THIS SLIDE IS ABOUT THE CONCEPT OF CORPORATE SOCIAL RESPONSIBILTY BASED ON ISLAMIC PERSPECTIVE

1. References from Qur'an, Hadith, and Islamic
history.

2. • 1) Definition of Islamic Corporate Social
Responsibilities
• 2) CSR In Different Religion
• 3) Islamic CSR Beyond Legal Obligations
• 4) Islamic CSR on Ethical Dimension
• 5) Islam and CSR on Philanthropic Responsibilities
• 6) Islamic in Economic Responsibilities

3. • it is imperative upon Islamic financial institutions and banks to
evaluate their financing in terms of their social contributions as
well as, say, the prohibition of interest.
• While social responsibility and contributions can be voluntary
for conventional financial institutions and corporations, it is a
religious requirement for Islamically defined financial
institutions and corporations. This is due to the fact that
Islamic institutions are perceived to be an essential part of the
larger environment and therefore should also contribute to the
needs of the larger environment, as Islamic moral economy
requires horizontal and vertical equality and growth in
harmony with all the stakeholders, and also aims to remove all
the barriers in front of the development path of all the
stakeholders including individuals, society and natural
environment.

4. • Differences between religions are expected to influence
individual preferences regarding these aspects of CSR because
some faiths, especially Judaism and Islam, offer significant
direction for the ethics of specific business practices.
• Islam also believes in the protection of health and life as the
greatest value, and its prohibitions are even stronger than
those in Judaism. Islam prohibits Muslims from selling
products or services (such as cigarettes, alcohol and
gambling) that present Islamic corporate social responsibility
model considerable harm.
• Judaism, a seller also is expected to inform the buyer about
material faults in product quality but they are permitted the
faults product to be sell to people unless people must be
considered that safety of their health is the highest value.

5. • An Islamic market is categorized by certain norms that
ensure the safety of both buyers and sellers.
• In addition, Islam condemns cheating, lying and hoarding
products to create shortages in the market in an attempt
to increase prices.
• Islam requires businesspersons to be straightforward in
all of their dealings and transactions.
• Finally, justice in Islam includes the equitable distribution
of wealth. Although inequality in terms of wealth is
justified, all members of society have the right to be
provided with basic needs, regardless of their race,
religion, language, color, sex, age, health and status.

6. • “And why should you not fight in the cause of Allah and of
those who, being weak, are ill treated(oppressed)-men,
women and children,[….]” (Qur’an,sura an nissa-4:75).
• The saying of prophet (PBUH)
“The one who looks after and works for widow and for a
poor person, is like a warrior fighting for Allah's cause or
like a person who fasts during the day and prays all
night” (Hadith-sahih Bukhari, No 8.35)

7. • According to Islamic ethics, the behavior, deeds, words,
feelings, thoughts and intentions of Muslims should be
guided by such values as honesty, humanity and respect
for the law.
• Islam asks its followers to consider certain norms and
moral codes and to follow Islamic rules and regulations in
their family affairs, business transactions, social affairs
and interactions with others.
• Islam restricts a number of business transactions (e.g. by
charging interest), pornography, prostitution, gambling
and speculation.

8. • “Whosoever sells a defective product without disclosing
its defect to the purchaser, shall earn the permanent
anger of Almighty Allah and the angels continuously
curse such a person.” [Ibn-e-Maja].
• Abu Said related that the Prophet (PBUH) said:
“The truthful and trustworthy businessman will be in the
company of Prophets, saints and martyrs on the Day of
Judgment.” [Darimi, Tirmidhi].

9. • Islam allows its followers to conduct business for profit without
harming others or the environment.
• People are expected to ensure justice to stakeholders and
welfare to mankind.(Qur’an, 16: 90)
• Islam also encourages people to take appropriate measures to
check the concentration of wealth into a few hands, to
redistribute resources, to minimize social gaps and to share
the fortunes of the wealthy with unfortunate people in society
by paying Zakat and Sadaqah .The payment of Zakat can help
balance the economy of a country by helping the poor and
needy to pursue a better life. Therefore, the payment of Zakat
may help companies fulfill their responsibilities both to God
and to society.
• These donations can benefit society as a whole.

10. • In Islam, business activities are not assumed to satisfy only
material needs and desires; rather, these activities should be
undertaken to fulfill religious responsibilities as well.
• God has permitted trade (i.e. buying and selling) but has
forbidden riba, or interest, in business transactions (Qur’an,
2:275). He has encouraged mankind to exercise mutual
cooperation in good deeds, but has forbidden people from
helping one another to further evil acts and enmity. (Qur’an,
5:2)
• Trade practices also draw heavily on the life of the Prophet
Mohammad (PBUH) and on the lives of many of his
companions and their followers, who were actively engaged in
trade and who established the ethical foundations of Islamic
business practices at the inception of the religion.

12. THANK YOU