Claim Missing Document
Check
Articles

Found 1 Documents
Search
Journal : Journal of Islamic Economic Laws

The Importance of Implementing Environment, Social and Government (ESG) and Maqasid Sharia-Based Islamic Finance in Islamic Bank Fitriyana Agustin; Ridan Muhtadi; Sakinah Sahal
Journal of Islamic Economic Laws Vol 6, No 2: July 2023
Publisher : Muhammadiyah University Press

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.23917/jisel.v6i2.21214

Abstract

Environment, Social Governance (ESG) is a trending topic worldwide that is gaining a lot of traction because of its focus on social and environmental impact, and its relationship to improving financial performance. Likewise, Islamic Finance, being Shariah-compliant, is also another concept that is growing globally. These two concepts share many common values and similarities as they address challenges of social development. However, there are several obstacles and challenges in terms of integrating ESG in financial institutions, because this is a new concept. Financial institutions implement sharia principles with the aim of achieving Maqasid Sharia (i.e., protecting life, religion, mind, lineage and property). Even in the concept of ESG investment, screening of certain business sectors is required. The aim of this research is to optimize the potential to attract more interest from public companies as ESG and Maqasid Sharia strive to fulfill their social goals without compromising their side business operations. The research method uses a type of Systematic Review with a mixed method of literature search which is carried out both in qualitative and quantitative research. It aims to improve the integrity of research findings from 20 journal articles. This research found that Many Islamic banks have started promoting sustainability through their financing and initiatives many years ago which put them ahead in terms of ESG. There are still many obstacles that need to be overcome to get the best results from the integration of ESG and Islamic Finance as well as offering insights into Islamic finance models such as ESG investment from an Islamic perspective, especially with regard to the concepts of Maqasid Sharia and maslaha mursala, so that ESG and Maqasid Sharia can be applied in all institutions, especially Islamic banking.
Co-Authors Abd Rohman Al Hadifi Abd. Aziz Abd. Wahab Abdul Ghoni Ach. Fauzi Lutfi Ahmad Taufiqur Rahman Akhmad Rofiki Alifah Alifah Anindya Yusuf Wirmanda Anis Eliyana Arifin, Nur Rachmat Aunur Rofiq Dhoqi Dofiri Dwi Ariady Kusuma Ervicaninda Herry Fahmi as-Sulthoni Fanani Mafatikul Ihsan Fanani Mafatikul Ihsan FARID ILHAM AL QORNI Faridatun Nila Faridatun Nila Faridatun Nila Faridatur Rosyidah Firman Ardiansyah Firman Ardiansyah Fitriyana Agustin Fitriyana Agustin Gancar Candra Premananto Imron Mawardi Inayah Swasti Ratih Istianah Istianah Kamali Kamali Karimah Karimah Linda Sari M Mohsi Mansur Mansur Moch Qosyim Moh Arifin Moh Fudholi Moh Safik Moh Subhan Moh. Fudholi Moh. Fudholi Mohammad Adi Mohammad Adi Muhammad Rizatul Yunus Mumuh Muhammad Muslikhin Muslikhin Muzakki Muzakki Nabila Yuli Firdaus Nanik Wahyuni ‎ Nila, Faridatun Nova Haryanto Novita Ayu Fitriyani Nur Rachmat Arifin Nur Rachmat Arifin Nur Rachmat Arifin Nur Rachmat Arifin Nur Rachmat Arifin Nur Rachmat Arifin Nuri Herachwati Nuri Herachwati Pramudia Yuli Eka Permana Pramudia Yuly Eka Permana Putri Cahya Rosyadah Qosyim, Moch R Wahyu Agung Utama R Wahyu Agung Utama R. Wahyu Agung Utama R. Wahyu Agung Utama R. Wahyu Agung Utama Ratih, Inayah Swasti RB Dandy Raga Utama Ririn Tri Ratnasari Risa Sari Pertiwi Risma Ayu Kinanti Rizky Winanda Rosyadah, Putri Cahya Ryval Ababil Safik, Mohamad Sakinah Sahal Shirenda Rizka Maulia Siti Masfufa Siyah Siyah Sri Herianingrum Sri Herianingrum Subaida Subaida TAMIMAH TAMIMAH Tamimah, Tamimah Tsaniyatul Haliyah Utama, R Wahyu Agung Utama, R. Wahyu Agung Wisnu Bayu Aji Zainurrafiqi Zainurrafiqi Zavirani Fitrandasari