Artificial Intelligence in Islamic Finance: How the Maqashid Sharia Views it

Authors

  • Kadlina Universitas Esa Unggul
  • Agus Munandar Universitas Esa Unggul

Keywords:

Artificial Intelligence, Islamic Financing, Maqashid al Syariah, Financial planning, Technology ethics.

Abstract

The application of artificial intelligence (AI) in the field of Islamic finance during the recent years has elicited radical changes in Islamic banking and investment processes. The present paper aims to make an in-depth analysis of the AI application regarding the application of the maqashid sharia (Islamic objectives) which dictate that faith, life, intellect, progeny, and property are to be safeguarded. The use of AI in various Islamic financial services, including Sharia-compliant financial planning applications and risk-assessment systems based on the Sharia principles, robo-advisors, and other tools are analysed through a qualitative, descriptive-analytical approach, which is used by the study. The results show that AI is a highly promising technology capable of supporting the development of maqashid sharia through the improvement of halal investment management and financial literacy. Despite this, the studies also state such are only the main problems that should be considered in the course of the development, such as the transparency of algorithms, fatwas in context and legislation specific to Islamic jurisprudence and the validity of data sets. The paper, therefore, recommends an integrative AI implementation model based on the synergistic partnerships among Islamic academicians, technologists, and financial actors, and the intention to come up with AI systems that are compatible with the concept, maqashid al-sharia.

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Published

2025-10-27

Issue

2025: Proceedings of International Conference on Islamic Community Studies

Section

Articles

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Copyright (c) 2025 Kadlina, Agus Munandar

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