Fintech, Financial Literacy and Islamic Banks

Systematic reviews have been conducted to determine how Fintech and financial literacy influence the adoption of Islamic banking products. Guided by the PRISMA (Preferred Reporting Items for Systematic reviews and Meta-Analyses) method, a systematic review from Scopus, Web of Science, Dimensions and Google Scholar databases has identified 19 related studies. Three main themes have been found: Fintech, Financial Literacy, additional factors and demographic. These four themes further produced a total of 17 sub-themes. Past studies found that fintech and financial literacy have positively influenced the behavioural intention in adopting Islamic banking products. Most researchers investigated how perceived usefulness, perceived ease of use and perceived risk influence the customers’ adoption decision. With regard to fintech infrastructure, policymakers and industry players should pay attention to the management of platforms, products and features offered. In terms of Islamic financial literacy, awareness and knowledge of the society can be enhanced via educational and training programs in social media to instill positive attitudes towards Islamic banking products and services. Further, religion, product pricing, cost–benefit analysis, reputation, social influence and government support also play a role in influencing the customers’ decision towards the adoption of Islamic banking products and services. Besides, demographic indicators like gender, age, education level and employment status should be appropriately targeted by the relevant authorities when developing strategic programs to boost the adoption level of Islamic banking products and services within the context of fintech and financial literacy.