This paper examines the level of awareness and the factors determining the adoption of Islamic Banking (IB) in Tanzania. The study employed quantitative methods to investigate how the Technology Acceptance Model (TAM) and Diffusion of Innovations (DOI) theories predict the adoption of IB in Tanzania. Structured questionnaires were used to collect data. Descriptive statistics were utilized to determine the level of awareness among respondents with different demographic characteristics. Partial Least Squares Structural Equation Modeling (PLS-SEM) was employed to examine the factors influencing the adoption of IB in Tanzania. The findings revealed that male respondents, those who are more educated, Muslim, and civil servants are more aware of and have higher adoption rates of IB compared to their female, less-educated, non-Muslim, and businessmen counterparts. Furthermore, using SMART-PLS, the estimated PLS-SEM model shows that factors such as relative advantage, compatibility, social influence, and knowledge significantly contribute to the adoption of IB products and services in Tanzania. Conversely, trust and government support were found to be insignificant in influencing the IB adoption. Therefore, the findings offer valuable insights for stakeholders in the Islamic Banking sector, signifying a need to prioritize awareness and persuasion-focused initiatives. These recommendations aim to enhance efforts toward promoting the inherent benefits of IB and imparting knowledge to potential adopters