Qardhul Hasan as a Green Financing Instrument For Environmentally Friendly MSMEs

The method used in this article is a systematic literature review by examining studies and research that have been carried out related to Qardhul Hasan as a social financing instrument of sharia banking and its role in developing environmentally friendly MSMEs as support for sustainable finance. Among the obstacles that make it difficult to access sharia banking financing for MSMEs are the administrative requirements which are quite heavy, not having collateral and the small ability to pay installments along with the margin. Qardhul Hasan as one of the social financing products of Islamic banks can be a solution for financing MSMEs because the administrative requirements are not complicated, do not require collateral and there is no margin in paying off the financing and as a form of MSME commitment to Qardhul Hasan financing, MSME businesses are directed to manage with environmentally friendly principles which include the process of producing products or services. The similarity with previous research is that Qardhul Hasan is used as a social financial solution for the community with interest-free payments. What differs from previous research is that Qardhul Hasan is usually used in the form of interest-free loans as a financial solution for the poor, whereas in this research Qardhul Hasan is used as social sharia banking financing for environmentally friendly MSMEs with returns without margin.