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All Journal Airlangga International Journal of Islamic Economics and Finance Journal on Islamic Economics, Finance, and Banking (Z-CONOMICS)
Nisa Rahma Fadila
Universitas Terbuka
Religion Economics, Econometrics & Finance

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THE DETERMINANTS OF RURAL-URBAN INEQUALITY IN OIC COUNTRIES Nisa Rahma Fadila
Airlangga International Journal of Islamic Economics and Finance Vol. 9 No. 01 (2026): January-June 2026
Publisher : Universitas Airlangga

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.20473/aijief.v9i01.79107

Abstract

Rural-urban inequality is one of many economic development problems faced by OIC countries which most of them are developing countries. The aim of the study is to examine determinants of rural-urban inequality in OIC countries from 2009 – 2018. This study employs a quantitative method with panel data analysis. The examined explanatory variables are economic growth, financial development index, government expenditure, inflation, unemployment rate, trade openness, foreign direct investment, population growth, and human development index. Data was obtained from the official websites of the World Bank, IMF, and UNDP. Result of the study finds that economic growth, financial development index, government expenditure, unemployment rate, population growth, and human development index statistically significantly affect rural-urban inequality. The policy implications recommended in this study are that policymakers in OIC countries are advised to increase economic growth through improving financial sector performance, government spending, and improving the quality of human resources. This study contributes to the expanding literature on the still under-researched rural-urban inequality and, to the best of the author's knowledge, this study is the first study to examine the rural-urban inequality in countries across continents.
SUITABILITY OF GREEN ECONOMY WITH ISLAMIC ECONOMY TO ACHIEVE SUSTAINABLE DEVELOPMENT GOALS Nisa Rahma Fadila; Kurnia Sari Kasmiarno
Journal on Islamic Economics, Finance & Banking [Z-CONOMICS] Vol. 2 No. 1 (2026): Journal on Islamic Economics, Finance & Banking [Z-CONOMICS]
Publisher : Az-Zahra Media Society

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Abstract

Global warming and climate change, driven by exploitative economic systems, have heightened the urgency of economic restructuring toward a green paradigm. This research aims to examine the suitability of the green economy concept and Islamic economic principles within the framework of achieving the Sustainable Development Goals (SDGs). Using the library research method with content analysis techniques, this study analyzes the alignment of the green economy in three main clusters of Islamic economics, namely: Islamic finance, Islamic social finance (Ziswaf), and Islamic business. The results of the study show that Islamic economics provides an ethical foundation through the concept of khalifah fil 'ardh and fiqh al-bi'ah which prohibits environmental destruction and emphasizes ecological responsibility. In the financial cluster, green sukuk instruments have emerged as innovative funding solutions for environmentally friendly projects that meet sharia principles. In the social finance sector, the use of Ziswaf, including the cash waqf-linked blue sukuk, has proven to be effective in supporting nature conservation as well as poverty alleviation. The integration of Islamic business with the green economy encourages the creation of green entrepreneurship (ecopreneurship) that prioritizes resource efficiency and zero-waste systems. This research concludes that the synergy between the green economy and Islam offers an inclusive and sustainable development model for the benefit of future generations.
Co-Authors Kurnia Sari Kasmiarno