demand for governance frameworks that integrate sustainability principles into public and social finance systems. In Indonesia, zakat institutions play a strategic role in socio-economic development and poverty alleviation; however, their potential contribution to environmentally responsible governance and sustainable economic growth remains insufficiently explored. The concept of green governance offers a relevant analytical lens to assess how zakat management can incorporate environmental considerations, accountability, and long-term economic sustainability into its institutional practices.
This study aims to analyze the implementation of green governance in the governance of zakat institutions in Indonesia and its relevance to promoting sustainable economic growth. The research employs a quantitative descriptive method based on secondary data obtained from the official websites, annual reports, and publicly available program documentation of selected zakat management organizations in Indonesia. This study employs a quantitative research design using ESG-based indicators adapted to the context of zakat institutions. Qualitative ESG-related disclosures on zakat institutions’ websites are systematically transformed into quantitative measures through web-based content analysis.
The findings indicate that while several zakat institutions have begun to integrate environmental elements into productive zakat programs—such as sustainable livelihoods, green micro-enterprises, and environmentally conscious community development—the adoption of green governance principles remains fragmented and largely program-driven. Key challenges include the absence of explicit green governance guidelines, limited performance indicators linking environmental outcomes to economic growth, and uneven institutional capacity across zakat organizations. Nevertheless, significant opportunities exist, including increasing public awareness of sustainability, alignment with national sustainable development agendas, and the growing relevance of ethical and faith-based governance models.