experiencing this 'fintech boom', which grows into the world's second largest fintech boom (leaving the US only). In a 2015 report entitled "Fintech in India: A Global Growth Story", KPMG and Nascam 10000 start-ups in India are expected to have an Indian fintech software market worth $ 2.4 billion by 2020.
With more than 2000 start-ups operating in the space, the world is a fertile field for fintech transformation, favourable government-led policies and programs, and innovative world-building and market capitalization. such as payment for Dhar, NEFT, BHIM, etc. Although the government's decision to address the possibility of a recession may not be in line, the move is expected to benefit the local agriculture sector significantly.
FinTech in India, though still in its early stages, becomes an integral part of daily transactions. In a broader sense, it serves as an important milestone in the country's financial system by providing attractive opportunities for the poor and the bank. The transition from traditional to digital payment has been beneficial to individuals and businesses, including self-employed, local entrepreneurs, small lenders and SMEs and MSMEs. In the world's second-largest banking country, fintech should play a major role in breaking down barriers such as lack of financial awareness, high cost of traditional banking service and policy gaps, which are part of the official financial environment.

Digital Banking Transformation Trends for 2020: Blockchain Data Management:
Although it began its life as a tool for tracking cryptocurrency conversion, blockchain has found its place in many industries and cloud platforms. Its unique experience in data tracking and information management enables enhanced digital banking security for customers worldwide. Traditional banks and fintech start-ups are looking forward to the growing presence of blockchain in the market as we move forward in 2020. Its implementation represents a safer, more transparent transaction market, which enables B2B and B2B shareholders to use banking platforms.

Mobile banking:
Nowadays, many peoples have decided to go mobile-first with their banking activities due to convenience and accessibility. This creates an opportunity for fintech businesses to create their mobile banking platform with aspirations to meet the needs of the public. Traditional banks are also ready to increase their presence in the mobile banking sector and meet the needs of their customers -an area where small fintech companies can take the upper hand. Regardless of your business or basic business model. Shortly, mobile-only amenities should be on your development radar.

AI-inspired security:
Given the more accessible and multi-faceted nature of digital banking, cyber infiltration and social engineering hacks are sticking their heads out. However, implementing an AI algorithm that notifies the user of any access attempts can modify changes or transactions with their account. Going further, AI algorithms can learn which models are most commonly associated with any user, and record them as positive interactions when other events are suspected. In 2020 AI will no longer be transformed into analytics and will serve as a cyber barrier for digital banking, which will ensure user data security compared to other automated systems.

Chatbot Client Servicing:
Talking about AI and its continued presence in the digital banking industry, chatbots are becoming increasingly common in the fintech client service industry. These machine learning algorithms can help new and repeat customers with any frequently asked questions about your business around the clock. If AI is too much of a problem to handle, your representative can work in a curated manner and devote their attention to that particular customer.

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Two mobile banking apps with digital cloud banking browser services will see the influx of chatbots, which will undoubtedly help all generations to switch to digital-banking banking by 2020.

No card transactions:
Although cash is not commonly used today, as it was a decade ago, people still have credit cards in their wallets. More than ever, credit cards can also serve as possible social engineering flaws and lead to illegal account access attempts.Therefore, digital-first banking allows its customers to make POP and POS purchases through QR codes, and different no-cards indicate more progress. This allows banking businesses to focus on their mobile banking services and focus on the green, rather than relying on physical cards for customer service until 2020 and beyond.

Biometric identification:
Speaking of security features and the reduction of illegal banking facilities, biometric identity will leave its impression on the fintech industry soon. Fingerprint, eye, and face scanning are some of the possibilities that can be integrated into mobile banking applications (with the express permission of customers). It effectively cancels any social engineering or brute force attacks and allows a high level of protection even if the phone is stolen from the client. Similarly, biometric identification methods are outdated due to the habit of forgetting passwords, making them an ideal development option for digital banking businesses with diverse customer populations.

Regulated Customer Billing:
Bills, taxes, and living expenses are not used where we live. While these costs are a necessity and our responsibility as modern citizens, their paper-based nature is slowly becoming obsolete.Digital banking allows users to visit the platform of their choice and pay any bills by clicking the button. Like credit cards, it also increases the green factor by making printed paper outdated and, as a result, allows for more flexible customer billing in 2020.

Voice-Assisted Banking:
Digital banking and its scope have been controversial for many years due to the use of different generations and backgrounds. Voice-assisted banking features can effectively reduce that temporal gap by allowing customers to use navigation, chatbot interactions, and transactions respectively.This makes sensitive touch-screen or browser-based platforms more flexible for the elderly and low-tech customers, leaving the door open for digital banking when the client chooses. Additionally, voice-assisted banking can also be voice-locked, allowing only the client and its commands to be recorded, which will improve the security features of any digital banking platform by 2020.

Advantages of Fintech in The Retail Banking Industry:
In today's day and age, there are changes and technological advances to do just about everything in our lives online. With the fintech (fintech) announcement, various other solutions and businesses have been introduced, indicating that traditional banking operations are no longer viable. Fintech is fundamentally changing the way certain financial services are created, which allows existing financial services and competing products in new ways. Now there are far more beginners offering more specialized services than traditional banks. This is a trend that has now forced these businesses not to start, but also to banks, to nurture this new transformation in the banking industry. Therefore, this paper directly addresses the advantages and disadvantages of fintech in relation to the banking sector.
Delivery of affordable, efficient and easy to use financial services: 1. The advancement of FinTech to supply administrations past the limits of payments frameworks recognized by conventional managing an account teach in tackling monetary exchanges. 2. The development of FinTech has somehow overcome an obstacle when people start using FinTech services such as digital wallets, cell phones, and peers in peer transfer. 3. It's readily available from mobile phone applications that run other digital types of credit or debit cards. Also, it's easy to use because the inclusion of payment options leads to shorter purchase times. 4. Compared immediately to bank and bank transfer where clients are physically served at their branches and undergo a few security checks before making money 5. Conveyance by FinTech companies is less costly, speedier and simpler compared to conventional suppliers.
Financial Inclusion: 1. FinTech has significantly increased access to finance. Allow people daily to access resources that were previously reserved for wealthy people, or those people who have some economic difficulty. 2. With Fintech, it is now much easier for those people with low credit scores to get a mortgage loan online.

