As Islamic finance evolves in the digital era, artificial intelligence (AI) stands out as both a disruptor and an enabler. Islamic Finance and Artificial Intelligence: Ethics, Compliance, and Digital Innovation provides a pioneering examination of how AI technologies can be integrated into Islamic financial systems while maintaining adherence to Shari’ah principles and ethical governance.The book explores AI-driven tools and their implications for Shari’ah-compliant operations. It critically examines issues of algorithmic transparency, accountability, and the governance of digital financial services within Islamic ethical frameworks. By combining rigorous conceptual analysis with contemporary industry developments, the book demonstrates how digital innovation can enhance efficiency, financial inclusion, and responsible financial practices in Muslim-majority and emerging markets. Presenting a technical deep dive into AI development, the book showcases methodologies, tools, and innovative applications tailored to Islamic financial products and services, with a discussion on blockchain, smart contracts, and other technologies designed to uphold Shari’ah compliance. Further, it provides a comprehensive risk analysis of AI adoption in Islamic finance that relates to ethical challenges, operational risks and systemic threats.The book bridges academia, industry, and policy, offering practical insights and forward-looking strategies for leveraging AI to build a more inclusive, ethical, and innovative future. Situating Islamic finance within the broader digital transformation of the global financial sector, it is essential reading for academics, policymakers, fintech professionals, regulators, and students engaged with financial technology, Islamic economics, and the ethics of algorithmic governance.