Islamic Finance

Abstract

This study explores the role of Islamic finance in mitigating the adverse effects of climate change on human well-being, the environment, and the economy. Emphasizing the necessity of integrating sustainability principles into financial strategies due to ecological disruptions, the chapter positions Islamic finance as a distinctive alternative that aligns with the principles of sustainability, equity, and balance. The research highlights several critical areas: a comprehensive examination of Islamic financial products, a balanced assessment of environmental impacts, the importance of community involvement, and the challenges and barriers in implementing Islamic finance principles for sustainable practices. The study offers valuable insights into how Islamic finance can contribute to climate change mitigation, providing a robust foundation for addressing global environmental issues.