Problem Faced by Fintech in India:
One of the biggest challenges facing many FinTech companies is the enormous burden and expense of regulation.
Most of the companies on the first floor do not have the expertise of the house, the resources, or the money to travel and comply with regulatory waves. While most of these laws are well-intentioned and aimed at protecting consumers, they can sometimes have the negative effect of preventing consumer-focused start-ups. However, as most of the latest material falls into the unread area, management cannot be blamed anymore, and one needs to be patient.
Many FinTech companies rely on smartphones to deliver their services, even though only 39% of phones currently operating in India are smartphones. This is particularly stressful for parts of the people who may be affected by FinTech, as the most demanding and needy sections are those who can access these services through smartphones. However, to their credit, these companies are also making a concerted effort to develop SMS-based alternatives that allow consumers to access their services using 'traditional' mobile phones.
Trust is the foundation on which a business grows. Many Fintech companies face a major problem in the form of distrust, in part because they are new and unknown. Their lack of experience in the field is all too apparent. As expected, the consumer is at risk of being reluctant to interact with these new players. The existential threat of guessing personal data and money laundering doesn't make things any easier. However, with the rapid development of encryption technology over time, as well as the monitoring mechanism of authorities in balancing the power of change and financial intelligence, it should make the best use of the Indian consumer in the long run.

Cyber Security:
Unfortunately, cyber threats have grown and the rise of online activity. These risks are accompanied by the high speed of technological advancement, the exchange of world data, and the opening of banks, which give third parties access to customer data.A new source of risk that is starting to increase is IoT. As a fun, easy-to-use solution for day-to-day operations, we also review the bank's security system and threaten customer data security. How so? Banks establish partnerships with manufacturers of mobile devices, such as smartwatches or fitness trackers, that enable mobile payments. If banks do not have the proper security, the companies responsible for the provision of these devices may not be compatible with holding all security holes. Because of this, hackers have very easy access to personal information. The more devices that are connected to the process, the higher the risk of cracking.Establishing an effective and consistent risk management system that responds to regulatory changes (especially AML and CTF), while at the same time not increasing costs and reducing customer experience, will be critical in the near future. Cybersecurity is now a top challenge due to new technologies that expose customer data to higher risks, but also the opportunity to outsource competition.
Trust the blockchain:In a climate of extreme cyber-attacks and regulatory requirements, the anti-fraud system used to protect and secure transactions can transform the financial services sector. How so? Blockchain is a decentralized database, so it is less prone to cyber-attacks than traditional hackers. Consistency and inability to make changes are factors that enhance security, and a lasting record is the beginning of all operations that ensure their authenticity. In the traditional model, all information is available in one place, protected by malicious security systems, which are easy to pass on to viewers. In addition, the blockchain system reduces operating costs and administrative burdens, as it can be set up in various areas such as payments, contracts, applications, insurance or financial trading, while improving the time-consuming KYCprocess. One disclosure of KYC documents can be used by other banks and authorized entities, so once the customer identity has been checked and verified, there is no need to repeat the KYC process. In line with customer expectations, the best benefit is the introduction of real-time payments. A leaky blockchain in the financial industry can contribute to increased efficiency, which is the goal of every bank. However, if the outlook and reliance on such programs do not change, the benefits of the business presented will not be materialized.

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FinTech's rise is affecting the Payment Card Industry: Proficient or monetary program or normal computer program that works in fintech, and trade models in giving progressed innovation, forms, and / or monetary administrations. The objective of a normal fintech company is to supply a straightforward and solid elective to conventional monetary frameworks. Clients are often unaware that Fintech may be a standard instalment benefit they utilize. The FinTech umbrella covers nearly everything modern and is broadly utilized within the monetary division such as versatile instalments, versatile wallets, worldwide cash exchange administrations, multinational spaces, cryptocurrency, protections online, Rebo advisors and more. These administrations over the board make life simpler for person clients and businesses and there's no denying that these administrations are here.
Payment cards, counting credit and booking cards, were changed into the instalment industry within the 90s, giving a fast and simple way to cash out and pay for products and administrations. Afterward, he moreover made a difference promote e-commerce by advertising an internet instalment choice. Over the a long time, the card industry has effectively made strides the security and utilize of credit card swap by presenting rules such as EMV chip cards, contact cards, biometric cards and PCI DSS that offer comparable instalment methods. We presently know how this insurgency of the 90's is influencing the current development of the fintech industry.

Conclusion:-
In conclusion, in spite of the fact that fintech companies help the budgetary administrations industry, they do offer assistance grow the administrations advertised by banks, money related educate, and instalment companies. With the information and encounter of great banks and instalment frameworks, the adaptability advertised by FinTech can offer assistance clients associated with FinTech suppliers. With so numerous FinTech players entering the advertise, the normal customer will have trouble comparing, choosing and returning from their credit / bank card. The previously mentioned fintech suppliers have seen a number of well-known and trusted items advertising the adaptability of unused advances without innovation. In ancient and unusual ways. FinTech's startup is pulling in banks to rise, transform into a digital commerce but it'll not be able to supplant banks. The termination is worthless. The victory of the Bank furthermore Fintech organization lies in those organizations that can get it each other's qualities and shortcomings to make strides the client involvement whereas decreasing working costs. Most importantly, the partnership can deliver personalized speed, speed, integration, and seamless service to protect the recently mentioned competitive threats of the likes of Google, Amazon, Facebook, and Apple (GAFA) or even challenges from Alibaba and Tencent (finance) .

Further study:
Another new trend is the collaboration between banks and fintech start-ups. The future of banking may include banks that operate primarily as service providers: alongside more traditional products, banking sector providers can begin to provide additional consumer services (such as direct online money transfer, based on PayPal or Apple Pay models). All the major tech giants, from Apple to Samsung and Google, have entered the payments market. They are currently providing their services through traditional banks but will they continue to do so? Or will they bank and open their credit facilities? Bibliography:-


Village Fund Allocation on Economic Growth, Human Development Index and Poverty

The Economic performance of a region can be seen from the Gross Regional Domestic Revenue or economic growth. The economic growth of the regions has an important role in creating prosperity, increasing the standard of living and providing employment. Village fund Allocation is a stimulant fund to encourage and finance village government programs that are supported by community participation in carrying out government activities, development and community empowerment. Although Village fund Allocation in the past 4 years has tended to fluctuate, the human development index increases and poverty fluctuates. Thus, the main objective of this research is to analyze the impact of Village fund Allocation on economic growth, human development index and poverty in Bima Regency. The Analytical method used is a quantitative research method using the Warp PLS statistical tool. The result of the analysis shows that the variable allocation of village funds has a positive effect on economic growth, the human development index while does not affect poverty. Keywords— village funds, human development index, poverty, economic growth

