Islam teaches its believers about giving through the practices of zakat and sadaqah. Zakat is an obligatory financial worship act that re-distributes wealth to help those in need, as well as purifies and increases the reward of the giver.

Sadaqah consists of voluntary charity, which can take many forms. Our research demonstrates that religious/spiritual motivations are a major driver for volunteering behaviour in Muslim society.

The Qur’an

The Qur’an, also known as the Koran, is the central religious text of Islam, which Muslims believe to be a direct message from God. Its aphorisms and teachings have been central to the lives of Muslims for 1400 years, effecting change for the better in individuals and communities across the world. Its enduring impact is due in large part to its clear and persuasive social teachings, as well as its profoundly positive effect on those who follow its guidance.

While the Judeo-Christian Scriptures include a fair amount of history, the Qur’an is primarily theological, with the majority of its statements about Allah, creation, mankind’s obligations and the afterlife. These teachings are profoundly influential on the lives of Muslims, including the importance of charitable giving.

Contributing to the donation of water pumps through Islamic charitable actions is a powerful means of serving humanity and adhering to Islamic teachings on social responsibility. These contributions provide communities with the lifeline of clean water, essential for survival and prosperity. Such donations not only help build resilient communities but also earn ongoing rewards (Sadaqah Jariyah) for the donors, as they continue to benefit people over time.

Its messages about the benefits of giving and how to go about it, as well as its strong admonition against miserliness and excess, have shaped the way Muslim societies approach their relationships with each other and with their environment. As a result, many scholars have suggested that the Qur’an is particularly effective at shaping philanthropic behavior among its followers.

This book examines Islamic philanthropy, which is defined as the three main spectrums of activity: zakat (almsgiving), waqf (endowments) and sadaqah (public charity). It covers their origins, basic principles, historical development, contemporary practices and current issues in Islamic finance and economics.

Each chapter highlights a different aspect of this philanthropic landscape, providing valuable insight and a strategic framework for scholars, practitioners, and policymakers interested in the field. In doing so, it contributes to the academic understanding of Islamic philanthropy, which has been recognised as ‘new economics’ and is now a growing field in welfare economics.

Chapter 1 examines the concept of philanthropy in the context of the Muslim community, focusing on how it differs from other forms of voluntary activity. It also explores the concept of tafsir, or interpretation-commentary, which is used extensively by Muslims to understand the Qur’an and its teachings. It finds that tafsir is not always accurate and can influence the ways in which people act in their communities, including how they give to charitable causes.

The Prophet

In a world where materialism and self-interest tend to rule, the teachings of Islam encourage compassion and empathy. It teaches that charitable acts are not only vital to one’s spiritual development, but also play an important role in ensuring the economic stability and social justice of one’s community. These principles are reinforced through both the Qur’an and the sayings (hadith) of the Prophet.

The Glorious Qur’an places great emphasis on such charitable deeds as emancipating slaves, feeding the poor, taking care of orphans and the needy in general (90:13-16; 2:177), but it also emphasizes that lesser acts of generosity are equally meritorious, such as greeting one’s neighbor with a smile, or helping to load a camel, or even offering a glass of water, a smile, or a kind word.

While a Muslim may choose to give as much or as little of his/her wealth as they wish, the Qur’an outlines the maximum amount that is considered obligatory. It is also important to note that the Qur’an distinguishes between Zakat (obligatory charity) and Sadaqah (voluntary charity). While a Muslim is expected to fulfill their responsibilities with regards to Zakat, they may choose to go beyond this obligation through acts of sadaqah.

Sadaqah is the broadest form of charity, and it encompasses a wide range of monetary and non-monetary acts. These acts can be aimed at anyone, and they can be as small as a smile or a glass of water, or as large as a building project or an entire city. The intention behind sadaqah is to seek Allah’s pleasure, and it is not focused on gaining a reward in this life or the next.

