The National Waqf development Corporation (NAWADCO), a three-month-old public sector firm set up by the UPA government to develop 6 lakh acres of Waqf land, is set to launch its IPO by the end of the year, according to a newspaper report.

NAWADCO, a central PSU under the ministry of minority affairs, was established in January with an authorised share capital of Rs 500 crore and a paid up capital of Rs 100 crore. It was the first step in setting up Shariah compliant financial institutions for building infrastructure for the welfare of the community. It was one of the recommendations of the Sachar Committee.

India has the largest number of Waqf properties in the world. There are more than 4.9 lakh registered Waqf properties and the annual income from these is about Rs 163 crore. The IPO would be the first time a corporation tasked with the development of Waqf properties is entering the market.

The Sachar Committee had estimated that such properties, if properly developed, with a minimum return of 10 per cent, would be capable of generating an income of Rs 12,000 crore per annum.