Yan Putra Timur, Ahmad Ajib Ridlwan, Syazwani Abd Rahim, Khusnul Fikriyah, Fitriah Dwi Susilowati, Clarashinta Canggih, Fira Nurafini, Maryam Bte Badrul Munir
Purpose – This study aims to determine the factors that influence investors’ behavioral intentions in investing in green retail sukuk through the constructs offered by the extended pro-environmental planned behavior (PEPB) theory and adding several other constructs such as perceived benefit (PB), perceived risk (PR) and religious value (RV). Design/methodology/approach – Non-probability sampling was used to collect data from 460 Muslims living on Java who had invested in green sukuk retail and had a basic understanding of it as an alternative Islamic investment instrument. PLS-SEM was used to test the data with SmartPLS 3.0. Findings – Perceived authority support (PAS) and perceived environmental concern (PEC) positively and significantly affect attitude (AT), subjective norm (SN) and perceived behavioral control (PBC). This study also shows that SN, PBC, PB, PR and RV boost INT significantly. AT has a positive but insignificant effect. Research limitations/implications – This study has limitations from the demographic aspect of respondents who only accommodate respondents who are Muslim and live in Java Island. Practical implications – This research suggests ways to socialize green sukuk investment to the public as potential investors by describing environmental benefits and how retail green sukuk can benefit investors and the environment. Competent parties who understand Islamic finance, and muamalah contracts can socialize beginner voters who do not understand the risks and rewards of green sukuk investments. Social implications – This research suggests ways to socialize green sukuk investment to the public as potential investors by describing environmental benefits and how retail green sukuk can benefit investors and the environment. Originality/value – This study introduces environmental-based constructs PAS and PEC, which are infrequently used in research models that measure the intention to invest in green investment instruments like green sukuk. Additional constructions like PB, PR and RV enhance research results. © 2025 Emerald Publishing Limited
Department of Islamic Economics, Faculty of Economics and Business, Universitas Negeri Surabaya, Surabaya, Indonesia; Academy of Contemporary Islamic Studies, Universiti Teknologi Malaysia – Main Campus Skudai, Skudai, Malaysia; Department of Islamic Economics, Faculty of Economics and Business, Universitas Negeri Surabaya, Surabaya, Indonesia
