This study analyzes Islamic finance practices in micro, small, and medium
enterprises (MSMEs) in Indonesia from an Islamic economics perspective. This
study employed a systematic literature review method following the Preferred
Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA). The main
data source was written material that analyzed the impact of Islamic finance
practices on MSMEs in Indonesia. The findings demonstrate that Islamic finance
practices positively influence the growth of MSMEs in Indonesia. This study
indicates that Islamic finance practices have substantial potential for enhancing the
well-being of MSMEs in the country. Noteworthy growth factors for MSMEs
encompass Islamic business and economic ethics, innovation, and ethical and moral
considerations. Islamic finance practices are a promising option for Indonesian
MSMEs to enhance their business growth. Therefore, adopting Islamic finance
practices can contribute to improving business performance and fostering MSMEs'
growth. Future research may involve empirical studies to gain a more comprehensive
understanding of Islamic finance practices in Indonesian MSMEs.