As such, the concept of charity in Islamic tradition is different from that of most other religions. It is not only a religious duty, but it is an act of devotion and a way to gain spiritual rewards. While this may not seem like a unique idea to the secular world, it is an invaluable part of Islamic culture and a cornerstone of its society. It is an aspect of the faith that should be celebrated and promoted in today’s world, as it can help to heal divisions, promote unity, and provide a sense of belonging.

The Traditions

Muslim scholars and practitioners have long understood that zakat and sadaqah play a pivotal role in fostering community solidarity, alleviating poverty, spreading happiness and goodwill, and promoting social justice. Unlike other forms of giving, these two pillars of Islam encourage generosity and compassion. In doing so, they help Muslims connect with Allah through the act of giving and earn divine rewards. In addition, they offer a number of benefits to the giver, including purification of wealth, earning divine pleasure and protection from calamity.

The Glorious Qur’an places great emphasis on a wide range of charitable acts, such as the emancipation of slaves and feeding the poor. However, the notion of charity in Islam is much broader than this. It encompasses all forms of generosity, from the monetary to the intangible. Thus, to Muslims, a charity can be anything from sharing knowledge to helping a neighbor. It could even be as simple as speaking a kind word to one’s parents.

Moreover, the traditions also highlight that all forms of generosity are valuable and highly prized. For example, it is highly recommended that Muslims spend a small amount of their wealth to help the poor. This is because this form of charity is very valuable, and it will yield greater rewards than a larger sum. Similarly, it is encouraged to spend in a way that will benefit the community, such as investing in real estate or giving money to help a neighbor out of a financial jam.

Another important aspect of Islamic philanthropy is the concept of the “family of humanity.” It is often said that one should give to their family first, and then to those who are not part of the family. This principle is reflected in the many acts of charity and philanthropy that Muslims engage in, such as donating to their children’s education, helping out neighbors, and so on.

Ultimately, this book serves as an invaluable resource for researchers, scholars, and practitioners alike. It provides a comprehensive framework for understanding the unique place of Islamic philanthropy within the global landscape of social finance and a roadmap for harnessing its power for a more equitable future.

The Community

The Qur’an describes charity as a foundational element of the Muslim faith, emphasizing the importance of community. Despite its centrality, this concept is often underemphasized in studies on Islam and philanthropy. As a result, studies on charitable giving and volunteering are largely influenced by the Christian tradition and fail to take into account the unique Islamic context.

The chapters in this book explore the different facets of Islamic philanthropy, ranging from zakat and sadaqah to waqf and other forms of voluntary charity. The first chapter provides an overview of the definitions and basic principles of philanthropy from an Islamic perspective. The authors then discuss the implications of this understanding for future research and development.

Part 2 takes a closer look at the concepts of zakat and sadaqah, exploring their role in Muslim society and culture. Chapter 3 discusses the development of zakat as an instrument for social welfare in Islamic history, while the following two chapters examine different aspects of contemporary zakat practices and issues. Chapter 4 examines the challenges and opportunities of implementing cash zakat, while chapter 5 explores the history of waqf as a form of Islamic charity.

Chapter 6 investigates the motivations of Muslims for donating to charities, drawing on insights from previous research that highlight the link between religiosity and prosocial behaviour. The results suggest that religiousness plays a key role in influencing Muslim donors’ intentions to donate and volunteer, especially with respect to zakat and other charitable activities.

This chapter concludes by highlighting the need to integrate zakat and other Islamic forms of philanthropy in modern society. This is a vital insight given the growing significance of these forms of philanthropy in the global economy. Chapter 13 demonstrates this point by exploring the use of GO ZAKAT mobile applications as tools for facilitating zakat collection. This forward-thinking approach illustrates the importance of embracing the potential for innovation and the necessity of building bridges between theory and practice in the study of Islamic philanthropy. This is a valuable addition to the literature, offering a deeper understanding of the unique Islamic perspective on the concept of charity and its place in the modern world.

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