Browse
Recent Submissions
Item Embargo The impact of carbon emissions on stock returns and financial performance : analyzing regional variations and governance mechanisms in Asia, the Middle East, and Europe(Universitas Islam Internasional Indonesia, 2025-07-29) Abbasi, Rashid Shabir; Indra Gunawan; Fajar B. HirawanThis research addresses a pertinent question in asset pricing: whether firms’ carbon emissions affect their stock returns. To investigate this, the study conducts a comprehensive analysis of approximately five thousand firms across Asia, the Middle East, and Europe, employing robust econometric methods. The findings indicate that higher-emitting firms earn lower monthly returns in all these regions, although the strength of this relationship varies across regions. This negative return-emission relationship is further explained through the lens of financial performance. Additional analysis reveals that firms with higher carbon emissions also exhibit weaker financial fundamentals. These findings suggest that emissions are not only an environmental concern but also a proxy for broader operational inefficiencies, regulatory exposure, and reputational risk. High-emitting firms often face higher compliance costs, reduced demand from ESG-conscious investors, and lower stakeholder trust—factors that collectively deteriorate profitability. As financial performance declines, so do market expectations of future cash flows, thereby translating into lower stock returns. By controlling for industry and time-fixed effects and addressing potential issues of multicollinearity and serial correlation through two-way clustered standard errors, this study provides robust empirical evidence that carbon emissions are priced in financial markets, both directly through performance and indirectly through investor sentiment. The results have significant implications for investors, policymakers, and firms operating in increasingly sustainability-focused economies.Item Open Access Impact of mobile money on climate smart agricultural practices and GHG emission reduction in Kenya's agricultural sector(Universitas Islam Internasional Indonesia, 2025-08-01) Majid, Ruwaida Mohamed; Istiana Maftuchah; Rininta NurrachmiThis study investigates how mobile money facilitates the adoption of climate-smart agricultural (CSA) practices and reduces greenhouse gas (GHG) emissions through waste-to-energy transitions in Kenya's agricultural sector. Despite agriculture being a major contributor to Kenya’s GDP, farmers face severe financing constraints, receiving only 3.5% of total bank lending in 2023, which limits their ability to invest in sustainable technologies. This financial exclusion presents a significant barrier to climate mitigation and adaptation, particularly among smallholder farmers vulnerable to weather volatility and rising GHG emissions. Using monthly time-series data from 2008 to 2024, this study applies the Autoregressive Distributed Lag (ARDL) model to analyze the impact of mobile money and financial inclusion on CSA adoption and GHG emissions. A scenario and sensitivity analysis were also conducted to evaluate farmers’ potential earnings from carbon credit sales through briquette compaction and organic fertilizer production. The results indicate that a 1% increase in mobile money use reduces GHG emissions by 0.384%, while a similar rise in financial inclusion leads to a 0.217% decline. Moreover, the scenario and sensitivity analysis reveal a compounding pattern: carbon revenue increases with both carbon price and adoption scale. At just 5% adoption and $20/tCO₂e, briquette compaction can yield $31.36 (KES 4,547) per farmer per month, enough to lift some above Kenya’s rural poverty line of KES 3,252/month. Even at base-case levels ($10, 1% adoption), farmers can earn KES 1,134/month, which can cover school fees or repay input loans. The study concludes that mobile money is a scalable tool to close the agricultural finance gap, enhance CSA adoption, and operationalize Kenya’s climate ambitions.Item Embargo Carbon emissions and trade in East, South, and Southeast Asia : a panel data approach(Universitas Islam Internasional Indonesia, 2025-07-17) Saboor, Abdul; Teguh Yudo Wicaksono; Aimatul YumnaThe relationship between trade and carbon emissions is a crucial component of global climate discourse, particularly for Asia’s rapidly industrializing economies. Trade can either intensify environmental degradation through carbon leakage or serve as a channel for cleaner technologies and decarbonization. Understanding this duality is essential for designing effective, climate-aligned trade policy in the region. This thesis examines the impact of several trade factors on carbon emissions in thirteen countries spanning East, South, and Southeast Asia from 1990 to 2024, considering Asia's increasing emissions and reliance on exports. Employing a panel data methodology based on the Environmental