Transparency and Accountability in Hajj Financing and Management

Being a paper presented by Prof. Wasiu O. GABADEEN FNAEAP,MNAE at the 2nd National Stakeholders Summit of Hajj and Umrah Industry on Wednesday, 30th April, 2025 at NICON Luxury Hotel, Abuja, Nigeria.

• Hajj, the fifth pillar of Islam and the world’s largest annual religious gathering, sees millions of Muslims converge on Mecca, Saudi Arabia, for a series of sacred rituals.
• The sheer scale and complexity of Hajj management require meticulous planning to ensure the safety and welfare of its participants.
• Given the significant financial volume involved, cultivating a trust-driven financial management culture is paramount for all Hajj stakeholders.
• A critical nexus exists between trust building and transparency in Hajj financing for sustainable funding of Hajj operations and for fostering enduring trust among the stakeholders.
• Thus, transparency and accountability are essential practices for bridging the existing trust deficit among Hajj stakeholders.
• Does Trust deficit exist among Hajj Stakeholders in Nigeria?

Manifestations of Trust deficit among Hajj Stakeholders in Nigeria:

• A significant trust deficit exists among Hajj stakeholders in Nigeria, which may not be unconnected with a combination of long-standing and current issues; such as:
• Lingering Concerns about Financial Integrity.
• Substandard Pilgrim Experiences.
• Hajj Fare Calculation lack Clarity and Openness.
• Appointment of Hajj Officials not Expertise and Competent driven.
• Limited Stakeholders’ Engagement or Involvement.
• Insufficient Information Sharing among Critical Stakeholders.
• The choice of Location and State for Inaugural Flight is devoid Verifiable Criteria.

Consequences of Lack of Transparency

• Mismanagement and abuse of resources.
• Loss of public trust.
• Increased Hajj costs.
• Violation of the trust (Amanah) given by Allah.
• Accountability in the Hereafter.

Admonition to Hajj Stakeholders

Conceptual Clarification of Terms

The two key terms in this presentation are transparency and accountability in relation to financing and management of Hajj operations in Nigeria. These terms can be clarified as follows:

• Transparency: The disclosure, openness and timely information regarding all aspects of Hajj financing and management for effective service delivery. Hence, stakeholders must demand for transparency in all financial transactions and secure the Hajj funds.
• Accountability: The establishment of robust mechanisms that will ensure that those entrusted with Hajj funds and management responsibilities are held answerable for their actions and decisions. Accountable Hajj management build public trust and stakeholders’ confidence.

Practical Areas Requiring Transparency in Hajj Management

• Hajj fare determinants, Collection, Remittances, Disbursement and Utilization.
• Procurement related matters.
• Engagement of service providers (accommodation, transportation, and other logistics).
• Visa processing and related cost components.
• Construction and maintenance of Hajj facilities.
• Handling of emergency funds and donations (e.g., subsidies)

Challenges to Transparency and Accountability in Hajj Financing

1. Mutual suspicion among the pilgrims, operators and regulators.
2. Insufficient or inaccessible information about Hajj finances.
3. Weaknesses in existing oversight mechanisms.
4. Mismanagement of Hajj funds.
5. Complex financial processes.
6. 6. Lack of established standards, reward for compliance and sanctions for infractions.
7. 7. Inadequate professional skills and competencies among the managers of hajj funds
8. 8. Abuse of powers and privileges of office
9. 9. Weak understanding of the concept, implications and consequences of misplacement of public trust in Islam.

Dear esteemed and respected participants at this year summit:

1. Let us build unwavering public trust among pilgrims, operators and regulators by institutionalizing open books, clear processes, and accessible information on all financial and operational transactions.
2. Let us hold individuals and institutions accountable on all assigned responsibilities by institutionalizing robust oversight mechanisms, clear lines of responsibility, and the courage to address shortcomings constructively.
3. Let us focus all financial and operational decisions on the needs and welfare of the pilgrims by institutionalizing management strategies that are central to the renewed pilgrims’ spiritual and operational experiences.
4. Let us enforce all the provisions of the regulatory agencies by institutionalizing clear guidelines, stringent compliance measures, and enhanced integrity profile of finance officials.