The purpose of this study is to evaluate the key determinants of Environmental, Social, and Governance (ESG) factors about the principles of Maqasid Shariah and their role in advancing financial inclusion. Most Islamic banks and Shariah-compliant firms have started promoting sustainability through their financing and initiatives many years ago, which puts them ahead in terms of ESG. There are still many obstacles that need to be overcome to get best results from the integration of ESG and Islamic Finance, as well as offering insights into Islamic finance models such as ESG investment from Islamic perspective, especially with regard to concepts of Maqasid Shariah, so that ESG and Maqasid Sharia can be applied in all institutions, especially Islamic banking and also Sharia-compliant firms. The integration of ESG principles within Islamic finance offers holistic framework that aligns ethical and sustainable practices with objectives of Shariah, particularly in promoting economic justice, social welfare, and financial accessibility. By appraising the synergies between ESG dimensions and five pillars of Maqasid Shariah—protection of religion, life, intellect, progeny, and wealth. This study explores how these determinants contribute to inclusive financial systems. Using conceptual framework analysis methods approach that includes qualitative analysis and evaluation, the study provides insights into how ESG-aligned strategies can be instrumental in reducing financial disparities, fostering trust, and promoting responsible investments in accordance with Islamic values. This study contributed to literature by expected to offer policy recommendations and practical frameworks for stakeholders seeking to leverage ESG criteria to enhance financial inclusion in Shariah-compliant economies.
Shaharuddin et al. (Sat,) studied this question.