Comparison of Islamic Economic Institutions in UAE and Russia for Indonesia’s Sustainable Development

Bayu Euro Pamungkas Putra; Naufal Luthfi Alifa

doi:10.32332/ijie.v7i02.11807

Authors

Bayu Euro Pamungkas Putra IAIN Syekh Nurjati Cirebon
Naufal Luthfi Alifa IAIN Syekh Nurjati Cirebon

DOI:

https://doi.org/10.32332/ijie.v7i02.11807

Keywords:

Comparative; Islamic Institutional Development; Russia; Sustainable Development; United Arab Emirates

Abstract

Introduction: Islamic economics emerges as an alternative system emphasizing justice, ethics, and sustainability amid global economic challenges. The United Arab Emirates (UAE) and Russia represent two contrasting contexts, with the UAE as a Muslim-majority nation and Russia as a non-Muslim state, yet both demonstrate significant institutional development of Islamic economics. Objective: This study aims to compare the institutional dynamics of Islamic economic systems in the UAE and Russia and analyze their implications for strengthening sustainable Islamic economic development in Indonesia. Method: The study uses a qualitative method with a comparative case study approach. Data were obtained from government policies, official financial reports, and reputable academic journals discussing Islamic finance development in both countries. Analysis was conducted descriptively and comparatively through data reduction, presentation, and conclusion drawing. Result: The UAE has successfully institutionalized Islamic finance through strong regulatory frameworks, integrated governance, and technological innovation, positioning Dubai as a global hub for Islamic finance. Meanwhile, Russia has adopted an adaptive and educational approach by developing Islamic finance in regions such as Tatarstan within a hybrid legal system and through international collaboration, despite operating under a secular framework. Implication: The study concludes that Indonesia can integrate the UAE’s regulatory strength and Russia’s social inclusivity to build an ethical, inclusive, and sustainable Islamic economic institution aligned with maqasid al-shariah and the Sustainable Development Goals (SDGs).

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