This book describes on how the principle of the Islamic State concerned with Madina city state as a nation state. State elements theory explains that the country is composed of three elements such as the region, the people, and the government as well as the sovereignty. By using the literature study, this book found that the Prophet Muhammad is a leader, who always carries his reign by implementing the principles of Islam as well. Among the principles of the state in Islamic perspective consists of the trust, consultation, fairness, freedom, and equality. Relating to this reason Madina city state is seen as the state of law.