SGF.pptx - Lecture 2 Islamic Financial Regulatory Framework and Standards Sir Rahmat Ullah [email protected] Course Islamic Banking Takafu Shariah

SGF.pptx - Lecture 2 Islamic Financial Regulatory Framework...

This preview shows page 1 - 6 out of 16 pages.

Islamic Financial Regulatory Framework and Standards Course: Islamic Banking & Takafu Sir Rahmat Ullah [email protected] Lecture 2
Image of page 1

Subscribe to view the full document.

Shariah Governance Frame work Outlines: Introduction 1. Role of Board of Directors (BOD) 2. Role of Executive Management (EM) 3. Shari’ah Board (SB) 4. Resident Shari’ah Board Member (RSBM) 5. Shari’ah Compliance Department (SCD) ... 6. Internal Shari’ah Audit (ISA) 7. External Shari’ah Audit 8. Conflict Resolution 9. Competence of organs dealing with SGF
Image of page 2
Shariah Governance Frame work Introduction Every organization is supposed to be supervised and regulated according to some standards, the so-called governance standards. Similarly, Islamic financial institutions also need to be regulated and monitored in order to augment and strengthen its workings. Prevailing corporate governance does not fulfill this requirement in the context of Islamic financial institutions, due to their distinctive form of activities and so Sharī’ah governance framework comes in play. Sharī’ah governance is responsible to ensure the compliance of Sharī’ah principles in the products, instruments, operations, practices and management of Islamic financial institutions.
Image of page 3

Subscribe to view the full document.

Shariah Governance Frame work Introduction Sharī’ah governance is entrusted to increase transparency and disclosure, intensify professionalism, and improve oversight of the Islamic financial institutions. It is believed that such governance mechanism would escalate the credibility of Islamic financial institutes. The State Bank of Pakistan has recently issued a Sharī’ah governance framework for Islamic financial institutions.
Image of page 4
Shariah Governance Frame work Introduction In 2008, SBP issued detailed set of instructions and guidelines for Shari’ah compliance vide IBD Circular No. 2 of 2008. However, keeping in view the developments taking place in the Islamic banking industry over the recent years, some of the instructions
Image of page 5

Subscribe to view the full document.

Image of page 6

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern

Ask Expert Tutors You can ask 0 bonus questions You can ask 0 questions (0 expire soon) You can ask 0 questions (will expire )
Answers in as fast as 15 minutes