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ECO728

Islamic Financial System

This course introduces postgraduate students to the Islamic financial system, exploring its theory and practice as an alternative to conventional finance. It provides a guide for establishing an alternative system, highlighting its guiding principles, institutions, and products. The course assists in capacity building, meeting the increasing need for knowledge and practice in Islamic finance. Key issues include an overview of Islamic financial institutions, their features, governing principles, products, Shari'ah, and regulatory frameworks.

About this course

Difficulty
Intermediate
Study hours
156 hours
Maths
None
Content
Theoretical, case study
Practical work
No
How it is assessed
  • Assignments
  • Tutor marked assessments
  • Final examination

One paragraph, so you can see how it reads

ECO728 · UNIT ONE: Overview of Islamic Financial System

The following is a practical strategy for working through the course. If you run into any trouble, consult your tutor. Remember that your tutor's job is to help you. When you need help, don't hesitate to call and ask your tutor to provide it.

What you should be able to do

  1. Understand the theory and practice of Islamic finance.
  2. Comprehend the basic principles guiding Islamic financial systems.
  3. Learn about contracts and products employed in Islamic transactions.
  4. Recognize institutions that regulate Islamic finance activities.
  5. Evaluate the efficiency of Islamic financial systems.
  6. Know the Shari'ah rulings applicable to Islamic financial products.

What it prepares you for

Careers
  • Islamic Banker
  • Financial Analyst
  • Shari'ah Advisor
  • Investment Manager
  • Compliance Officer
Where it is applied
  • Banking
  • Finance
  • Insurance
  • Investment
  • Consulting

Where it gets hard

The units students slow down on, and what makes each one heavy.

  • Module 2: Structure of Islamic Financial System

    Unit 3: Islamic Financial Instruments

    Complexities in understanding the structure and operations of various Islamic financial instruments requires a strong understanding of Shari'ah principles.

  • Module 3: Regulatory Framework of Islamic Financial System

    Unit 3: International Standard-Setting organizations for Islamic finance

    Understanding the nuances of international standards and their practical application in different jurisdictions requires critical analysis.

A suggested way through it

Suggested

13 weeks, about 40 hours in total. Yours will differ.

  1. Week 1Module 1: Introduction to Islamic Financial System
    • Unit 1: Overview of Islamic Financial System · 2 hours

      Understand the nature of the Islamic finance industry.. Explore the overview of its development.. Learn about the Shari'ah framework for the Islamic financial system..

  2. Week 2Module 1: Introduction to Islamic Financial System
    • Unit 2: Growth Drivers of Islamic Finance · 2 hours

      Identify the major factors that led to the growth of Islamic finance globally.. Show the growth potentials of the Islamic finance industry accrued to different financial segments.. Appraise the global integration of the Islamic financial system (IFS)..

  3. Week 3Module 1: Introduction to Islamic Financial System
    • Unit 3: Fundamental Principles of Islamic Finance · 2 hours

      Understand the guiding principles of Islamic finance operation.. Explore the reasons behind certain prohibitions in Islamic finance transactions.. Enhance knowledge of Islamic finance dealings..

    • Unit 4: Models of Islamic Finance · 2 hours

      Introduces the various model practiced in Islamic finance industry around the globe. Enable the students to identify the right models in practice in various countries of world. To be able to distinguish between the models as far practice by the students.

  4. Week 4Module 2: Structure of Islamic Financial System
    • Unit 1: Islamic Financial Institutions · 2 hours

      Understand Islamic financial institutions operating within the Islamic Financial System.. Learn the role Islamic financial institutions play in financial intermediation.. Identify the key characteristics of Islamic institutions..

  5. Week 5Module 2: Structure of Islamic Financial System
    • Unit 2: Islamic Financial Markets · 4 hours

      Understand the components of the Islamic financial system.. Learn the various types of Islamic financial markets..

  6. Week 6Module 2: Structure of Islamic Financial System
    • Unit 2: Islamic Financial Markets · 4 hours

      Understand the components of the Islamic financial system.. Learn the various types of Islamic financial markets..

  7. Week 7Module 2: Structure of Islamic Financial System
    • Unit 3: Islamic Financial Instruments · 2 hours

      Understand the nature of the Islamic financial instruments.. Learn the uses of the financial instruments..

  8. Week 8Module 2: Structure of Islamic Financial System
    • Unit 4: Challenges Facing Islamic Financial Institutions · 2 hours

      Understand the various factors that negates the active performance of IFIs globally. Learn the challenging issues faced by IFIs in meeting the global financial standard in transaction..

  9. Week 9Module 3: Regulatory Framework of Islamic Financial System
    • Unit 1: Rationale for Regulations of Islamic finance · 2 hours

      Understand the need for regulation in the development of Islamic finance.. Know the key regulatory framework for Islamic finance institutions.

  10. Week 10Module 3: Regulatory Framework of Islamic Financial System
    • Unit 2: Regulatory and Supervisory authorities for Islamic Finance · 4 hours

      Learn the key functions of the regulatory authorities.. Understand their supervisory and legal frameworks.. Explore environmental controls of the economic and financial issues emanating..

  11. Week 11Module 3: Regulatory Framework of Islamic Financial System
    • Unit 2: Regulatory and Supervisory authorities for Islamic Finance · 4 hours

      Learn the key functions of the regulatory authorities.. Understand their supervisory and legal frameworks.. Explore environmental controls of the economic and financial issues emanating..

  12. Week 12Module 3: Regulatory Framework of Islamic Financial System
    • Unit 3: International Standard-Setting organizations for Islamic finance · 2 hours

      Understand the significance of the international standard setting organizations.. Learn the roles they play in shaping the activities of the institutions..

  13. Week 13Final Revision
    • Final Revision · 6 hours

      Review all course materials. Revise all assignments. Prepare for final examination.

Preparing for the exam

What to do
  • Create concept maps linking Shari'ah principles to financial instruments.
  • Practice applying Islamic finance principles to real-world case studies.
  • Review key definitions and concepts from each unit weekly.
  • Focus on understanding the differences between Islamic and conventional finance.
  • Allocate time to study regulatory frameworks and international standards.
  • Practice past exam questions to familiarize yourself with the format.
  • Create summaries of key concepts and principles for quick review.

Questions students ask about this course

What is ECO728 about?

This course introduces postgraduate students to the Islamic financial system, exploring its theory and practice as an alternative to conventional finance. It provides a guide for establishing an alternative system, highlighting its guiding principles, institutions, and products. The course assists in capacity building, meeting the increasing need for knowledge and practice in Islamic finance. Key issues include an overview of Islamic financial institutions, their features, governing principles, products, Shari'ah, and regulatory frameworks.

How many units does ECO728 have?

ECO728, Islamic Financial System, has 11 units across 3 modules, over 122 pages of course material. You can read it one unit at a time.

How many credit units is ECO728?

ECO728 carries 2 credit units, at 700 level in Social Sciences.

Is ECO728 hard?

ECO728 is rated intermediate level, with no mathematical content. It is mostly theoretical and case study work.

How long does ECO728 take to study?

About 156 hours of study, spread across its 11 units.

How is ECO728 assessed?

ECO728 is assessed by assignments, tutor marked assessments and final examination.

What can I do with ECO728?

Islamic Banker, Financial Analyst, Shari'ah Advisor, Investment Manager and Compliance Officer.

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