I. INTRODUCTION
The public sector accounting in Indonesia is growing rapidly in the implementation of regional autonomy policies and fiscal decentralization which focuses on local and village governments. This era of regional autonomy and fiscal decentralization leads to increase competitiveness in each regional and village government. Village is the smallest territory in the Republic of Indonesia and so the village is covered within the responsibility of the Republic of Indonesia. The village is a legal community unit that has juridical boundaries and has the authority to regulate and manage the interests of local community based on the origin of local customs that are recognized and formed in national government system and are in city/district area according to Decree No. 23 of 2014 concerning Village Government [1].
The development policy strategy implemented by the government of Indonesia improves equitable development of results through cross-sectoral development policy in rural areas. This should open up opportunities for regional and village governments to take responsibility for their respective regional interests. Regional autonomy is a solution to the problems that occur because of the problem of disparity (inequality) of good development between the central government and the regions [2].
Statistically, the level of poverty that occurred in Bima regency has decreased from year to year. In 2015 decreased by 16 This indicates that the human development index of Bima Regency is in the range of moderate to high. Indeed, the data indicated that Bima Regency has increased economic growth, however, it has not been able to overcome the level of development gap between one region and another, both between districts and cities in one province [3].
Economic growth must be able to significantly reduce the number of poor people and further accommodate low inequalities or equal income distribution. Economic growth is a process of increasing per capita output in the long run [4]. Based on this explanation, it can be said that the ongoing development in Bima Regency in that period was exclusive but not inclusive development.
According to United Nation Development Programme, the development of several countries is an exclusive development. It means that development only takes into account the aspects of growth but ignores employment, poverty alleviation, and the environment so that sometimes there is a close proximity among high economic growth, high levels of unemployment and poverty, and environmental damage as a result of the development process [5]. Lin Y J et al. conducted research in China, the finding indicates that a key factor for economic growth in China is fiscal reform in line with rural reform [6]. This research is directly proportional to research Lai in Taiwan that the success of development strategies in Taiwan is largely determined by the development of the industrial sector in rural areas [7]. To achieve equitable growth and economic development, Indonesia must start from the countryside. This claim is based on several reasons. First, the majority of Indonesians live in rural areas. Second, although fiscal decentralization began in 2001, the data show several fundamental problems in the country, such as poverty, low education, poor health, inadequate facilities and infrastructure, exist in rural areas. Therefore, as soon as possible, reforms need to be built in consideration that the village area has a strategic position in the Republic of Indonesia. It can be said that if the rural area is advanced then the region and country must be the same. Thus, it is no exaggeration to say that rural areas are the spearhead of regional and national development [8].
Village development is a community movement in promoting development based on awareness to improve to a better life and a decent life. Most of Indonesian people or residents live in rural or remote areas. With the population and natural conditions increasing and abundant, the village government will get assets through a government program that is the Village Allocation Fund (ADD) based on Law No. 6 of 2014 concerning Villages [9]. To exercise their authority in regulating and managing government and the interests of the people, villages need a source of income. Village income is a vital resource for village administration.
The philosophy of the village fund is to improve welfare and equity of village development through improving public services in the village, promoting economy, overcoming the develpment gap between villages and strengthening community as the subject of development. The existence of village funds is expected to increase regional development because the village government receives an allocation of funds that will be used for capital development costs. The Bima Regency Government has 18 sub-districts and 191 villages, a strategic area, abundant natural resources and the majority of the people make a living in agricultural sector. The allocation of village funds in Bima Regency has begun in 2015 whose allocation was intended as a stimulus fund to encourage the financing of village government programs. The amount of village fund allocation distributed to the government of Bima Regency is a very large, as can be seen in Table 1 below. Regional development is a means to increase the capability of local governments to carry out their government in physical development in the form of advice and infrastructure [10] . Regional governments in funding development activities for the benefit of the community use capital expenditure. Capital expenditure is allocated by local governments to fund development activities aimed at the public interest. This activity resulted in the construction of various public facilities such as roads, bridges, telecommunications, electricity, school buildings and hospitals, markets and various other public facilities that could be utilized by the community [4]. Capital expenditure and allocation of village funds have different funding sources, but both can encourage economic growth. Increased economic growth is expected to reduce poverty and improve people's welfare. This research is motivated by research Prasetyo that examines the impact of village fund allocation in the era of fiscal decentralization on regional economies in Indonesia [8]. The results indicate that village fund allocation was able to improve regional fiscal and economic performance, able to reduce the number of poor people and increase the gross regional domestic product of the agricultural sector. In this research the implementation of village fund allocation is regulated in Government Regulation No. 72 of 2005, only 60% of local governments in Indonesia implemented it [11].
The present research aims to examine whether the allocation of village funds affects economic growth, human development index and poverty in Bima Regency. Theoretically, this research contributes to realizing development outcomes through the allocation of village funds which constitute inclusive development, since in inclusive development the meaningful development goals are not only pursuing economic growth but also oriented towards job creation to reduce unemployment, poverty, and income distribution gaps between community groups. Practically, the results of this research are expected to be used as material for consideration by the government in formulating policies on the implementation of village fund allocations and Capital Expenditure in order to support the Economic Growth of Bima Regency by reducing poverty and increasing the human development index.
Agency theory is a concept that explains the relationship between principals and agents, one of which is rooted in economic theory, decision theory, sociology, and organizational theory. Principal-agent theory analyzes the contractual arrangement between two or more individuals, groups or organizations. One party (principal) makes a contract either implicitly or explicitly with the other party (agent) so that the agent will do the work as desired by the principal (in this case the delegation of authority occurs). With this contract, problems that often occur with agents will be minimized [12]. Concerning this research issue is that the central government is seen as the principal and the regional government as an agent, and legislation implicitly constitutes a form of contract between the principal-agent.
Based on the Minister of Homeland Affairs Regulation No. 37 of 2011 regarding Village financial management guidelines, it is stated that the village financial management guidelines in Article 18 that the village fund allocation comes from the Regency/City budget sourced from the Central and Regional Financial Balance Funds received by the Regency/Cities for villages of at least 10% (ten percent) as Village Fund Allocation [13]. Village fund allocation is a budget used by the village government to empower the community and implement development that is managed directly by the village and the community [8]. Capital expenditure is a component of development expenditure for regional expenditure. Capital expenditures

