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I live in a country that suffers from a high rate of inflation. I understand that interest is haram (this is not questioned). But when 100 money is worth 90 money the next year, surely I should be entitled to a rate of interest where my money is worth 100. If I do not accept interest, then value of money goes down. My country is very worse for inflation but this is example. In the same way, deflation makes my money worth more, is this Allah's will?

What Islamic methods are approved of to counter such misgivings? In the time of the prophet, fiat money was not used, so one silver coin was always worth one silver coin. When prices go up, and my money goes down, that is double the problem. So far I have lost half my money by avoiding interest, what can I do?

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You could save most of your money in a more stable currency, and make long term investments in stocks (make sure they're halaal though).

Please also bear patience and say alhamdulilah, for you'd much rather be hit by this in this dunya than in the hereafter.

If I were in your position, I'd donate a portion of it as sadqah along with making dua that Allah increases your remaining wealth in value. That's if you need it. It is said in many places that sadaqah increases wealth.

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  • Sir, I have a large family, 69 children from 6 beautiful wives. However this reduction in cash is becoming very to difficult to feed my children. I am but from a humble background and do what I can. I cannot invest in another currency because that may be speculation, and I think haram, but also currency controls stop me. If I purchase stocks that give dividends surely that is haram, because dividend is interest or no? This works the same way as banks.
    – Servantofallah
    Jan 25, 2021 at 10:59
  • Typo, I meant 4 wives
    – Servantofallah
    Jan 25, 2021 at 11:24
  • quora.com/Is-it-halal-or-haram-for-Muslims-to-trade-forex/… - unfortunately islamqa is down so I can't post the original link. This shows how you can trade forex in an halaal way. It would be a good way to keep what you have stable.
    – moinudin
    Jan 25, 2021 at 20:48
  • The stock market is a tricky one, as you have to be very careful which stocks you own. There are halal listing that have selected only those stocks which fit strict criteria. You can ask on reddit.com/r/HalalInvestor for more info as they specialise on this topic.
    – moinudin
    Jan 25, 2021 at 20:51

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