Sharia Economic Law Must Not Lag Behind Digital Innovation
The world is entering a new chapter of economic civilisation. Artificial intelligence (AI), blockchain technology, digital payments, and app-based financing have transformed how people transact. Economic activity now takes place without the constraints of space and time. In a matter of seconds, a person can purchase goods, apply for financing, or even invest through a mobile phone.
Amidst this change, a crucial question arises: can Sharia economic law keep pace with the pace of digital innovation? This question is important because a perception still exists that Sharia law is rigid and only suited to answering economic problems of the past. In truth, Sharia is not like that. Islam provides fixed principles, but simultaneously opens space for ijtihad (independent legal reasoning) to address evolving issues.
In the digital era, economic problems are becoming increasingly complex. Services like buy now pay later, digital financing, electronic contracts, digital assets, and the use of AI in financing analysis offer significant benefits but also pose serious challenges. Some innovations expand financial access for the public, yet others open the door to exploitative practices through disguised interest, hidden fees, or misuse of personal data.
In this context, Sharia economic law cannot merely act as a ‘firefighter’ that issues fatwas after a problem has emerged. It must be present from the start as a moral compass, guiding innovation so that it develops without losing the value of justice. The practice of ijtihad must be revitalised to be responsive to the changing times, not to alter Sharia, but to understand how its principles apply to new realities.
The maqashid al-sharia (higher objectives of Sharia) approach is particularly relevant here. The assessment of a financial product should not stop at the name of the contract or the terminology used, but must consider its benefit, fairness, transparency, and impact on society. For instance, the use of AI in Sharia-compliant finance can speed up services, but if the algorithm produces discriminatory or opaque decisions, it contradicts the very spirit of justice that Sharia economic law seeks to uphold.
Indonesia has a significant opportunity to lead in this field. With the world’s largest Muslim population, a growing halal industry, and government support for the Sharia economy, the country possesses capital that few others have. However, this potential will remain untapped without a responsive legal system. Universities must also move beyond discussing classical contracts like murabahah and mudharabah, and begin researching contemporary issues such as AI, blockchain, tokenisation, data protection, and sustainable finance from a Sharia perspective.
Ultimately, the success of Sharia economic law will not be measured by the number of fatwas issued, but by its ability to ensure that digital transformation proceeds ethically. The values it promotes—honesty, justice, transparency, responsibility, and public welfare—are universal needs for building a healthy economic system, especially when global crises are often triggered by speculation, inequality, and weak business ethics.