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are allocated by local governments to fund development activities for the community. This activity resulted in the construction of various public facilities such as roads, bridges, telecommunications, electricity, school buildings and hospitals, markets and other public facilities that will be used by the community [4].
According to Kuznets in [4] economic growth is defined as improving the ability of a country to provide economic goods to its population. Djojohadikusumo in [4] also defines economic growth as the process of increasing the production of goods and services in the economic activities of society. Economic growth is a process of increasing the production capacity of an economy that is realized in the form of an increase in national income.
Poverty is a problem in development characterized by unemployment and underdevelopment which then escalates into inequality. The poor are generally weak in their ability to work and have limited access to economic activities so they are left behind by other communities that have higher potential. The Human Development Index (HDI) is an index to explain the way people access development outcomes and earn income, health, and education. Capital expenditure is important to maintain the welfare of its people, but capital expenditure is not the end of human development. Capital expenditure is used to improve human capabilities and the way people use these abilities.
According to [14], economic growth will affect people's wealth. Increased income in the community is characterized by an increased allocation of income for primary, secondary and tertiary consumption. According to Prasetyo the Indonesian economic growth model is an economic model that focuses on stimulating improvement in people's income through accelerating the growth of an economic sector efficiently and dynamically without taking into account the negative impacts on the wider community such as depletion of natural resources, damage to resources and environment [8]. Considering this matter, it is necessary to have an appropriate development plan and taking environmental capacity into account.

A. Hypothesis Testing
Hypothesis testing is performed to determine the effect of exogenous variables on endogenous variables. The exogenous variable in this research is the allocation of village funds while the endogenous variable is economic growth, human development index and poverty. Testing is done by looking at the value of beta (β) between variables and p-value. The results of hypothesis testing using warp pls 3.0 are shown as follows

B. The Impact of Village Fund Allocation on Economic Growth in Bima Regency
The allocation of village funds is funds sourced from the central government, which are given to develop villages. The higher the village funds provided, the higher the level of village development. Increasing this level of development can improve the economic activities of the community in Bima Regency. Therefore, the higher the village funds, the higher the economic growth of the area. This opinion indicates that the allocation of village funds has an important role in regional economic growth. Following Law No. 6 of 2014, regarding Villages, a budget allocation for villages is originated from the central budget which is carried out fairly and evenly to make an effective village-based program. Prasetyo proves that the allocation of village funds can improve regional fiscal and economic performance and can reduce the number of poor people and increase the gross domestic product of the agricultural sector [8]. While Ashari proved the role of the allocation of village funds in the development of physical infrastructure in Kelinjau Ilir village is still small [12]. This shows that when the allocation of village funds is properly allocated, it will increase economic growth as well as increasing the human development index and reduce poverty.
Based on the results of the test, the allocation of village funds affects economic growth in the Bima Regency. This can be seen from the value of beta β of 1.00 with p-value <0.01 which is smaller than alpha (α) 0.05. Therefore, the hypothesis of the allocation of village funds to economic growth in the Bima Regency is accepted. It shows that the allocation of village funds in the district of Bima has been able to increase economic growth, this finding supports the researches conducted by Markusen, Prasetyo and Ashari

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which say that the allocation of village funds can increase economic growth [3], [8], [13], The welfare of the community is reflected in the conditions of the community which can be seen from the living standard of the people [14]. Human development index is an indicator used to see the long-term development to measure success in building the quality of human life. In 2015, the Bima regency HDI reached 63.46%. This shows that the region's human development has increased but is still in "moderate" status. Economic growth shows an increase in people's income from time to time. Therefore, economic growth will affect the welfare of the people. Research by Sasana shows that economic growth has a significant influence and has a positive relationship with community welfare in the regency/cities in Central Java Province [14].
Based on the test, the allocation of village funds affects the human development index in Bima Regency. This can be seen from the value of beta β of 0.98 (positive) with a pvalue <0.01 which is smaller than alpha (α) 0.05. Therefore, the hypothesis of the allocation of village funds to the human development index in Bima Regency is accepted. This indicates that the allocation of village funds in Bima Regency has been able to increase the human development index. This finding supports the research conducted by Markusen and Ashari in which they state that the allocation of village funds can increase the human development index [3], [13] .

C. The Effect of Village Fund Allocation on Poverty in
Bima Regency t According to Dewi et al., poverty is a situation in which household income is too low to meet basic needs [15]. They have difficulty in buying food, homes, and clothes for daily use. This situation is driven by income inequality. To be more specific, poverty occurs because of income inequality that occurs in a country. Thus, poverty reduction is one of the development goals.
Based on this study, the allocation of village funds does not affect poverty in Bima Regency. It can be seen from the value of beta β equal to -1.00 (negative) with a p-value <0.01 which is smaller than alpha (α) 0.05. Therefore, the hypothesis of the allocation of village funds to poverty in the Bima Regency is rejected. This indicates that the allocation of village funds in Bima regency has not been able to reduce poverty. This finding is in line with research conducted by Dianti which states that the allocation of village funds cannot reduce poverty and contradict the research conducted by Dewi et. al which says that village fund allocation can reduce poverty [15], [16].

IV. CONCLUSIONS AND SUGGESTIONS
The allocation of village funds influences economic growth. It is shown that the village has been able to use the allocation of village funds effectively to support village development and the allocation of village funds has been able to increase the human development index which can be seen from the development of village infrastructure, educational institutions and health services that have been built in every villages. However, the allocation of village funds does not affect poverty. This is likely due to the program carried out by the village government still prioritizes infrastructure development that does not increase the community empowerment. The research implicates the need for an evaluation by the central government related to the allocation of village funds so that it can run effectively. Evaluation in this case can be done through socialization of government regulations and human resources training. This evaluation may reduce the potential misuse of village funds. Effective and efficient implementation of village funds will support village development which increases welfare and decreases poverty. In this research there are limitations, namely 1) this research is still general and it is expected for further researchers to examine each village in detail, 2) add other indicators such as unemployment variables and the Gini index of each Regency, 3) government regulations must be clear so that the village government can understand the allocation of village funds.