Kuznets Curve (EKC), the Pollution Haven Hypothesis (PHH), and Pollution Halo effect Hypothesis frameworks, four distinct trade-emissions models are developed to evaluate the effects of total trade, merchandise trade, manufacturing exports, and agricultural exports independently. The principal independent variables comprise GDP per capita, power generated from renewable sources, and sector-specific tariff frameworks. The models are evaluated employing fixed effects and Driscoll–Kraay standard errors to guarantee robustness against heteroscedasticity, autocorrelation, and cross-sectional dependency. Empirical findings indicate that trade, especially in merchandise and agriculture, is significantly correlated with heightened emissions, notably in South Asia, where fertilizer use and fossil fuel transportation are prevalent. Conversely, manufacturing exports exhibit varied effects: emissions increase in East Asia while decreasing in ASEAN economies, characterized by more sustainable production methods. Renewable electricity consistently mitigates emissions across all scenarios, whereas tariff liberalization devoid of environmental protections exacerbates carbon leakage. The Environmental Kuznets Curve (EKC) is somewhat substantiated, particularly in the agricultural sector, where wealth development results in reduced emissions. Regionally, ASEAN demonstrates effective trade-emissions decoupling, East Asia reveals industrial vulnerability, and South Asia contends with enduring emission intensities associated with export expansion. Policy recommendations encompass the implementation of carbon-adjusted tariffs, regional Emissions Trading Systems (ETS), ESG-linked export incentives, and CBAM-style transport taxes to internalize embedded emissions. This study offers pragmatic approaches to align trade liberalization with climate objectives and enhances the developing dialogue on sustainable trade governance, green finance, and regional decarbonization plans in the Global South.Item Embargo Impact of economic growth and environmental sustainability on carbon emission in selected South Asian countries : a panel ARDL model analysis(Universitas Islam Internasional Indonesia, 2025-08-10) Marwat, Mohammad Jawid; Rininta Nurrachmi; Aimatul YumnaRising CO2 emissions in South Asian economies pose significant environmental challenges, driven by industrialization, economic progress, foreign direct investment (FDI), and agricultural productivity. This study aims to examine the impact of economic development on CO2 emissions and explore influence of GDP per capita, FDI, industrialization (INDS), and agricultural productivity (AGVAD) on emissions in the short and long run, and examination presence of the Environmental Kuznets Curve (EKC) in selected South Asian countries over the past 40 years. Using a quantitative approach, panel ARDL model through Pool Mean Group (PMG) estimator is employed, justified by the failure of Dynamic Fixed Effects and Mean Group estimators, balancing long run homogeneity with short run heterogeneity. Short run findings reveal insignificant effects, with agricultural productivity, industrialization, and FDI reducing emissions by 1.92%, 1,89%, 0.98%, respectively, while agricultural and FDI and industrial FDI show negligible impacts, highlighting weak sectoral dynamics. The GDP squared term provides no EKC support, and the ECT of interaction model’s indicates weak convergence. Long run findings highlight sectoral influences, with agricultural productivity and FDI the result further demonstrate the increasing of emissions by 1.18% due to intensified agricultural practices, while industrialization and FDI reduces emissions by 6.70% reflecting green industrial technologies. FDI showed significantly increase emission by 141.15%, indicating a pollution haven effect, while GDP squared lacks EKC support. The significant ECT suggests a 19.32% adjustment speed toward equilibrium. These results underscore the need targeted policies to regulate agricultural FDI, promote green industrial FDI, and implement structural changes to mitigate emissions, as economic growth alone does not reduce CO2 emissions. Policymakers should prioritize sustainable agriculture and stringent FDI regulations to address South Asia’s environmental challenges effectively.Item Embargo Sustainable finance and energy poverty : empirical insights from Asia-Pacific countries(Universitas Islam Internasional Indonesia, 2025-07-28) Dea Fajria Tatarizqa Japal; Rininta Nurrachmi; Aimatul YumnaEnergy poverty, defined as the proportion of the population without access to electricity, is a multidimensional challenge that hinders sustainable development in the Asia-Pacific region. This study empirically examines how sustainable finance, proxied by renewable energy investment, can contribute to reducing energy poverty levels in 38 countries in the Asia-Pacific region during the period 2016–2025. By combining the Green