Artificial Intelligence and Islamic Finance: Practical Applications for Financial Risk Management

Artificial Intelligence and Islamic Finance explores the use of AI in Islamic financial institutions, covering risk management techniques, combating financial crime, and practical limitations. It emphasizes the role of technological enablers in providing Shariah-compliant services through digital platforms.

Format: Paperback / softback
Length: 240 pages
Publication date: 25 September 2023
Publisher: Taylor & Francis Ltd

This comprehensive book offers a systematic exploration of the latest trends in research related to the integration of artificial intelligence (AI) in Islamic financial institutions (IFIs) across all Organization of Islamic Cooperation (OIC) countries. Artificial Intelligence and Islamic Finance delves into the diverse applications of AI for risk management in Islamic finance, encompassing a range of techniques such as asset and liability management risk, credit risk, market risk, operational risk, liquidity risk, as well as regulatory and Shariah risk compliance within the financial sector. The authors emphasize the remarkable capabilities of AI to combat financial crimes, including the monitoring of trader misconduct, anti-fraud measures, and anti-money laundering efforts. Furthermore, they highlight the potential of machine learning (ML) to conduct comprehensive and granular analyses of large datasets across various Islamic financial products and services. The book concludes by addressing practical limitations related to data management policies, transparency, and the need for enhanced skill sets within financial institutions. By adopting innovative methodological approaches rooted in an Islamic economic framework, the book proposes practical solutions and generates valuable insights, aiding readers in comprehending and exploring the role of technological enablers, including RegTech and AI, in enhancing the provision of better and Shariah-compliant services to customers through digital platforms.

This book is of immense interest to a broad audience, including Shariah scholars, academics, researchers, Islamic financial practitioners, and policy makers. Its comprehensive coverage and insightful analysis provide valuable insights into the evolving landscape of AI and Islamic finance, paving the way for further advancements and innovation in this field.

Weight: 480g
Dimension: 234 x 156 (mm)
ISBN-13: 9780367774875