WAQF AND LEGACY OF ALTRUISM IN SINGAPORE: CHALLENGES AND DEVELOPMENT

The success story of waqf development in Singapore has been significantly acknowledged. The successful experience warrants for learning models for comparative experiences among other Muslim countries in Asia. This study document and analyze to share two main research objectives related to the Waqf practices. First, it aims to explore and elaborate on the dynamics of waqf administration and property development in Singapore. Second, analyzes the significance of past altruistic waqf landmark activities towards the Muslim community in Singapore. Based on prior studies, this research phenomenon has yet to be addressed and highlighted in any previous study. A qualitative approach with a case study research design is applied in this research. In-depth semi-structured interview sessions with 4 private mutawallis are complemented with reviews of relevant documents. This study finds that external factors, including mandatory acquisition by the government, higher living costs, and several legal restrictions represent the main challenges to the waqf sector in the country. On other hand, effective governing roles played by MUIS as waqf authority in the country enable the initiative of new waqf type and redevelopment of existing waqf properties. In the present time, these endowed properties provide benefits not only for the Muslim community in Singapore but also to significant other beneficiaries outside Singapore. The findings of this study indicate that the legacy of waqf inspires altruism in the modern Singaporean Muslim community. It becomes the basis for contemporary waqf practice among Muslims in Singapore and assists them to be a self-sustaining passionate and harmonic community.

INTRODUCTION
For instance, while being calculated to have cash waqf potential up to IDR180 trillion or roughly USD13 billion annually, the accumulated collection is reported to be less than 1% of such potential (Listiana, 2018). The potential of cash waqf has not been realized, despite the numerous numbers of Muslim.
According to Saad et al (2013), it is very important to learn how to enable good and efficient management of waqf institutions as they have a responsibility towards their stakeholders, including the waqf founder/waqif, mauquf alayhs, society at large, etc. While the huge potential of waqf remains, its gap to the current stance of majority waqf assets across Muslim countries needs to be addressed. One approach which can be conducted in addressing such an issue is by initiating research that provides empirical findings as a lesson learned for other countries. This study provides an empirical lesson learned from Singapore experience. Singapore is chosen as a case study due to its achievement in managing and developing the institutions of waqf.
The first house of prayer in Singapore was built on waqf property established by a Yemeni successful trader from Indonesia in 1820. Since then many other properties were endowed by wealthy Muslim philanthropists who migrated to Singapore. However, the trend ended in the 1970s as there was no creation of new waqf properties (MUIS, 2020a). Within the last two decades, the development of the Singaporean waqf sector has been internationally acknowledged (IRTI, 2015;Mohsin et al., 2016;WorldBankGroup, INCEIF, & ISRA, 2019). The successful experience is significantly recognized as it reported in the setting of a country where Muslims are the minority with around 14% of the total population as of 2018 (Hirschmann, 2019).
The current study has two objectives. First, it aims to explore and elaborate dynamic of waqf development in Singapore, including the challenges and factors for such development. Second, this research analyzes the significance of past altruistic activities towards the Muslim community in Singapore. So far as the researchers' concern, this topic along with the approach used in this study has yet to be addressed and highlighted in any previous study. Previous studies on waqf in Singapore are mostly discussed about the success story of their innovative financial model to redevelopment the existing waqf properties, including the usage of musharakah sukuk, internal funding by baytulmaal, and internal REITs (Abdul-Karim, 2010bINCEIF, 2018;IRTI, 2015). In terms of methodology and data collection, existing studies employed either document review or involvement of informants from authority. With those objectives, the proposed research questions in the current study are: 1) what are the challenges and success factors for waqf development in Singapore, and 2) how is the significance of Singaporean waqf for the Muslim community and their altruism in this contemporary era.
This study offers novelty by exploring the dynamics of the Singaporean waqf sector along with their significance for the mauquf alayhs. This topic is important because at the end of the day, regardless of the sophisticated financing model is being adopted to redevelop the waqf assets, mauquf alayhs are the one which shall absorb the benefit. Therefore, the contribution of the waqf to the beneficiaries need to be elaborated. Also, the current study provides empirical findings by involving private mutawallis who are managing several waqf assets in Singapore. While we need to acknowledge the success factors and perspectives from the waqf authority, we also need to accommodate and acknowledge other perspectives and understand the kind of challenges that are faced by the practitioners as part of the lesson learned.
It is expected that the findings of the current study will beneficial for academicians, regulators, and practitioners. While this study enriches the existing literature on waqf, it provides empirical evidence from Singapore experience as a lesson learned which may be beneficial and applicable for other countries, including Indonesia. This paper is organized into five sections. The first and second sections are introduction and literature review. The research methodology is provided in the third section, followed by findings and discussion. The last section is the conclusion.

LITERATURE REVIEW Concept and Definition of Waqf
Waqf means "to stop" or "to preserve" and designated for a specified and defined purpose. Shariah standard of AAOIFI (2015) defined waqf as "making a property invulnerable to any disposition that leads to transfer of ownership and donating the usufruct of that property to the beneficiaries (mauquf alayhs)". According to Abu Hanifah and majority Hanafis' jurists, waqf is the detention of a specific property from the ownership of waqf founder while its revenue is dedicated for charitable purposes in the manner of the loan (Mohsin et al., 2016). It means that the founder continues to own the property and can revoke the waqf ownership at any time. Abu Hanifah added that waqf assets are irrevocable in case of death or according to the court decision (Bakhtiar, 1996;Bank Indonesia, 2016;T. M. Khan, 2007;Mohsin, 2009). While this Islamic school emphasizes the ongoing ownership by the founder, Malikis' jurists allow for temporary waqf (AAOIFI, 2015). On the other hand, Hambali and Shafii emphasize the persistence and irrevocability of waqf principals that could be moveable or immovable (Mohsin, 2009). In substance, the corpus of waqf should not be inherited, sold, or given away as a gift or used as security collateral, and the benefit should be continuous (Al-Jazairy, 2001).
Waqf is not specifically mentioned in the Al-Quran as the primary sources of Islamic jurisprudence but related to sadaqah jarriyah 1 . As such, Abbasi (2012) and Kahf (1999) asserted that the gate for ijtihad is open for waqf matters, especially in addressing the fiqh inquiries which may arise in the current contemporary era. Ijtihad is defined as "independent reasoning" by those who have "thorough knowledge of theology, revealed texts, and legal theory (usul al-fiqh); a sophisticated capacity for legal reasoning; and a thorough knowledge of Arabic" (Esposito, 2020).
There are at least three conditions that should be met for the validity of a waqf (Al-Jazairy, 2001). First, the founder shall be qualified to make donations, the sound of mind, and the valid owner of the asset. Second, the endowment should be made with clear terms and conditions. Third, the endowed properties should remain to exist even after the benefit being used. In addition, there are four basic elements of waqf, namely the sighah (waqf deed/form of a donation), the waqif (waqf founder), the mauquf alayhs (waqf beneficiary), and the mauquf (waqf/endowed asset). Hanafis and Malikis' jurists agree that waqf can be done without any declaration evidence. An act by itself is sufficient and the property becomes waqf. Shafiis' jurists agree that endowment is completed even without delivering possession. Waqf can be made either verbally or in writing. Any ambiguity should be confirmed to the founder. If the person already dead, the evidence shall be collected (Bakhtiar, 1996;M. M. Khan, 2011;T. M. Khan, 2007).
According to the type of beneficiaries, waqf can be differentiated into three. First is waqf khairi or charitable waqf which the benefit can be used to provide benefit for public at large, such as the poor and needy, the orphan, the widow, for the scholarship, drinking water, medicine, etc. Within this type, even a non-Muslim can be part of the recipient of the produced benefit. Second is waqf ahli or family waqf which is dedicated to family members, such as relatives and descendants of the waqif. Third is waqf mushtarak or combination between charitable and family waqf. Within this type, the recipients of the waqf can be a combination of the society at large and family members of the waqif. The allocation of the produced benefits may vary according to the intention of the waqif as specify in the waqf deeds. Based on the economic substance, waqf can be differentiated into direct waqf and productive waqf. While the first refers to waqf in which the benefits or services are used directly from the corpus, such as mosques, schools, graveyards, etc. The second refers to waqf in which the corpus is being invested and managed to produce revenues which later will be channeled to the mauquf alayhs (Kahf, 2005).

