THE INFLUENCE OF FINANCIAL TECHNOLOGY INNOVATION ON THE DEVELOPMENT OF ISLAMIC BANKING IN THE SOUTHEAST ASIAN REGION
Keywords:
Fintech, Islamic Banking, Southeast Asia, Financial Inclusion, Technological InnovationAbstract
Financial technology (fintech) innovation has revolutionized the global financial sector, including Islamic banking in Southeast Asia. This study analyzes the impact of fintech on the development of Islamic banking in ASEAN countries such as Indonesia, Malaysia, Singapore, Brunei, and Thailand, based on secondary data from recent reports and studies. The results show that the adoption of fintech technologies such as mobile banking, blockchain, and AI is increasing Islamic financial inclusion, with Islamic banking assets growing at 15% annually in Indonesia and Malaysia. However, challenges such as regulation and Sharia compliance remain. This analysis provides a basis for developing policies that support the integration of Islamic fintech, with a projected market size reaching USD 306 billion by 2028 in Southeast Asia. The study emphasizes the potential of fintech in improving operational efficiency and accessibility of Sharia-based financial services.
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