The Indonesian Association of Islamic Economists (IAEI) UIN Saizu Purwokerto Branch, in collaboration with Bank Indonesia, discussed climate crisis issues and economic sustainability at a national seminar titled “National Green Finance Strategy: Toward a Sustainable Sharia Economy,” held at the UIN Saizu Purwokerto Library Hall on Thursday (June 19). A number of experts and practitioners from various institutions presented synergistic strategies to achieve an economy that is not only environmentally friendly but also rooted in Islamic values.
This seminar served as a strategic platform to unify perspectives, formulate solutions, and strengthen the role of Islamic economics in Indonesia's green transformation. Alnopri Hadi, a representative from Bank Indonesia Purwokerto, emphasized the central role of Bank Indonesia in promoting sustainable financial policies. He highlighted the global losses caused by extreme weather, which have reached US$1.5 trillion over the past two decades, as a serious warning for Indonesia. Strategic steps such as green financing incentives, green and inclusive macroprudential policies, and a Transition Plan are part of BI's commitment to guiding the economic transition toward a greener future.
Dr. Akhmad Faozan, Lc., M.Ag., Deputy Dean I of FEBI UIN Saizu, discussed the theological position of Islam on environmental issues. Based on QS. Al-A’raf: 56 and QS. Ar-Rum: 41, he emphasized that environmental conservation is a religious commandment. Faozan cited various sharia instruments such as green sukuk, productive endowments, and green microfinance as concrete solutions for applying green economic principles in real life.
Meanwhile, Hendro Wibowo, Ph.D., CFP, an academic at the SEBI Institute and a board member of the Indonesian Association of Islamic Economists (IAEI) for the 2019-2025 period, highlighted the importance of the connection between green finance and the Sustainable Development Goals (SDGs). He stressed the need for green infrastructure projects that align with Sharia principles, including through Public-Private Partnership (PPP) schemes. “This is not just idealism, but an inevitability of the future,” he emphasized.
Prof. Dr. Naelati Tubastuvi, Chair of the Central Java Branch of IAEI, concluded the session by discussing the strategic role of sharia microfinance in addressing environmental crises and social inequality. She highlighted the significant potential of products such as qardhul hasan, musyarakah, productive zakat, and green waqf. However, she noted that cross-sectoral collaboration and innovation in green products are key to success.
The event moderator, Dr. Apik Anitasari Intan Saputri, S.H., M.H., summarized the discussion by emphasizing that the transition toward a just green economy requires collective effort from regulators, academics, industry players, and grassroots communities. Islamic finance is seen as capable of becoming an ethical agent of change that brings transformative impact for the future.
