Sharia Banking Opportunities and Challenges in the Digital Era

摘要

The Indonesian government in the era of President Joko Widodo had a big vision in the digital economy sector. Jokowi is targeting Indonesia in 2020 to become the largest digital economic power in ASEAN, with e-commerce transaction projection values reaching 130 million US dollars. Indonesia's population currently reaches 262 million people. More than 50 percent or about 143 million people have been connected to the internet throughout 2017, report the Indonesian Internet Service Providers Association (APJII). In era disruption in the progress of financial technology, there has been a problem how are the opportunities and challenges of Islamic banking in the digital era? with SWOT analysis revealing the opportunities and challenges of using financial technology in Islamic banking services. The use of financial technology that is in line with regulations makes good opportunities to improve the quality of Islamic banking services for the convenience and security of customers. However, the application of financial technology also contains challenges for banks. The presence of financial technology raises a more variative financing model with lower costs and fast service. So that the existence of the role of banking institutions can be displaced/threatened.