Regulatory Framework on Waqf in Singapore
Waqf complements other forms of charitable activities for the Muslim community in Singapore. Some of these religious activities are further supported and governed by an act called the Administration of Muslim Law Act (AMLA). In Singapore, AMLA represents the highest regulation when it comes to the regulatory framework on waqf. It was originally enacted in 1966 and was implemented in 1968. While sections 58-66 and 73-75 cover regulations on waqf, other sections cover rulings on zakat, mosques management, halal certification, hajj administration, inheritance, others relevant to Muslims in Singapore. Under AMLA, several subsidiary Published by University of Airlangga. This is an open access article under the CC BY license (https://creativecommons.org/licenses/by-nc-sa/4.0/) regulations are available. On waqf matters, other than rules on "Wakaf and Nazar Am" and "Mutawallis and Trustees 2018", several internal guidelines have been issued by the waqf authority in the country. In AMLA, waqf is defined as "the permanent dedication by a Muslim of any movable or immovable property for any purpose recognized by the Muslim law as pious, religious or charitable". With this definition, waqf created in Singapore shall be permanent and can only be established by a Muslim. Before the enactment of AMLA, waqf was governed under British colonial ruling. In such a period, Muslim and Hindu Endowment Board was assigned to oversee all Muslim and Hindu endowments in Straits Settlements (Alias, 2011;Brown, 2008). The prior existence of MUIS, there was Muslim Endowment Board in which the members were representative of Islamic organizations in Singapore. The Board was the advisor to the British government. At present, as stated in AMLA, a maximum of seven members of the MUIS Council are appointed by the government. Regarding waqf, as being mandated in AMLA, MUIS has a function to "administer all Muslim endowments and funds vested in it under any written law or trust". With this provision, MUIS represents the only waqf authority in the country. It has the authority to issue policy and to make decisions on waqf matters. They also have the power to appoint and replace trustees or mutawallis 2 , to takeover abandoned waqf properties from the previous trustees or mutawallis, etc. In terms of structure, it consists of MUIS Council, MUIS committees, fatwa council, and MUIS management. All administration matters related to waqf is handled by a unit within MUIS management called zakat and waqf unit. This unit is led by a manager with two or three staffs (Gov.sg, 2019).
Situated as a statutory board under the Ministry of Culture, Community, and Youth (MCCY) and under the direct supervision of minister who is in charge for 2 In this study, term "mutawalli" refers either trustee or private mutawalli

Previous Studies on Waqf Development in Singapore
While previous studies have acknowledged the success experience of Singapore in developing the existing waqf properties, the majority covers discussion on the innovative financial model used to redevelopment the existing waqf properties. Abdul-Karim (2007, 2010a, 2010b) explored the usage of financial structure to redevelop the waqf properties in the country. She elaborates on the usage of internal funding from baytulmaal to redevelop several waqf projects, musharakah sukuk to redevelop Bencoolen project, and internal Real Estate Investment Trust (REITs) to acquire a building in Beach Road. She also explained financing models used in the development of waqf assets both in a contemporary and a historical perspective.
In addition, she explained about Mosque Building Fund (MBF) 3 , which according to her, can be considered as cash waqf. Technically, the cash is pooled together by deducting the salary of Singaporean Muslim employees. Later, the collected funds are used to build new mosques or redevelop the existing mosques. This pooling of funds has enabled the Muslim community to enjoy new mosques along with their beneficial facilities in Singapore. In other studies, challenges and prospects of waqf administration and development in Singapore are elaborated from the perspective of the authority (Abdul-Karim, 2011).
Another previous research about waqf development in Singapore is presented by Hasan (2011). This research highlighted about two Muslim cooperatives in Singapore namely Amanah Saham Mendaki (Mendaki Growth Fund) and Ufuk Mendaki which had failed in enhancing the roles of Muslim Small and Medium Enterprises (SMEs) in Singapore. He elaborated on the proposed waqf-based model to address this issue. He asserted that waqf-based cooperative is applicable to current regulations in the country. This study suggests that several Islamic codes of ethics, such as transparency, reputation, accountability, credibility, good collaboration, productivity, risk management, and shariah-compliant shall be implemented to enable the effective function of waqf-based cooperative.
Published by University of Airlangga. This is an open access article under the CC BY license (https://creativecommons.org/licenses/by-nc-sa/4.0/) Hanefah et al. (2011) compared the financing methods adopted to develop waqf properties in Malaysia and Singapore. They noted that the development of waqf assets in Singapore is worth to be learned, especially after the establishment of Warees Pte. Ltd. They also noted the Mosque Building Fund and considered this fund as part of cash waqf since it represents monthly donation of Muslims in Singapore. In addition, modern modes of financing such as the musharakah sukuk are also being acknowledged in this study.
IRTI (2015) conducted a comparative study on the waqf regulatory framework in several Asia countries, including Singapore, Malaysia, Indonesia, India, Pakistan, Bangladesh, and Brunei Darussalam. They acknowledged the success story and good practice of Singapore in developing the waqf properties by elaborating the significant increase income of two waqf projects i.e. Duku Road and Wakaf Kassim, along with the modus operandi of sukuk musharakah which was adopted to developed the Bencoolen waqf.
INCEIF, Worldbank, and ISRA (2018) acknowledged Singapore for the usage of modern management approach by involving competent resources and implementing transparency in managing their waqf assets. They noted the usage of musharakah sukuk to finance the redevelopment of Bencoolen waqf, the purchase of Beach Road building, and hibah some donations to redevelop The Red House project. Abdullah and Saiti (2016) researched to examine the financing model called musharakah sukuk, which is used to develop waqf assets in Singapore in 2001 and 2002. Employing case study methodology, including documentary and content analysis of selected materials, this study found that musharakah sukuk did not meet the conditions to fulfill as legal contracts and legitimate income from Islamic perspective. This study suggested an alternative mechanism for the development of waqf projects in the future, which is based on real estate investment trust model.
It can be noted that existing studies, while mainly focusing on the financial innovation used in developing waqf properties in Singapore, the majority are adopting documents and content analysis. In several studies, representatives of MUIS and their subsidiary were involved as informants in the data collection. On the other hand, the current study focuses on the challenges along with the success factors of such development rather than the financial model. This study involves representatives of private mutawallis to accommodate other perspectives and information.