Finance Transmission Framework (GSPE) and the STIRPAT model, this study applies panel data regression and tests the mediating mechanism of renewable energy consumption, along with control variables such as GDP per capita, foreign direct investment (FDI), and urban population. The results indicate that sustainable finance has a significant direct impact on reducing energy poverty. However, interestingly, the mediating mechanism through renewable energy consumption is statistically significant, suggesting that the impact of sustainable finance on energy is always channeled through increased clean energy consumption, and there may be constraints in terms of adoption, distribution, or energy infrastructure. Additionally, GDP per capita significantly accelerates the reduction of energy poverty, but this finding differs from previous studies as it shows that in Asia-Pacific countries, income growth is more effective when accompanied by good energy governance. Meanwhile, FDI does not show a significant effect, suggesting that foreign capital flows have not been optimally directed toward inclusive energy sectors or remain concentrated in carbon- intensive sectors. Interestingly, urbanization actually exacerbates energy poverty in the short term, highlighting infrastructure disparities in rapidly growing urban areas. These findings are validated through robustness tests using a first-difference approach and clustered standard errors. Overall, this study enriches the literature on the relationship between sustainable finance and energy justice, emphasizing the importance of designing financial policies that target social impacts, not just environmental aspects. This research also provides empirical foundations to support the achievement of SDG 7 (Affordable and Clean Energy) and SDG 13 (Climate Action) in the Asia- Pacific region.Item Controlled Access Optimizing the role of sharia life insurance in achieving sustainable development goals (SDG 3 and 8) post spin-off policy(Universitas Islam Internasional Indonesia, 2025-07-23) Nur Halimatus Sakdiyah; Rininta Nurrachmi; Istiana MaftuchahBased on the phenomenon of crisis and predictions of health and financial crises expected to occur in the next 25 years by Hanika (2024), this study will identify the opportunities and challenges of Sharia life insurance (SLI) in achieving Sustainable Development Goals (SDG 3 on good health and well-being and SDG 8 on decent work and economic growth), considering the new spin-off policy from FSA Indonesia Regulation No. 11 of 2023, this study will also analyze the effectiveness of the policy through Lawrence M Friedman's theory based on three elements: structural, substantial, and cultural. Further identification determines the priorities of opportunities and challenges in the SLI industry using the Analytic Network Process (ANP) approach with criteria obtained from literature reviews, interviews, and questionnaires from three expert respondents, namely Bumiputera Sharia Life Insurance, FSA Indonesia, and BRI Life Insurance's business unit. The research results indicate that the role of SLI can achieve SDG targets 3 and 8 in ending infectious disease epidemics, reducing premature deaths, achieving universal health coverage, including financial risk protection, increasing health financing, as well as achieving per capita economic growth, full and productive employment, and the development of sustainable tourism policies. Second, spin-off policies are effective in all issues of SLI through the structure, substance, and legal culture of Lawrence M. Friedman's theory. Third, the main opportunities identified are good governance, technology development, and employee management. Finally, the main challenges include product innovation, improving public literacy, and increasing the number of policyholders.Item Embargo Examining the impact of ESG score performance on bank market value : a case study of banking industry in 6 ASEAN countries(Universitas Islam Internasional Indonesia, 2025-07-25) Laraswati; Taridi Kasbi Ridho; Fajar B. HirawanThis research examines the correlations between ESG performance and market value of banks within the ASEAN region. Specifically, it examines the impact of ESG combined score and its individual pillars Environmental (ENVS), Social (SPS), and Governance (GPS) on bank market capitalization. The analysis covers a panel of 50 banks from Indonesia, Malaysia, Singapore, Thailand, the Philippines, and Vietnam over the period 2005 to 2024. To assess both short-run and long-run dynamics, the study employs the Autoregressive Distributed Lag (ARDL) model, supported by robustness checks using the Generalized Method of Moments (GMM) and fixed-effect models. The findings reveal that in the long run, ESG scores and their sub-components do not have a statistically significant effect on bank market value, as indicated by a positive but insignificant error correction term (ECT = 0.393, p = 0.000). However, in the short run, the fixed-effect model shows that ESG has a positive and significant impact at the 10% level, while the Environmental and Social pillars are significant at the 5% level. The Governance pillar shows a positive but statistically insignificant correlation with market value. These results suggest that while ESG activities may not yield long-term market benefits in the ASEAN banking sector, they can enhance market value in the short term, particularly through environmental and social performance. This resesarch highlights the importance of integrating ESG considerations into short-term strategies, especially in emerging markets, while acknowledging the need for further development in regulatory frameworks and investor awareness to realize long-term value from ESG initiatives.Item Embargo The impact of innovation on corporate emission(Universitas Islam Internasional Indonesia, 2025-07-30) Azizah; Rima Prama Artha; Istiana MaftuchahThe emergence of climate-related risk enforce companies across global to minimize their environmental impact, particularly on GHG emissions. As innovation expected as supportive tools in assisting the company toward cleaner business operation, this study investigates the impact of innovation on emission reduction, Innovation is captured through four independent variables: Environmental R&D Expenditure; Disclosure on Pollution, Resource, and Water R&D; and Disclosure on Green Capital Expenditure. To control for other potential influences on emissions, Commitment Consistency, Total Waste and Market Capitalization are included as control variables. Since the mandatory of disclosing innovation-related information remains uncommon, even in the global scale, this study utilize panel data from 358 companies across various industries between 2018 and 2024, sourced from Refinitiv Eikon. The analysis estimate 3 types of total emissions, including Scope 1, Scope 1&2, and Scope 1, 2, and 3 as the dependent variables. To highlight the difference impact of innovation, the author also conduct separated examination by dividing the sample companies into two category, namely high polluting industries and non-high polluting industries. The results under the fixed effect model reveal a nuanced and evolving influence. Green capital expenditure consistently reduces Scope 1 (direct) and Scope 1 & 2 (direct and energy-related indirect) emissions, particularly for "All Industry" and "High Polluting" groups. Conversely, environmental R&D initially correlates with increased Scope 1 emissions, suggesting complexities in its immediate impact, but loses significance for Scope 1 & 2. Consistent commitment significantly lowers Scope 1 and Scope 1 & 2 emissions for "Non-high Polluting" companies. However, the analyzed variables largely fail to explain total Scope 1, 2, and 3 (value chain) emissions. Only market capitalization shows a significant positive correlation with total emissions across "All Industry" companies, indicating larger companies may have higher overall emissions due to extensive value chains. These results emphasize that while direct green investments and strategic commitments effectively manage operational and energy-related emissions, addressing comprehensive value chain emissions requires more intricate strategies and a broader set of policies, including optimized innovation, climate commitment, waste management, and proportional regulation.Item Embargo Challenges in carbon markets - lessons for emerging emission trading system (ETS) and offset markets (case study: Indonesia)(Universitas Islam Internasional Indonesia, 2025-07-30) Jobarteh, Ayuba; Hanafi Sofyan Guciano; Istiana MaftuchahCarbon markets are increasingly recognized as vital instruments for reducing greenhouse gas (GHG) emissions and addressing climate change. As developing countries adopt market-based climate policies, understanding the operational challenges and potential of these markets becomes essential. This thesis examines the key regulatory, structural, and integrity-related issues facing Indonesia’s carbon market, with a focus on its Emissions Trading System (ETS) and offset programs. Using a mixed-methods approach combining document analysis of global case studies and in-depth stakeholder interviews, the research explores the institutional, technical, legal, and financial dimensions shaping Indonesia’s carbon market development. Sources include EU ETS literature, ASEAN regional reports, World Bank publications, and national regulatory presentations. The findings indicate persistent challenges such as fragmented governance, low liquidity, inadequate MRV and registry systems, and unclear legal frameworks. Stakeholders further identified untapped opportunities in nature-based solutions, digital innovation, and cross-border cooperation. Drawing lessons from the EU and ASEAN, the study emphasizes the need for phased policy rollout, stronger institutional