THE IMPACT OF ISLAMIC SOCIAL FINANCE INSTRUMENTS ON THE SOCIAL SPHERE: THE CASE OF INTERNATIONAL ORGANIZATIONS USING ISLAMIC SOCIAL FINANCE INSTRUMENTS

The paper explores the burgeoning influence of Islamic social finance, focusing on the huge impact and contribution of traditional Islamic social finance instruments. Due to their nature and scope in terms of social good, ethical principles have driven Islamic social finance to the forefront in the wake of recent economic and political uncertainties. It puts into perspective the trends and activities of three major Waqf and zakat institutions, after which an elaboration of their various contributions to the social sphere is further done. The article covers financial aspects dealing with income sources generated by these institutions and enumerates their statistical contributions in recent years.Analyzing these important facets of Waqf and zakat, the article goes deep into the practical implementation and impacts that the principles of Islamic social finance have. It concludes by summarizing the findings and providing some general conclusions with regard to the potential of Waqf and zakat in addressing social challenges.