Sustainable Trade Governance in the Muslim World: Harmonizing International Commercial Law with Sharia Economic Principles.

Abstract

The increasing participation of Muslim-majority countries in the global trading system has raised important questions regarding the compatibility between international commercial law and Sharia-based economic principles. This article examines the prospects for developing sustainable trade governance in the Muslim world by harmonizing global trade regulations with the ethical and normative framework of Islamic economics. Using a qualitative doctrinal and analytical research approach, the study explores the theoretical foundations of Islamic economic principles—such as justice (ʿadl), prohibition of Riba, risk-sharing, ethical trade, and social welfare—and evaluates their relevance within contemporary international trade governance. The research further analyzes the structure and regulatory mechanisms of international commercial law and the role of global institutions, particularly the World Trade Organization, in shaping modern trade relations.

The study identifies key legal and institutional challenges faced by Muslim-majority countries when attempting to integrate Sharia-compliant economic practices within international trade frameworks. These challenges include differences in financial structures, regulatory uniformity requirements, and the coexistence of dual legal systems combining modern commercial law with Islamic jurisprudence. Despite these tensions, the analysis highlights several areas of convergence between Islamic economic ethics and contemporary global discussions on sustainable and responsible trade governance. The article argues that Islamic economic principles offer valuable insights for promoting transparency, fairness, and social responsibility in global trade systems.

Furthermore, the research explores policy models and regulatory reforms that could facilitate the integration of Sharia-based economic values into modern trade governance. Strengthening institutional cooperation among Muslim-majority countries and enhancing engagement with international trade institutions may contribute to the development of more inclusive and ethically grounded trade frameworks. Ultimately, the study concludes that harmonizing international commercial law with Islamic economic principles can support sustainable economic development while ensuring that global trade practices remain aligned with the ethical values of Muslim societies.