Conceptual framework of Islamicity sustainable development index

Purpose This study aims to develop a comprehensive conceptual framework for the Islamicity Sustainable Development Index, an innovative tool designed to assess governance quality in Islamic countries. By integrating principles of Islamic governance with contemporary sustainable governance metrics, the Index offers a unique perspective on governance effectiveness in the context of Islamic values and principles. Design/methodology/approach This research adopts a mixed-methods approach, blending qualitative insights from Islamic governance literature with quantitative sustainable governance indicators. Initially, it involves a systematic review of Islamic governance principles, followed by their integration with recognized governance metrics. This study then uses Principal Component Analysis (PCA) to extract key factors from these metrics and Confirmatory Factor Analysis (CFA) to validate the structure of the resulting index, ensuring its statistical reliability and relevance to the Islamic governance context. Findings The Index emerges as a nuanced, multidimensional instrument, reflecting key aspects of Islamic governance such as justice, welfare, accountability and environmental stewardship. The index demonstrates a robust capability to assess the governance quality in Islamic countries, offering valuable insights into areas of strength and opportunities for improvement. The empirical application of the framework through PCA confirmed the statistical validity of the selected indicators and the coherence of the five-pillar structure. The resulting Islamicity Sustainable Development Index (ISDI) effectively differentiates between countries based on their alignment with both Islamic values and sustainable development goals. Practical implications The Index serves as a practical tool for policymakers in Islamic countries to evaluate and enhance governance practices. It offers a framework for policy reform and strategic planning, aligning governance initiatives with Islamic principles and sustainable development goals. Originality/value The Index represents a novel contribution to governance literature, bridging the gap between traditional Islamic governance principles and modern governance challenges. It provides a culturally relevant tool for policymakers, scholars and stakeholders in Islamic countries, enhancing a deeper understanding of governance quality in line with Islamic values. Furthermore, this research enriches existing knowledge by presenting an original framework that blends Islamic governance principles with sustainable governance metrics, facilitated by robust statistical methods like PCA and CFA. It opens avenues for future research in culturally informed governance assessment tools.