Seiken Densetsu: Legend of Mana

The game shown in your image is Seiken Densetsu: Legend of Mana (聖剣伝説 レジェンド オブ マナ) for the original Sony PlayStation. Developed and published by Squaresoft (Square), it arrived on retail store shelves in Japan on July 15, 1999. 

Squaresoft completely shatters the constraints of traditional, linear role-playing progression to craft a breathtaking, interactive fairy tale sandbox in Seiken Densetsu: Legend of Mana. Set across a fractured world where the mystical Tree of Mana has been sealed inside ancient artifacts following a global disaster, the narrative gives absolute creative freedom directly to the player. Using the revolutionary Land Make system, you physically place discovered relics onto a blank overworld grid map, organically constructing your own layout of fantasy cities, dangerous cavern labyrinths, and monster-infested forests in real-time.

By combining gorgeously detailed, hand-painted 2D watercolor background environments with fluid action-RPG combat, deep monster-breeding stables, and a legendary, sweeping acoustic score composed by Yoko Shimomura, this masterpiece delivers an absolute crown jewel standard-bearer for seventh-generation fantasy archives