RESEARCH METHODS
A qualitative approach with a case study research design is applied in the current exploratory study. Qualitative study is a means to explore and understand the social or human phenomenon and its related problem (Creswell & Creswell, 2018). The current study employs a qualitative approach because it can produce more text-based on facts or phenomena rather than numerical output. This method is suitable to explore the dynamic of waqf development in Singapore.
This study employs multi-method techniques in data collection (Saunders, Lewis, & Thornhill, 2016). This study involves four private mutawallis with a purposive sampling technique. According to Thaker (2018), purposive sampling is the most common sampling technique to select participants on research. This research chooses expert sampling, which is part of purposive sampling. The selection criteria for experts are based on their knowledge about waqf. An in-depth semi-structured interview session with four private mutawallis (waqf managers) of well-known waqf accounts, who are descendants of waqf founders was conducted to elicit important and relevant information. To complement and articulate the interview response, relevant documents such as legislation documents, published reports, and news are reviewed using content analysis. All interview sessions were recorded and manually transcribed.
Thematic analysis is used to analyze the verbatim transcription. Thematic analysis is defined by Braun and Clarke (2006) as "a method for identifying, analyzing, and reporting patterns (themes) within data". Thematic analysis is used in this study because of the following advantages. First, it can summarize the key features of large data. Second, it highlights the similarities and differences of data. And third, it provides usefulness in making analysis suited to policy development (Braun & Clarke, 2006). Atlas.ti software version 8 is used to assist the data management and analysis of the collected data. Initially, eleven codes are produced from the coding process. From these codes, three thematic networks are being developed to summarize the key and relevant themes.

RESULT AND ANALYSIS Waqf in Singapore Context: The Challenges and Development
Throughout history, waqf sector in Singapore faces a turbulent situation that challenges its progress and significance. Since 1820, waqf creation was active until the 1970s when the last waqf established was reported. The sector was revived around the 2000s when more redevelopment projects are executed.

Challenges Towards the Waqf Sector
When it comes to the question of challenges to the waqf sector, one major theme which can be noted from the responses of informants is related to the compulsory land acquisition 4 by the state. For the informants, the mandatory land acquisition reduces the significance of waqf which initially created by their Arab and Published by University of Airlangga. This is an open access article under the CC BY license (https://creativecommons.org/licenses/by-nc-sa/4.0/) Indian Muslim founding fathers. The acquisition of many waqf properties in form of mosques, graveyards, and shophouses, was majority occurred during the development of Singapore by People's Action Party (PAP) after independence (Abdul-Karim, 2010b;Brown, 2008). As an example, one well-known waqf, as elaborated by Private mutawalli D, initially had properties in the form of a mixed commercial and residential complex with a mosque. The four-storey building consisted of 20 doors/units. In the past, the income of this waqf was sufficient to cover the operational expenses to run the madrasah, including paying the salary for the teachers, electricity bills, etc. In other words, the waqf income was able to provide free education for madrasah. The property was taken over by the government and compensated with an amount that can only buy two shop lots in a Plaza. Currently, the shop lots are being rented to a retail business and the waqf income is not sufficient to provide similar service due to the smaller amount of capital as well as smaller amount of produced benefit.
Our waqf properties were acquired by the government… the compensation was not sufficient to buy the similar one… they use law under the public scheme to acquire waqf assets (Private mutawalli D) As elaborated, since the mandatory takeover by the government was using the law, the waqf trustee has no option and power for any objection. A similar statement was elaborated by another private mutawalli, I managed 18 waqf accounts. Ten in the form of properties and eight in the form of cash which the properties have been acquired by the government. The cash is currently saved in a fixed deposit… the compensation amount was small and thus the income is very little (Private mutawalli C) He added information that as the properties were taken over before the Rent Control Act was lifted, the compensation amount was very small. He illustrated before the Rent Control Act was lifted, the monthly rental was less than a hundred Singapore Dollar (SGD), but now the rental reached up to thousands SGD. As such, the compensation amount in the form of cash became insignificant compared to the current value of similar properties. Since the cash was saved in cash deposit, now its value is even less than monthly rental of typical property in Singapore. The financing income received from the cash deposit is too little to be distributed to the mauquf alayhs.
Another theme being raised by informants is related to the higher living cost in Singapore. The higher cost of living made the waqf income insufficient to cover a similar service as it was provided in the past. For example, in the case of The Red House. This waqf property initially consisted of shophouses with excess empty land. This property was included in Waqf Revitalization Scheme and the property was entered into a joint development agreement with Warees to be developed as 42 residential units' apartments, five commercial units, and an old conserved bakery shop. From this project, there is a distribution of units between the private mutawalli and the Warees. Despite the redevelopment which scales up the asset value, the income has not been sufficient to provide the free health service, as it was implemented in the past.
The waqif intended to provide free health service by opening a clinic. In the past it was possible. Now it cannot because the cost is too expensive… currently we distribute the benefit on-demand to those who request assistance for medication expense (Private mutawalli B) Another challenge, as identified by all informants in this study is related to the existence of regulations which to some extend cause difficulty for the waqf development. Since the amendment of AMLA in 1999, private mutawallis are required to register their waqf account as all waqf accounts are vested in MUIS. Since then private mutawallis need to ask permission and report to MUIS for any major activities related to the waqf properties. In case private mutawallis are going to sell and buy another type of waqf property, they must seek approval from MUIS Council. The Council itself is scheduled to have a meeting once in two months. As a consequence, the private mutawallis need to wait for the decision by the Council.
While private mutawallis must comply with the regulations issued by MUIS as waqf authority in the country, they also need to comply with other regulations and restrictions imposed by several other authorities. There are cases where waqf properties cannot be developed because they are in kampung or old business district areas which currently represent the historical legacy of Singapore.
Published by University of Airlangga. This is an open access article under the CC BY license (https://creativecommons.org/licenses/by-nc-sa/4.0/) There are a lot of other agencies and when it comes to project approval I must get obtained… that part is very challenging… there is a restriction in terms of law and all that, waqf cannot buy properties and all that (Private mutawalli A) Effect of the mandatory takeover by the government towards the significance of waqf, as raised by informants of this study, aligns with the fact provided by Brown (2008). She noted that Arab-owned lands which most of them are waqf, "was gradually eroded by urban planning programs of both the British and the PAP". In the 1970s, 50% of the total land in Singapore was privately owned majority by Arabs and Chinese. The number was decreased to 20% in the 1990s (Brown, 2008). After the massive takeover by the state, at the end of 2016, there were 100 waqf accounts left with 141 properties. The waqf account decreased into 84 with 140 properties at the end of 2017 (Osman, 2018b(Osman, , 2018a.

