Islamic Banking Division Curriculum
1 year Diploma Course in Islamic Banking and Finance (minimum 2 semester compulsory)
Semester 1
Introduction to Shariah
Course Code: IB01
Course Description:
This unit covers the general introduction to Shariah. It will help to know the students primary and secondary sources of Shariah including the introduction to Islamic terminologies. It will also cover the roles and objectives of Shariah.
Islamic Commercial Law
Course Code: IB02
Course Description:This unit will introduce the scope and law of Shariah in the economic transactions. It will cover the financial and economic issues relating to Shariah based on different Schools of thoughts. It also discusses the challenges of the implementation of Shariah compliance and governance in Financial Institutions.
Islamic Law of Contract
Course Code: IB03
Course Description:
Islamic Contract Law, simply aim to provide the student an introduction to Islamic finance, With this in mind, it aims to delve into some of the key aspects of Islamic law, which have underpinned the growth within Islamic banking. The Arabic word for a contract is Aqd'. The course will see how Islamic law deals with unilateral promises (the Wa'd) and bilateral promise (the Muwada).
Semester 2
Islamic Banking- History and Modern Banking
Course Code: IB101
Course Description:
This course will focus on the development of the Islamic Banks through the ages and in the modern period managing an Islamic Financial institution. This topic includes the historical development of Islamic capital market and its role in economic development.
Islamic Financial Instruments
Course Code: IB102
Course Description:
This course will explain financing based on retail and enterprise in an Islamic Banking environment. It will provide an overview of the various financial instruments offered by Islamic Banking companies, the risk associated with Islamic Banking products and the legal aspects of the Islamic Banking products.
Islamic Bank Risk Management
Course Code: IB103
Course Description:
This unit will differentiate between three basic types of Islamic risk management products and mechanisms: First, those that are formally being standardized, such as the ISDA/IIFM Ta'Hawwut (Hedging) Master Agreement; second, risk management methods directly based on the well-recognized Islamic financing modes and rules; and third, the possibility to use formally Shariah-compliant mechanisms to replicate conventional risk management products and risk profiles.
Entry Requirement:
The applicant should have a senior secondary or equivalent certificate.
1 year Postgraduate Diploma in Islamic Banking and Finance (minimum 2 Semesters Compulsory)
Semester 1
Compulsory Subjects :
Management and Regulations of Islamic Funds
Course Code: IB04
Course Description:
This unit begins with an analysis of strategies and strategic management at the 100-odd Islamic funds that have appeared on the scene. It also examines regulatory differences across markets that have affected their strategies in terms of product development, marketing and other managerial dimensions.
Islamic Economics, Ethics and Governance
Course Code: IB05
Course Description:
This unit aims to provide an overview o of Islamic economy by highlighting the different works of Muslim scholars in this field, including the importance of Islamic world view to economics. This unit also aims to compare the Islamic economic system with the others, with a clear explanation about the concept of money from Islamic point of view and to examine the nature and scope of Islamic economics and its relationship with conventional economics; the importance of self-governance coupled with compliance (Sharian and non-Shariah), best practices and strategic alignment to long term shareholders and investors value.
Optional Subjects (any two) :
Islamic Banking Practices
Course Code: IB104
Course Description:
This unit will let the students understand various aspects of Islamic Banking practices that include the regulatory and legal requirements for an Islamic Bank to operate, product development and risks management, Including organizational development, customer relationship management, strategic management, financial management, channel distribution management and ethical issues in management in accordance with Shariah.
Islamic Capital Market
Course Code: IB105
Course Description: The purpose of this unit is to acquaint the participant with characteristics and trends in the emerging capital markets of Muslim countries in the Middle East, North Africa and South East Asia. The unit provides a comparative scenario of these markets in terms of instruments, regulations, the level of maturity, depth and sophistication. It deals extensively with various Islamic capital market products, with a focus on Islamic bonds (sukuk), equities, index-based products and equity derivatives.
Islamic Wealth Planning
Course Code: IB106
Course Description: This unit covers the concept of wealth in Islam, its generation, its enhancement and distribution from both conventional and Islamic perspectives as part of the process of wealth planning. It will also cover the details of wealth allocation processes; wealth generation and enhancement through investments in securities and real estate; in wealth protection through insurance and takaful; in planning for the future through estate, fax and retirement planning and in estate distribution through wills and law of inheritance. The legal framework and issues will also be brought up as useful tools for would be wealth planners and consultants.