alignment, price transparency, and fraud safeguards. Ten policy recommendations are proposed, including capacity-building, legal reforms, and alignment with Article 6 of the Paris Agreement. The novelty of this research lies in its triangulated methodology and its actionable synthesis of international best practices tailored to Indonesia’s context. This work contributes to the emerging literature on carbon markets by offering both diagnostic insights and policy-oriented solutions for market credibility and scalability.Item Embargo The influence of liquidity risk, market value, and expected return on corporate social and environmental expenditures in Indonesia’s natural resource-based industries : the moderating role of financial distress(Universitas Islam Internasional Indonesia, 2025-07-22) Yana Fimansyah; Taridi Kasbi Ridho; Ersa Tri WahyuniThis research plays a pivotal role in exploring the equilibrium between securing organizational legitimacy and preserving corporate financial stability. Therefore, the purpose of this study is threefold. First, it investigates the simultaneous relationship between liquidity risk, market value, and expected return on Corporate Social and Environmental Expenditures (CSEE); secondly, to explain the moderating role of financial distress among the considered variables; and thirdly, to examine the contribution of the lagged dependent variable (prior CSEE) into the model. The analysis focuses on natural resource-based industries including energy, mining, forestry, and plantation companies listed on the Indonesia Stock Exchange during the 2018–2024 period, yielding 280 panel observations. This study employs a two-step Generalized Method of Moments (GMM) estimation. The findings display a positive but statistically insignificant effect of liquidity risk and expected return on CSEE, while market value has significant positive effect. Moreover, financial distress moderates the relationships among the variables examined; and the lagged CSEE found to be positively significant. These findings highlight that internal financial conditions and distress play a critical role in shaping firms’ sustainability investment strategies. Stronger regulatory frameworks and fiscal incentives are recommended to support long-term commitments to environmental and social programs. To the best knowledge of the researcher, the study is first to measure the moderating impact of financial distress of the influential factors of corporate management’s decision-making in determining the allocation of CSEE funds by considerating the simultaneous relationship between independent and dependent variables.Item Embargo CWLS for sustainable healthcare financing : case study on Achmad Wardi eye hospital(Universitas Islam Internasional Indonesia, 2025-07-18) Fahmi Aulia Rahman; Ugi Suharto; Aimatul YumnaProductive management of waqf funds will have a significant and sustainably impact the development of waqf in Indonesia. This research examines the impact of CWLS implementation as a sustainable healthcare financing on Achmad Wardi Eye Hospital. The research combines qualitative interviews, quantitative surveys, and document analysis. Qualitative analysis involves thematic analysis of interviews with stakeholders related to the CWLS program in Achmad Wardi Eye Hospital. To gain deeper insight into the program's impact, the pentahilix theory approach was used to determine interview participants, consisting of the Ministry of Finance and BWI as the government, lecturers as academics, directors of Achmad Wardi Eye Hospital and Dompet Dhuafa as business actors, beneficiaries as the community and the media. The Analytic Network Process (ANP) was used to assess which important factors in implementing the CWLS program in Achmad Wardi Eye Hospital were seen from the Impact Evaluation framework which consist of Input, Process, Outcomes, and Impact. The findings show that the CWLS Program has significantly impacted Achmad Wardi Eye Hospital in financial, operational, and social. Beneficiaries also felt the program's impact on improved quality of life and health awareness. In addition, the ANP analysis identified the most important factor is the Input factor. Based on these findings, this study provides recommendations to relevant policymakers in managing CWLS funds to improve the program's effectiveness. These recommendations include patient diversification, providing more affordable prices for general patients, formulating policies and commitments pertaining to environmental concerns, increasing fund availability, updating regulations on waqf, prioritization shift from input to impact, increasing public literacy, replica of the program in other regions and improving capacity and professionalism nadzir. This research concludes that the CWLS Program at Achmad Wardi Eye Hospital is a role model in impactful and sustainable productive waqf management.Item Controlled Access Green sukuk issuance