In the rapidly changing landscape of global economics and finance, the intersection of ethics, sustainability, and Islamic finance is gaining prominence. KLIFF 2023 provided a platform for distinguished speakers, including Tan Sri Dr. Mohd Daud Bakar, the Chairman of Amanie Group, to discuss the crucial link between Maqasid Shariah (the objectives of Islamic law) and the Sustainability Agenda. Dr. Bakar’s insights shed light on how the principles of Maqasid Shariah can play a pivotal role in guiding the world toward a more just and sustainable future.
Understanding Maqasid Shariah
Maqasid Shariah, a fundamental concept in Islamic jurisprudence, refers to the higher objectives and purposes of Islamic law. It goes beyond the mere letter of the law, emphasizing the broader goals of promoting human welfare, justice, and the common good. The Maqasid framework identifies five key objectives:
- Preservation of Religion (Hifz al-Din): Safeguarding the Islamic faith and ensuring the freedom to practice it.
- Preservation of Life (Hifz al-Nafs): Protecting human life, health, and well-being.
- Preservation of Intellect (Hifz al-Aql): Promoting intellectual growth, education, and mental well-being.
- Preservation of Lineage (Hifz al-Nasl): Upholding the institution of family and ensuring its stability.
- Preservation of Property (Hifz al-Mal): Safeguarding property rights and economic stability.
These objectives provide a comprehensive framework for addressing contemporary challenges, including those related to sustainability and responsible finance.
Sustainability Agenda and Maqasid Shariah
The United Nations’ Sustainable Development Goals (SDGs) have become a global blueprint for addressing pressing issues such as poverty, inequality, climate change, and environmental degradation. Dr. Bakar highlighted how the principles of Maqasid Shariah align closely with the SDGs, making Islamic finance and ethics an essential contributor to the Sustainability Agenda.
- Social Justice and Equity: Maqasid Shariah emphasizes social justice and the equitable distribution of wealth. Islamic finance principles, including zakat (charity) and the prohibition of usury (riba), promote wealth redistribution and financial inclusion, aligning with SDG 1 (No Poverty) and SDG 10 (Reduced Inequalities).
- Environmental Stewardship: The Quran and Hadith (Prophet Muhammad’s sayings) stress the importance of environmental conservation. Islamic finance encourages ethical investments and discourages activities harmful to the environment, supporting SDG 13 (Climate Action) and SDG 15 (Life on Land).
- Ethical Business Practices: Maqasid Shariah underscores the importance of ethical behavior in business. This aligns with SDG 8 (Decent Work and Economic Growth) by promoting fair labor practices and responsible corporate governance.
- Human Development: Maqasid Shariah promotes education, health, and personal development, contributing to SDG 3 (Good Health and Well-being), SDG 4 (Quality Education), and SDG 5 (Gender Equality).
The Role of Islamic Finance
Islamic finance, based on principles such as risk-sharing, asset backing, and profit-and-loss sharing, offers a viable alternative to conventional finance systems. It aligns with Maqasid Shariah’s core objectives and can contribute significantly to the global sustainability agenda.
- Ethical Investments: Islamic finance encourages investments in socially responsible and ethical projects, fostering economic growth without compromising the environment or social equity.
- Inclusive Finance: The prohibition of interest ensures that financial services are accessible to a broader segment of the population, promoting financial inclusion and reducing poverty.
- Risk Mitigation: Risk-sharing mechanisms in Islamic finance promote stability and resilience, reducing the likelihood of financial crises.
Tan Sri Dr. Mohd Daud Bakar’s discussion on Maqasid Shariah and the Sustainability Agenda at KLIFF 2023 underscores the potential of Islamic finance and ethics in creating a just and sustainable future. By aligning the principles of Maqasid Shariah with the United Nations’ Sustainable Development Goals, Islamic finance can serve as a catalyst for positive change, addressing pressing global challenges while upholding ethical and equitable values. As the world seeks innovative solutions to complex problems, the integration of Maqasid Shariah into the sustainability agenda offers a promising path forward.
Leave a Reply
You must be logged in to post a comment.