This study aims to examine the criteria and Islamic instrument of corporate social responsibility towards the creation of a sustainable economic development. Specifically, the study analyses the criteria and instruments of corporate social responsibility in Islamic banking. Based on the review of literature and findings resulted from in depth interview with the expertises of Islamic banking in Indonesia, the study reveals that there are six (6) fundamental criteria and 35 items considered as critical for corporate social responsibility to make an impact on the society. These criteria are; shari’ah compliance, equality, responsibility in work, the guarantee of welfare, the guarantee environmental sustainability and charity for preservation of virtue. The corporate social responsibility practices in Islamic banking should not only be based on responsibility al kifayah (obligatory upon community) and get a positive corporate image but can also be deemed as a method to alleviate poverty and achieve the true economic goals of Islam.

Keywords:
Criteria, Islamic Corporate Social Responsibility and Islamic Banking