Sadaqah is a charitable giving and is a non-obligatory amount of money paid to help the needy and the poor. Anyone has the ability and willingness can do so, and there are no rules applied to it except to have the intention to help another. Sadaqah is an effective Islamic social financial instrument used to assist those in need. There is a misconception that all forms of Islamic social finance should be designed in a way that there should be no element of profit involved. Apart from the distinctive tools of Islamic social finance, even the Islamic trade contracts used to structure products and services of Islamic commercial contracts can be used in Islamic social finance.

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