AI Applications for Fiqh Rulings in Islamic Banks – Shariah Committee Acceptance

Abstract

Purpose ‒ The objective of this paper is to study the acceptance of applications of AI in the fiqh ruling process of Islamic banking, among Shariah committees (SC) members of Islamic banks

Design/Methodology/Approach ‒ This is a qualitative study using focus group interviews with ten SC members from different Islamic banks.  Following the interviews, a thematic analysis of the transcribed data was conducted using computer-assisted qualitative data analysis software (CAQDAS).

Findings ‒ The participants were generally receptive towards the utilization of AI tools in the fiqh ruling process at Islamic banks. The participants recognize the potential of AI smart assistants for improving the efficiency and effectiveness of the fiqh ruling process. However, they raised some concerns and expectations that need to be addressed.

Originality/Value ‒ The novelty of this research comes from sourcing first-hand perspectives of SC members of Islamic banks in Malaysia. Being the end users of AI systems for the fiqh ruling of Islamic banking, it is important to understand their perceptions, concerns, and expectations

Research Limitations/Implications ‒ The size of focus group was limited to ten participants to optimize group size and composition in order to allow adequate participation by each group member. Further sampling from more SC members may elicit additional findings

Practical Implications ‒ The first-hand views from the target users provides valuable input for initiatives developing AI systems for the fiqh ruling process of Islamic banking