on sustainable transportation in Indonesia : a bibliometrics and system dynamics model(Universitas Islam Internasional Indonesia, 2025-07-07) Syamsi Mustofa Singgih Prayogo; Dian Masyita; Rizky WisnoentoroThe urgency of climate change mitigation and sustainable development has led to the emergence of innovative financial instruments such as green sukuk. This research explores the role of green sukuk in financing sustainable transportation in Indonesia by integrating bibliometric analysis and system dynamics modeling. The study aims to analyze the evolution of green sukuk literature globally and locally, identify knowledge gaps, and develop a dynamic policy model to assess the impact of green sukuk issuance on lowcarbon transportation projects. Using the Scopus database and VOSviewer, a bibliometric analysis reveals a growing academic interest in green sukuk since 2017, particularly in the context of environmental sustainability and Islamic finance. However, the literature remains limited in empirical studies in the green project, standarized taxonomies, and environmental impact measurement. Complementing this, a system dynamics model was developed using Vensim to simulate green sukuk financing on sustainable transportation, and emission avoided outcomes across railway infrastructure, electric vehicles, and Bus Rapid Mass Transmission systems, and sustainable transportation technology. The model demonstrates that green sukuk can serve as an effective policy instrument to support Indonesia’s net zero emissions target by 2060, especially when accompanied by policy design, institutional alignment, and increased issuance rates. Policy scenarios tested in the simulation indicate that prioritizing sustainable transportation infrastructure and enhancing the green sukuk ecosystem could significantly reduce carbon emissions and increase emission avoidance over the long term. This research contributes both theoretically and practically by enriching the green sukuk literature through a bibliometric lens and offering a system dynamics model for policymakers and financial institutions. The study recommends strategic policy interventions, capacity building, and transparent reporting to strengthen the role of green sukuk in Indonesia’s sustainable finance framework.Item Embargo Unveiling factors to increase electric vehicle adoption through green banking in Indonesia(Universitas Islam Internasional Indonesia, 2025-07-23) Abdurrahman Faqih Mukhlish; Rizky Wisnoentoro; Aimatul YumnaThe electric vehicle population in Indonesia remains significantly below the government’s targets aimed at reducing carbon emissions. This study seeks to identify factors that could enhance the adoption of electric vehicles in Indonesia, thereby accelerating their growth. Using a qualitative approach, the research explores these factors, which are analyzed through thematic analysis. The findings reveal seven crucial factors necessary for expanding the electric vehicle population in Indonesia: ownership costs, functionality, vehicle identity, policies and regulations, environmental impact, facilities and services, and motivations. Challenges and expectations, as well as green financing from banks and multifinance for electric vehicles, are also examined. This study concludes that the role of green banking financing for electric vehicles will follow the readiness and maturity of the electric vehicle ecosystem itself. Additionally, based on the data analysis, the study offers several recommendations to promote electric vehicle growth, including continuing subsidies and tax incentives, developing and maintaining infrastructure, nurturing the electric vehicle ecosystem, innovating to reduce prices, increasing literacy and awareness, and providing access to competitive and attractive financing options for the community. This research concludes that improving the understanding and management of these factors can significantly boost electric vehicle adoption.Item Controlled Access Sustainability assessment in the halal herbal medicine sector : a comparative study of PT Herba Penawar Alwahida Indonesia and PT Sido Muncul Tbk(Universitas Islam Internasional Indonesia, 2025-07-24) Ayurisya Dominata; Hanafi Sofyan Guciano; Istiana MaftuchahThis study aims to assess and compare the social impact of sustainable investment inthehalalherbal medicine business sector through the Social Return on Investment (SROI) approachand, withcase study of PT Herba Penawar Alwahida Indonesia (HPAI) and PT Sido Muncul. This researchisamixed-methods study combining qualitative and quantitativedata to answer the research questions. Data collection techniques were carried out through in-depth interviews, direct observation, studyvisits to companies, and documentation studies. This study shows that the integration of sustainablefinance principles inthe halal herbal medicine business sector provides a significant contributiontobusiness sustainability