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This article aims at shedding light on the concept of Islamic identity in light of the oriental stereo- types. The study sheds light on the way by which the main components of the Islamic identity are presented in the Oriental studies .The study aims at proving that Islam is treated as a regional religion, which contradicts with the main principle which this religion is sent for; that is the universality of its message. The study also presents the barriers of identity such as race and colure and how the Islamic identity eliminates these barriers and unifies its followers to a higher level of loyalty which is piety and faith. The study concludes that Islam was distorted and presented as the “other, and is always presented as a threat of the West (which is not true!).The study proves that Islam is sent as a mercy for people all over the world; it does not matter if they belong to the East or the West. Islam is not an oriental religion; both the West and the East are embedded under its message. Keywords: Islamic studies, Orientalism, Cultural Identity, Islamic Identity, Ethnicity. Islam Phobia.