<![CDATA[This study, situated within the field of Islamic economics and finance, addresses the vulnerability of emerging capital markets to global economic crises and speculative behaviors. Understanding the institutional role of religious bodies in macroeconomic stability is crucial, given the unique resilience demonstrated by Islamic equities. This research aims to analyze the role and contribution of the National Sharia Board of the Indonesian Council of Ulema ‘Dewan Syariah Nasional Majelis Ulama Indonesia’ (DSN-MUI) in the formation and stabilization of the Indonesian Islamic stock market from 1999 to 2020. Employing a qualitative descriptive method with literature and content analysis, this study examines DSN-MUI fatwas, financial regulations, and historical market dynamics. The underlying premise is that DSN-MUI fatwas transcend normative religious compliance, functioning as proactive macroeconomic risk mitigation tools. The findings reveal that DSN-MUI’s strict screening criteria and prohibition of speculative transactions—such as short selling and margin trading—successfully insulated the Islamic capital market from global systemic shocks, including the 2008 financial crisis and the early 2020 COVID-19 pandemic, creating a distinct decoupling effect. This research contributes to behavioral finance and Islamic economic literature by redefining economic fatwas from rigid theological dogmas into adaptive socio-economic protection instruments that promote real business partnerships over short-term capital gains. In conclusion, the strategic synergy between DSN-MUI fatwas and state financial regulations is paramount in establishing the Indonesian Islamic stock market as a resilient safe haven, providing a sustainable and ethical investment framework amidst persistent global economic uncertainty.]]>