and consumer trust. Through a comparison between PT Herba PenawarAlwahida Indonesia and PTSido Muncul, it can be concluded that the two companies have differentapproaches in implementing sustainability principles, both in terms of governance, financing, andhalalproduct marketing strategies. PT Herba Penawar Alwahida Indonesia emphasizes sustainabilitywithasharia-based approach and strong religious values, while PT Sido Muncul integrates sustainabilityfocuss on a modern corporate framework. Both PT HNI and PT Sido Muncul have implementedSROIparameters with their respective levels of impact achievement. Integration of sustainable financenotonly strengthens competitiveness but also creates long-term added value for companies, consumers, and the environment. Therefore, it is important for other industry players to start adopting sustainablefinance practices, while prioritizing halal principles in all stages as part of their business strategy, especially in sectors that have ethical and health-based market potential such as halal herbal medicine. Focusing on increasing public awareness of green medicine or halal herbal medicineamongIndonesians and the global Muslim community, this presents a significant opportunity for theIslamicmedicine industry to developbroader business plans and increase literacy among Muslims andnon-Muslims regarding choosing halal herbal medicine alternatives. Therefore, collaborationbetweenstakeholders is clearly needed to disseminate the trend of green medicineor Indonesia's bioeconomy. Furthermore, halal herbal medicine companies areexpected to improve the quality and credibilityoftheir medicines by conductingcertification tests and compiling sustainability reports for publictransparencyof company operations. Furthermore, we need to encourage the expansionof productionand marketing of halal herbal medicine companies in Indonesia toexpand the market overseas.Item Embargo Sharia-based securities crowdfunding for environmental sustainability goals : practitioners’ perceptions, platform initiatives, and institutional performances(Universitas Islam Internasional Indonesia, 2025-07-17) Ahmad Akram Tjoteng; Rininta Nurrachmi; Aimatul YumnaThis study explores the extent to which Sharia-Based Securities Crowdfunding (SBSC) platforms in Indonesia involve in environmental sustainability goals. Using a qualitative research approach, the study aims to evaluate the platforms’ perceptions, initiatives, and institutional performances related to environmental sustainability, particularly in the context of SBSC platforms. Primary data were obtained through semi-structured interviews with four key informants from three selected platforms with the highest distributed fund as of February 21, 2025—SHAFIQ, LBS Urun Dana, and Urun-RI. Secondary data were selectively obtained from official website publications of the selected platforms. The analysis was conducted using an inductive approach supported by NVivo to identify emerging themes. Findings show that SBSC platforms are developing awareness regarding environmental sustainability practices. Informants demonstrated knowledge of environmentally aligned business sectors, such as renewable energy, organic fertilize-based farming, waste management, and electric vehicles. Some platforms also associate environmental-related projects with national development strategies and Sustainable Development Goals. However, this conceptual understanding has not yet reflected in institutionalized criteria or structured mechanisms for environmental-related sustainability project evaluation. While one platform has taken proactive steps—such as implementing a ‘green label’ to mark SDG-aligned offerings—others have not yet adopted similar mechanisms. Collaborations with several communities and educational initiatives on green financing also indicate emerging engagement. However, these initiatives remain fragmented and largely informal across platforms. From an institutional performance perspective, the research highlights several limitations. None of the selected platforms apply sustainability-related criteria, nor do they offer incentives for environmentally sustainable projects. This also reflects their standard assessment of securities offerings. Informants also confirmed the absence of specified environmental impact evaluations, which indicated that green-related projects are evaluated using the same business-as-usual considerations as conventional ones. Furthermore, regulatory gaps and limited operational coverage were identified as barriers. In brief, growing awareness and early-stage initiatives toward environmental sustainability within SBSC platforms in Indonesia, these have not yet matured into systematic and institutionalized practices. Regulatory support, sustainability-based frameworks, and incentive mechanisms are necessary to elevate the role of SBSC in supporting SDGs, particularly in the context of environmental aspect.