<p>The hegemonic reliance on universalizing theories that frequently overlook the influence of religion and spirituality on the human psyche has prompted the search for new paradigms and epistemologies capable of addressing the needs of diverse ethnic, cultural, and minority groups. Identifying the elements that shape individuals’ cognitions, emotions, and behaviors is a critical step in advancing psychological knowledge. Consequently, there is a growing need to incorporate approaches that reflect individuals’ lived realities and account for the beliefs and values most congruent with their lifestyles. Drawing on a narrative literature review, this study analyzes the theoretical foundations of Islamic psychology, discussing its conceptual underpinnings as well as the challenges involved in developing this emerging decolonial approach within the broader field of psychology. It considers an epistemology grounded in a holistic framework that integrates the physical, mental, and spiritual dimensions through a pluralistic and multidisciplinary perspective, while also examining the impact of religious content on the mental health and psychological well-being of Muslim populations, including immigrants, converts, and refugees.</p>