The legislative policy of the country has always been in line with the Islamization of the laws and given the jurisprudential approach, it has been consistant with the requirements of the time. The Islamic Penal Code is one of the laws that have made changes in its heart according to the conditions and time. Developments and innovations of Penal Law have always had an Islamic and jurisprudential orientation. Retribution and Diyah are Shariah punishments whose rules have entered the penal law from Islamic jurisprudence, so they cannot be changed in the case of innovation and amendment of the general principles of the law. The purpose of present research is to analyze the innovation of criminal policy regarding retribution and blood money (Diyah) based on Islamic indicators. In this research, the laws have been analyzed in the light of Islamic indicators using a descriptive analytical method. The findings indicate that the legislator's approach shows flexibility in accepting Diyah and criminalizing have been cases of retribution. The result of the researchs states that Islamic indicators are in line with the path of the law and its innovation and the innovations have been consistant with Islam and have accepted changes according to the conditions and requirements of the law and it can be interpreted in the based on Islamic indicators.