Islamic Circular Economy: From Conceptual Controversies To A Transformative Qur’an And Hadith-Based Framework For Sustainable Development

Abstract

The growing environmental crisis, resource depletion, and increasing waste generation have positioned the Circular Economy (CE) as a key strategy for achieving sustainable development. However, the existing CE framework is predominantly developed from economic and environmental perspectives, with limited attention to its ethical and spiritual dimensions. This study aims to reconstruct the concept of Islamic Circular Economy (ICE) by developing a transformative framework grounded in the Qur'an and Hadith to address conceptual controversies and strengthen the theoretical foundation of sustainable development. A qualitative approach was employed using library research combined with qualitative content analysis and thematic analysis. Data were collected from the Qur'an, authentic Hadith, and scholarly publications publications indexed in Scopus and Google Scholar on Circular Economy, Islamic Economics, and Sustainable Development published between 2015 and 2026. The findings reveal three major themes. First, the Qur'an and Hadith provide the epistemological foundation for Islamic Circular Economy through the principles of tawhid, khalifah, amanah, mizan, and islah. Second, these Islamic principles are conceptually aligned with the core practices of Circular Economy, including resource efficiency, waste reduction, regeneration, and environmental stewardship. Third, the proposed framework integrates theological, ethical, economic, social, and environmental dimensions into a comprehensive model that addresses conceptual fragmentation in previous studies. This study contributes a novel conceptual framework that positions Islamic Circular Economy as an independent paradigm for achieving sustainable development based on Islamic values.