Islamic Finance and Renewable Energy

Year Published

2024

Contributing Organizations

Greenpeace MENA

Global Ethical Finance Initiative (GEFI)

Type of Resource

Research/Insights Report

Languages

English

Relevant Topics

Core Topic

Islamic Finance

Topic 2

Energy Generation

Target Audience

All

Relevant Geography

Global

Resource Description

This report examines how Islamic finance can drive renewable energy investment through Shariah-compliant instruments, highlighting market growth, case studies, and stakeholder actions.

Why This Matters

Mobilizing Islamic finance for renewables can close the climate finance gap, advance decarbonization, and support SDG targets, especially in MENA and emerging markets.

Key Insights

Islamic finance assets may reach $67tn by 2027; 5% allocation to renewables could unlock $400bn
Green sukuk issuances hit $99bn in H1 2024, equaling the 2023 total
Case studies: Saudi Electricity Company’s $13bn green sukuk and Indonesia’s sovereign sukuk program funding major renewable projects
Islamic principles of stewardship and balance align with sustainability, making renewables a natural fit
Calls for capacity building, regulatory incentives, standard frameworks, and dedicated funds

Was this resource helpful?

We'd love to hear from you! You can share your feedback or suggest a resource below.

Share Your Feedback Suggest a Resource