Islamic Finance and Climate Action

Ethics, Environmental Stewardship and Sustainability

Mohd Ma'Sum Billah, Razali Haron, Rusni Hassan, Syed Marwan Mujahid Syed Azman, Akhtarun Naba’ Billah

• Publisher: Routledge
• Year: 2025
• eBook ISBN: 9781040647530
• Topic: Business
• Subtopic: Business Ethics
• Index: Business

In the face of unprecedented global warming and escalating environmental crises, this book offers a comprehensive investigation into the ways Islamic financial principles can contribute to combating climate change. It delves into the significant potential of the Islamic finance industry and showcases its capacity for sustainable and ethical investment that aligns with the global climate change agenda.

The book meticulously discusses the role Islamic finance can play in developing low-carbon and climate-resilient infrastructure, providing readers with a rich blend of theoretical insights and practical methodologies. It underscores the harmony between Islamic ethical finance and ecological care, highlighting their joint role in funding renewable energy and fostering resilient communities. Through insightful case studies and analyses, it positions Islamic finance as a vital player in global climate initiatives. Introducing innovative instruments like green Sukuk and evaluating Waqf (endowment) for eco-projects, it critically reviews how Islamic financial institutions can further drive climate-positive investments, providing a framework of Islamic climate finance. It analyses the law and policies of Islamic finance governing climate action and puts forward a strategic action plan.

Aimed at scholars, researchers, and academics, this book is an invaluable resource for those seeking to understand and implement Islamic financial solutions in the battle against the global climate crisis. It also serves as an essential guide for policymakers and practitioners committed to steering financial practices towards more sustainable and globally beneficial outcomes, ultimately providing strategic knowledge and practical tools to mobilize resources effectively for the planet's future.

Mohd Ma'Sum Billah is Senior Professor of Finance at the Islamic Economics Institute, King Abdul Aziz University (KAU), Kingdom of Saudi Arabia.

Razali Haron is Professor of Finance at the IIUM International Institute of Islamic Banking and Finance, International Islamic University, Malaysia (IIUM).

Rusni Hassan is Professor of Finance and the Dean at the IIUM International Institute of Islamic Banking and Finance, International Islamic University, Malaysia (IIUM).

Syed Marwan Mujahid Syed Azman is Assistant Professor of Finance at the IIUM International Institute of Islamic Banking and Finance, International Islamic University, Malaysia (IIUM).

Akhtarun Naba' Billah is pursuing her LLB (Hons) at the Ahmad Ibrahim Kulliyyah of Laws (AIKOL), International Islamic University, Malaysia (IIUM), and is scheduled to complete her legal internship at the Office of the Chief Justice of Malaysia (Palace of Justice, Putrajaya, Malaysia) in 2025.

Table of contents

• Cover
• Half Title
• Series
• Title
• Copyright
• Dedication
• Contents
• List of tables
• List of figures
• About the editors
• Acknowledgement
• Foreword
• Preface
• List of contributors
• Introduction
• Part I World view of Islamic finance mind-set for climate action
• Part II Islamic financial law and policies for climate action
• Part III Strategic action plan of Islamic finance for climate action
• Part IV Role of Muslim governments towards climate action: regional case studies
• Part V Mobilizing Islamic finance for climate action: programming, instruments, and application
• Part VI Impact analysis of Islamic finance for climate action
• Index