The Impact of Fintech on Development of Islamic Banking Sector in the Contemporary World

Abstract

Technologies of the future drive an important role in effective growth of Islamic banking sector by creating transformational waves fostering the emersion of “Fintech”, which, compared to the traditional financial system, fulfills several advantages. Financial technologies appear to have a significant participation in the empowerment of individuals who lack access to financial services and consequently lead to immediate and continuing interest for individuals, the planet, and wealth. The rapid alteration of financial sector has been spread all over the world. The quick digitization drove a heavy use of technology in banking industry and in Islamic banking sector in particular. This paper examines how financial technology innovations induce financing efforts to enhance the quality of Islamic banking sector services in contemporary world and analyzes the new concept of digital Islamic banking. The present study determines the matrix correlation between Islamic banking assets and Fintech technology with help of statistical, graphical method of analysis, tabulation as well as methods of scientific knowledge