Factors for Development of Waqf Sector
One major theme which emerged regarding the factors for the development of waqf sector in Singapore is about the effective governing roles of MUIS as waqf authority. Those governing roles include monitoring and supervision, policy formulation, and decision making, which aligns with the ideal roles of the governing body as elaborated by Pointer and Orlikoff (2002). As waqf authority, MUIS keeps all deeds of the registered waqf accounts along with a list of waqf properties. Annually, private mutawallis and Warees are required to submit annual report to MUIS. In parallel, MUIS also prepares and published annual report along with their audited financial statement. Whenever private mutawallis are nominating their successor, MUIS will conduct a background check on the criminal and financial aspect. Availability of proper check and balance mechanism is beneficial to prevent any mismanagement and misallocation of the waqf properties. It can avoid the illegal selling of waqf asset as it was happened in the past.
When I want to buy this property for waqf number so and so, this street this road, MUIS will check… to some extent, there is control, there is check and balance towards the waqf assets (Private mutawalli C) In terms of policy formulation, MUIS publishes relevant regulations and policies. The latest issued regulation, as elaborated by private mutawalli A, is related to the requirement of each waqf account to allocate a portion of their waqf income as sinking fund, which is dedicated to major repair and development of the waqf in the future. In some cases, the objectives of waqf which were created hundred years ago are no longer relevant. In this case, private mutawallis can seek advice and proper procedure from MUIS.
We meet MUIS to seek their advice… they, especially the fatwa committee, can provide fatwa on whether we can change the objective of waqf (Private mutawalli B) In addition, MUIS also assumes a bureaucratic decision-making function. In case of any inquiry or proposal being raised by private mutawallis, a consultative bureaucratic hierarchical decision-making process will be conducted. If the inquiry is related to operational matters, it will be handled by the MUIS management, especially the relevant waqf unit. On the other hand, in case of strategic matters such as investment, major repair, and redevelopment project, it will be tabled in the MUIS Council meeting.
In terms of decision making maybe we have better decision-making process… sometimes we can also get some advice (Private mutawalli A) With the existence of effective governing roles, efforts to revive the waqf sector can be initiated. As waqf authority, MUIS is initiating the establishment and campaign of waqf ilmu 5 since 2012. Technically, it is the collection of cash waqf in which the mauquf alayhs are the six full time madrasahs in Singapore. The capital of collected cash waqf is managed and invested by MUIS. The income from investment is then distributed to the beneficiaries. Up to the end of 2018, SGD14,8 million has been collected and invested with around SGD1,96 million income for disbursement (MUIS, 2019 Source: Warees, 2017 In addition, MUIS supports the execution of redevelopment of existing waqf assets, which most of them are in the form of properties. Several initiatives have been started to revive the existing centuries old endowed properties. To enable redevelopment, supportive fatwa, and policy which allow for asset migration (istibdal) and long lease 99 years have been issued. This kind of development, to some extent, encourage a more productive waqf and can avoid takeover under Land Acquisitions Act. To date, several redevelopment projects, as elaborated in Table 1, have been executed.

Significance of Waqf: Muslim Community and A Legacy of Altruism
In Singapore, the waqf income is channeled to the mosques, madrasahs, charitable organizations, poor/needy, burial services, and financial assistance. According to the waqf deeds, the income is not only distributed within the country. Part of waqf income is distributed for mauquf alayhs outside Singapore, as stated by one of private mutawalli that, "the beneficiary is not only in Singapore. We have in Hadramaut, Saudi, Malaysia, Indonesia". While some portion is allocated to cover the maintenance expense of mosques, clinics, schools, etc, some other is allocated for the poor people either family relative or non-family relative of the waqifs.
For this waqf, the mauquf alayhs are descendants of the waqifs, dedicated for their education, most recipients are university students… other waqf, the mauquf alayhs are needy people, mosque, and clinic in Hadramaut… the amount is hundred thousand SGD (Private mutawalli C) In some cases, the waqf income is given to the descendants on-demand to those who need urgent help, for example, to cover the operation or health expense. From other waqf properties, "the number of mauquf alayhs reach up to 4000 needy people in Yaman" (Private mutawalli B). Other than material benefit in the form of distribution of cash, there is a kind of non-material benefit from the waqf legacy. During the interview sessions, several statements that indicate the proud feeling from the mutawallis towards their waqf founders can be observed. The waqf properties which were created by their great-grandparents inspire their willingness to maintain and sustain the legacy of the waqf. For them, managing the waqf assets is an amanah (trust). As such, giving the best efforts is the priority.
He has very far vision for the community. This waqf has been around for centuries. He passed away in 1906. Based on his will, 1/3 of his wealth was set to buy properties and to make it into waqf, to support the school, to support the mosque, and to support an orphanage institution… we notice that after him, his daughter, his sisters and so on follow his footstep by set aside some of the property as their waqf (Private mutawalli A) The legacy inspires the next generation… I want to follow footstep of my grandfather… there is kind of pride feeling (Private mutawalli B) As trustee or mutawalli of the waqf, they are entitled to receive an annual commission. For some mutawallis, the amount is determined based on the allocation of the waqf gross income. For some others, the amount is fixed based on the decision of the high court. One informant who has become a trustee for more than 40 years does not want to appeal for higher commission as he acknowledged that mauquf alayhs are those who are the priority to receive the benefit of the waqf. This is waqf, we do not expect more commission. Alhamdulillah, we get from other ways from Allah (Private mutawalli D)