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Environmental, Social and Governance (ESG) Standards and Practices for Islamic Financial Institutions

Islamic Development Bank Institute via edX

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Overview

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Did you know that environmental, social, and governance (ESG) factors are now reshaping global financial regulation, investment decisions, and risk management frameworks—yet many Islamic financial institutions are still navigating how to align ESG requirements with Shariah principles? Are you interested in understanding how ESG standards complement the ethical foundations of Islamic finance? Do you want to explore how Islamic financial institutions can integrate ESG practices into governance, product structuring, risk management, and reporting? Are you a finance professional, regulator, Shariah scholar, or sustainability practitioner seeking practical tools to operationalize ESG within Islamic finance? Do you want to be part of the global transition toward responsible, transparent, and impact-driven finance by positioning Islamic financial institutions at the forefront of ESG leadership?

Warba Bank, Islamic Development Bank Institute (IsDBI), UNDP Istanbul International Center for Private Sector in Development (IICPSD), and the United Nations Development Programme (UNDP) are pleased to provide this free Advance Online Course on “Environmental, Social and Governance (ESG) Standards and Practices for Islamic Financial Institutions.”

This advanced online course offers a comprehensive exploration of how Islamic financial institutions can integrate Environmental, Social, and Governance (ESG) standards into their operations. Designed for professionals, policymakers, and students, it bridges the principles of Islamic moral economy with modern sustainability frameworks, empowering participants to develop responsible, ethical, and impactful financial practices.

Through expert-led modules, case studies, and practical tools, the course provides insights into global ESG regulations, innovative Islamic finance products, and effective risk management strategies. It aims to foster a deeper understanding within the Islamic finance sector, promoting responsible investment and long-term resilience in a rapidly evolving financial landscape.

Certificate of completion only indicates the completion of the course. It does not imply proficiency on the subject matter, nor should it be seen as a professional certification.

Syllabus

  • Understand the Sustainable Development Goals (SDGs) and the 2030 Agenda for sustainable development.
  • Enhance ESG awareness and compliance with regulatory requirements related to sustainable investment.
  • Implement ESG frameworks, standards, and practices tailored to Islamic finance.
  • Evaluate the performance of sustainable investments using key metrics, indicators, and reporting frameworks.
  • Identify risks and opportunities in sustainable and ESG investments within Islamic finance.
  • Integrate sustainable investment principles into Shariah-compliant investment decisions.
  • Recognize and develop sustainable and ESG investment opportunities for Islamic financial institutions.
  • Understand the importance of transparency, accountability, and risk mitigation in ESG integration.
  • Build sustainable finance solutions, products, and services aligned with Islamic principles.
  • Establish collaborations and partnerships with stakeholders, including Islamic financial institutions, regulators, and impact investors.
  • Support the enhancement of ESG reporting and disclosure capabilities in Islamic financial institutions.

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