Green Banking and Islamic Banking: Building Sustainable Banking Based on Islam

Abstract

This study discusses the synergy between Green Banking and Islamic banking in developing a sustainable banking model based on Islamic values. Green banking and Islamic banking have great potential in creating a banking system that not only focuses on economic profits but also pays attention to social and environmental sustainability. Its application includes financing green projects, renewable energy, and sustainable infrastructure, in accordance with the Sustainable Development Goals (SDGs) and the principles of maqashid al-syariah. However, challenges such as low literacy, limited human resources, and regulatory harmonization still hinder implementation. This study uses a qualitative descriptive approach and literature review to analyze the potential and challenges of the synergy between green banking and Islamic banking. The results show that this synergy can encourage banks to play an active role in sustainable development and create positive social and ecological impacts.