From Technology to Trust: Understanding the Dynamics of Islamic Digital Banking

Abstract

The purpose of this study is to analyze how digital banking transformation influences the level of customer trust in Islamic digital banks in the new economy era. The rapid development of financial technology and the increasing use of digital services require Islamic banks to maintain a balance between technological innovation and the implementation of Sharia compliance principles, which serve as the fundamental basis for moral trust, institutional legitimacy, and the sustainability of long-term customer relationships. This study employs a systematic literature review approach by collecting and analyzing various academic studies, scholarly journals, and industry reports published over the past five years. Through thematic analysis, the study identifies four key factors influencing customer trust, namely technological innovation, service quality, data security, and adherence to Sharia principles. The article also examines how the integration of digital transformation and Islamic ethical values shapes perceptions of reliability and credibility in Islamic digital banking. The findings indicate that customer trust is built not only through technological efficiency and reliability but also through consistent adherence to Sharia values, which strengthen the moral foundation and competitive position of Islamic digital banks within the digital economy ecosystem.