DIGITAL ECONOMY, GREEN INNOVATION, AND THE ISLAMIC ECONOMIC FRAMEWORK

A SYSTEMATIC LITERATURE SYNTHESIS

Abstract

In the twenty-first century, the nexus between faith-based economic principles, environmental sustainability, and digital economic revolution has become a crucial topic of scholarly discussion. The integration of the digital economy and green innovation within the context of Islamic economics is examined in this study's methodical literature synthesis. This article examines conceptual connections, real-world applications, and research gaps that impact the creation of a sustainable, technologically advanced, and morally sound economic system by referencing peer-reviewed literature published between 2010 and 2024. Using databases including Scopus, Web of Science, and ScienceDirect, the analysis is informed by the Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) methodology. The review reveals that topics including blockchain for halal traceability, Islamic finance, digital zakat platforms, and Shariah-compliant, eco-friendly investment strategies are receiving more scholarly attention. It also emphasizes how the goals of environmental conservation, economic justice, and responsible innovation are inherently compatible with Islamic economic principles, which are based on maqasid al-shariah. Significant gaps still exist in technology inclusion, empirical validation, and regulatory integration despite this potential synergy. In both Muslim-majority and global contexts, this synthesis advances our understanding of how Islamic economics may function as a framework based on values ​​to propel green digital transformation.