Course Outline

Islamic banking is based on the principles of Islamic/Sharia law, guided by Islamic economics. Islamic law prohibits interest, and hence it is a non-interest banking system.

Some of the modes of this banking system include profit sharing and loss bearing (Mudarabah), safekeeping (Wadiah), joint ventures (Musharaka), cost plus (Murabahah), leasing (Ijara), etc.

It also prohibits investment in businesses that provide products and/or services against Islamic principles. Historically, these prohibitions have been applied in Islamic countries to control and prevent un-Islamic practices.

Duration

2 weeks

Course Objective:

·         Developments of Islamic Economics, Banking and Finance.

·         Understanding of the main principles of Islamic banking and finance

·         Identifying a range of commonly used Islamic Financial products and services

·         Considering  the nature and scope of Islamic finance and its relationship with conventional finance

·         Creating awareness of the principles, trends and economic benefits of Islamic portfolios.

·         Critically evaluate the key differences between the Islamic and conventional securities market

·         Examine various risk management tools and techniques from an Islamic point of view.

·         Differentiate between conventional insurance and Takaful

·         Demonstrate practical skills of ethics for Islamic corporate governance.

·         Compare and contrast differences between Islamic accounting and conventional accounting

Course content

·         An introduction to Islamic financial markets

·         Provision of sharia’a compliant financial services.

·         Defining the Islamic financial market

·         The rationale for growth in sharia’a compliant financial services

·         Islamic finance:

·         Gharar and maysir (uncertainty and speculation) in Islamic finance

·         understanding the core principles of Islamic investment and finance

·         Rules that recur in structuring for Islamic finance.

·         Islamic law

·         Understanding the role and importance of the sharia’a

·         Islamic vs. conventional finance

·         Prohibitions under Islamic law

·         Process of structuring a sharia’a compliant product

·         Understanding Islamic finance guidelines

·         understanding Islamic finance asset classes

·         Murabaha contracts (sales)

·         Defining murabaha contracts

·         Murabaha on credit – deferred payment

·         Late payment treatment

·         Murabaha syndicate trade mechanics

·         Revolving murabaha

·         Islamic finance products

·         Letters of credit and guarantees in Islamic finance

·         sharia ’a perspective

·         Role of wakala and kafala in developing the structure

·         Islamic credit cards

·         Rules governing sharia’a compliance for credit card finance

·         Credit card features and sharia’a hotspots

·         Islamic finance asset classes

·         Ijara (leasing) in Islamic finance

·         Jara muntahia bi tamleek

·         salam (forward sales) in Islamic finance

·         Defining the forward contract

·         Parallel salam

·         istisna (construction or manufacturing)

·         Defining the istisna contract

·         Parallel istisna

·         AAOIFI and IFSB standards

·         Applications in the modern world

·         organizational structures for Islamic finance

·         Profit and loss sharing contracts in Islamic finance: musharaka and mudaraba

·         Broad Islamic rules for profit sharing

·         Musharaka (partnership),Mudaraba (silent partnership)&Wakalah (agency)

·         musharaka and mudaraba

·         Key ideas behind Sharia’a compliant business organisation

·         Applications and considerations for wealth management and private banking

·         Understanding the application of core Islamic finance principles

·         Screening issues

·         Considerations for the investment manager working in Islamic finance

·         Providing clients with sharia’a compliant financial products

·         Islamic finance & advisory services

·         Islamic finance fund management challenges

·         Stock market funds

·         Islamic hedge funds

·         Islamic finance capital markets

·         structure of Islamic finance capital markets

·         Understanding financial risk management

·         Limitations on derivatives in sharia’a and Islamic finance

·         Risk and sharia’a compliance

·         Managing profit, yield, market and foreign exchange risks in Islamic finance

·         Islamic finance: regulatory and capital issues

·         Main regulatory bodies for Islamic finance

·         Key regulatory bodies and the international financial system

·         Regulatory challenges for Islamic financial institutions

·         Profit sharing deposits – equity, debt or quasi-equity

·         Displacing commercial risk

·         Understanding instrument risk in Islamic finance

General Notes

·         All our courses can be Tailor-made to participants' needs

·         The participant must be conversant in English

·         Presentations are well-guided, practical exercises, web-based tutorials, and group work. Our facilitators are experts with more than 10 years of experience.

·         Upon completion of training the participant will be issued with a Foscore development center certificate (FDC-K)

·         Training will be done at the Foscore development center (FDC-K) centers. We also offer inhouse and online training on the client schedule

·         Course duration is flexible and the contents can be modified to fit any number of days.

·         The course fee for onsite training includes facilitation training materials, 2 coffee breaks, a buffet lunch, and a Certificate of successful completion of Training. Participants will be responsible for their own travel expenses and arrangements, airport transfers, visa application dinners, health/accident insurance, and other personal expenses.

·         Accommodation, pickup, freight booking, and Visa processing arrangement, are done on request, at discounted prices.

·         Tablet and Laptops are provided to participants on request as an add-on cost to the training fee.

·         One-year free Consultation and Coaching provided after the course.

·         Register as a group of more than two and enjoy a discount of (10% to 50%)

·         Payment should be done before commence of the training or as agreed by the parties, to the FOSCORE DEVELOPMENT CENTER account, so as to enable us to prepare better for you.

·         For any inquiries reach us at training@fdc-k.org or +254712260031

 

 

·         Website:www.fdc-k.org