Semester 2
Compulsory Subjects :
Sources of Islamic Financial Law
Course Code: IB06
Course Description: This unit presents usul al fiqh as the science of methodology in the development of Islamic financial and economic law. The module identifies its fundamental issues and discusses their application in terms of deriving fiqh rulings from the sources and applying them to specific business-related situations having financial and economic implications. The focus is on specific norms of financial and economic ethics, such as, prohibition of riba, gharar, jahl etc.and their relevance to contemporary economic and financial system.
Islamic Monetary and Macro-economic Management
Course Code: IB12
Course Description: This unit examines the nature of an Islamic macro-economic and monetary system. It discusses the role of central bank in an Islamic economy in monetary management in order to achieve goals of need fulfillment, optimum rate of economic growth, full employment, equitable distribution, and economic stability. Various Islamic alternatives and instruments for monetary and fiscal management are explored.
Optional Subjects (any Two), one Supervised Project :
Islamic Commercial Banking: Products & Services
Course Code: IB111
Course Description: This module focuses on how a modern commercial bank can be organized in an Islamic economy which offers the full range of traditional products and services, such as, deposit mobilisation, lending, bank guarrantees, funds transfer, and the like. Various problems and challenges facing Islamic banks that engage in these activities, as also their possible solutions are examined.
Islamic Microfinance
Course Code: IB113
Course Description: This unit is about financing small and micro-enterprises in the Islamic way with a focus of poverty alleviation in Islamic societies. It covers various models of Islamic microfinance, the instruments of microfinance that are acceptable in Shariah, the framework for development of integrated and inclusive Islamic microfinance. Various real-life case studies in Islamic microfinance from across the globe are discussed.
Marketing of Islamic Financial Services
Course Code: IB118
Course Description: This unit looks at marketing as an important function in an Islamic bank from a strategic perspective. Various elements of marketing mix - product, pricing, people are discussed with the help of case studies and examples of real-life Islamic financial institutions.
Supervised Project (Compulsory)
Course Code: IBP001
Course Description: This component involves theoretical, empirical, or case research on a problem of significance in the area. Students are required to prepare and submit a dissertation on a topic which is identified subsequent to deliberations and discussions between the student and his/her faculty mentor. The dissertation is expected to achieve high standards of academic rigor and excellence and would be restricted to approximately 3000 words.
Entry Requirement:
The candidate must have completed a diploma program in Islamic Banking and Finance from Islamic Banking and Finance Division of Darul Uloom Online or from any recognized institute.
OR
Candidate must have completed an undergraduate degree in commerce and economics and also should have a Certificate of Shariah Studies from any recognized institute or Darul Uloom Online.
OR
The Candidate should have a minimum 5 year working experience in Financial and Banking industry and also should know the basic tenets of Islamic Shariah.
MBA IN ISLAMIC BANKING AND FINANCE- 12 Credit Point Based Course, One Supervised Project (Minimum Three Semesters)
Compulsory Core Subjects: (Total Credit Points 6, Each Subject 1 Credit Point) :
Sources of Islamic Financial Law
Course Code: IB07
Course Description:
This unit presents usul al fiqh as the science of methodology in the development of Islamic financial and economic law. The module identifies its fundamental issues and discusses their application in terms of deriving fiqh rulings from the sources and applying them to specific business-related situations having financial and economic implications. The focus is on specific norms of financial and economic ethics, such as, prohibition of riba, gharar, jahl etc.and their relevance to contemporary economic and financial system.
Islamic Law of Financial Contracts - I
Course Code: IB08
Course Description:
This unit focuses on the Islamic law of contracts as it relates to economic and financial matters. In this first part of Fiqh Muamalat or Islamic law, the basic classical exchange contract and its variants are discussed. The module covers various forms of bai (exchange), such as, bai-bithman-ajil (credit sale), bai-murabaha (cost-plus sale), bai-salam (advance sale), bai-istisna (manufacture and sale), bai-sarf (currency sale), bai-al-dayn (debt sale), and its variant ijara (leasing) are covered. The principles governing these contracts as also their potential in terms of developing an Islamic economic and financial system are discussed.
Islamic Law of Financial Contracts - II
Course Code: IB09
Course Description: In this second part of Islamic law of financial contracts, the partnership-based contractual mechanisms, such as, modaraba, musharaka, and other mechanisms, such as, kafala (insurance), wadiyya (deposit), hawala (debt transfer), wakala (agency), heba (gift) and rihn (pledge) are covered. The principles governing these contracts as also their potential in terms of developing an Islamic economic and financial system are discussed.
