Does Allah punish people in this world, or is this world solely for trial and punishment is only in the Hereafter?

The Hereafter is purely the abode of recompense, but there is also recompense in this world for both believers and disbelievers. For believers, the calamities and worries of this world expiate their sins. As for disbelievers, they are punished in this world as a retribution for their disbelief and transgression, as Allah the Almighty said: "And there will always befall those who disbelieve a shattering [calamity] for what they have done" and "And We will surely let them taste a torment other than the greater torment, that perhaps they will return [to righteousness]" and "We will cast terror into the hearts of those who disbelieve for what they have associated with Allah."