The Balkans as a region has always been a target due to its strategic position, natural resources, and potential for infrastructural connectivity between the continents of Europe and Asia. For these reasons, this region has historically wit-nessed clashes and unrest and been an issue at the table of great powers. Another characteristic of the Balkans is the mixed population of religious, ethnic, and cul-tural backgrounds. Apart from all developments, Islamic finance has recently been raised as an issue. Many reasons lie behind the need to develop Islamic finance in this region. Firstly, the region is home to a considerable Muslim Population, which means this is a religious duty for them. Secondly, this region has an entire historical background that advocates the development of Islamic finance starting with edu-cation and the revitalization of institutional experience and its lost Islamic heritage. Thirdly, the universalism of Islam as a religion reflects the same universalism on Isla-mic finance by allowing the system also to be used by the non-Muslim population. Some progress has been made towards developing Islamic finance in the Balkans, which has resulted in such things as banks, micro-financial institutions, presenta-tions, fairs, teaching programs, research, and project financing. Nevertheless, the development of Islamic finance across Balkan countries has yet to gain serious mo-mentum when considering the expectations. This research attempts to shed light on the ambiguities that have been created for Islamic finance, particularly in the Balkans. Meanwhile, the study also considers current developments in Islamic fi-nance whith the intention of instructing its further expansion.