Abstract: The purpose of the study was to investigate the factors that influence the adoption of Islamic banking services in Yemen. Accordingly, a survey was conducted covering 300 respondents from most of the Yemeni regions and data analysis was based on structural equation modelling as well as descriptive and t statistics. The findings revealed that generally the Yemeni customers are willing to adopt Islamic banking services, while the main factors that influence this decision are the environmental influence as well as the decision making control.