Islamic Financial System - I
Course Code: IB10
Course Description: This unit together with unit IB11 discusses the components of an Islamic financial market: products, services, and institutions. It provides an overview of the nature and economics of various Islamic financial institutions acting as intermediaries and facilitators: commercial banks, investment banks, development banks, insurance and reinsurance companies, mutual funds and unit trusts, venture funds and the like.
Islamic Financial System - II
Course Code: IB11
Course Description: The second part of Islamic Financial System focuses on financial instruments and markets. It covers primary instruments, debt-based and equity-based. It also covers derivative instruments. The module discusses the institutional framework of Islamic money market, stock market (primary and secondary), markets for derivatives, such as, options and futures, and currency market.
Islamic Monetary and Macro-economic Management
Course Code: IB12
Course Description: This unit examines the nature of an Islamic macro-economic and monetary system. It discusses the role of central bank in an Islamic economy in monetary management in order to achieve goals of need fulfillment, optimum rate of economic growth, full employment, equitable distribution, and economic stability. Various Islamic alternatives and instruments for monetary and fiscal management are explored.
Optional Subjects (Total Credit Points 6, Each Subject 1 Credit Point) :
Islamic Commercial Banking: Products & Services (Compulsory)
Course Code: IB111
Course Description: This module focuses on how a modern commercial bank can be organized in an Islamic economy which offers the full range of traditional products and services, such as, deposit mobilisation, lending, bank guarrantees, funds transfer, and the like. Various problems and challenges facing Islamic banks that engage in these activities, as also their possible solutions are examined.
Islamic Commercial Banking: Operations & Management (Compulsory)
Course Code: IB112
Course Description: This module covers managerial issues relating to commercial banking operations, such as, issues in product development and pricing and risk management. Specifically, problems related to asset-liability management and risk management arising out of volatility in markets for commodities, stocks, bonds, and currencies are examined and their possible solutions are discussed.
Choose any four from the following :
Islamic Microfinance
Course Code: IB113
Course Description: This unit is about financing small and micro-enterprises in the Islamic way with a focus of poverty alleviation in Islamic societies. It covers various models of Islamic microfinance, the instruments of microfinance that are acceptable in Shariah, the framework for development of integrated and inclusive Islamic microfinance. Various real-life case studies in Islamic microfinance from across the globe are discussed.
Islamic Investment Banking and Fund Management
Course Code: IB114
Course Description: This unit explores the nature of investment banking and fund management in an Islamic economic system and the challenges facing Islamic banks that offer these services. The unit focuses on financial engineering and design of innovative financial instruments, structures and solutions by Islamic FIs in the face of complexities of modern business. Topics, such as, risk management, asset securitization, complex structures for infrastructure finance receive special emphasis. It also covers management of Islamic funds.
Project Appraisal & Investment Decisions
Course Code: IB115
Course Description: This unit seeks to impart knowledge and understanding of techniques and skills required for undertaking a rigorous economic and financial evaluation of projects. Specific issues and challenges in modifying the conventional investment evaluation framework in the light of priorities in an Islamic economy are highlighted and sought to be operationalized.
Accounting Standards & Regulations for Islamic Banks
Course Code: IB116
Course Description: This unit deals primarily with accounting standards for Islamic banks and financial institutions as these have evolved over time. The accounting stadards that have been developed by the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) as also other prudential norms for supervision of Islamic banks are specially under focus. Many unresolved problems and the suggested solutions thereto are discussed.
Information Technology for Islamic FIs
Course Code: IB117
Course Description: This unit covers the use of information technology, specifically, the internet for providing financial services, beginning from creating product awareness and promotion to handling on-line transactions. Issues, challenges, and the potential for financial institutions in going online are highlighted and discussed.
Marketing of Islamic Financial Services
Course Code: IB118
Course Description: This unit looks at marketing as an important function in an Islamic bank from a strategic perspective. Various elements of marketing mix - product, pricing, people are discussed with the help of case studies and examples of real-life Islamic financial institutions.
Total Quality Management & Business Process Reengineering for Islamic FIs
Course Code: IB119
Course Description: This unit discusses Total Quality Management (TQM) & Business Process Reengineering (BPR) for Islamic FIs. It focuses on customer satisfaction as the key driver and the methods of redesigning and reengineering business processes in an Islamic bank with a view to achieving competitiveness in the global financial services industry.
Supervised Project (Compulsory)
Course Code: IBP002
Course Description: This is a MAJOR project compared to the previous one. The project would involve theoretical, empirical, or case research on a problem of significance in the area, but at a higher level of rigor and scope. The length of dissertation is expected to be approximately 5000 words.