Islamic Finance - A Brief Introduction

The course covers key principles underlying Islamic finance, prohibitions and modes of financing.​​​

What you'll learn
This course is designed to get you an insight into the core concepts of Islamic finance, one of the fastest growing segment of the global finance industry.
Requirements
No prior knowledge or qualifications are necessary.
Description
Globally, there is a demand for a fair and just banking system that the Islamic banking and finance industry provides. As this demand continues to rise, so does the awareness of the timeless principles and values of Islamic finance.Built upon the foundation of Islamic law, which prohibits usurious and speculative activities, the Islamic finance industry prides itself on engaging in business and financial dealings in an ethical manner. The sentiment of this industry is not one of greed, but one of mutual cooperation and partnership through a fair and equitable financial system. The Islamic finance industry has achieved such growth that it is now an astounding 2 trillion-dollar global industry. Not only is this the fastest growing segment of the financial industry, but it is also socially responsible and sustainable as well.Learning Objectives:To understand Islamic finance in contemporary society.To understand the benefits of Islamic finance and banking.To understand the main principles of Islamic banking and finance.To understand how different Islamic modes of financing work.To understand the current market and future opportunities for the sector.Module Learning Outcomes & Summaries:Module 1. Introduction - Learning OutcomesIt is planed students will be able to:1.     Define Islamic Finance.2.     Define Shariah.3.     Understand the Islamic perspective of wealth.4.     Understand Islamic finance growth and future potential.Module 1. SummaryAt the end of Module 1 students will be able to:·       Define Islamic finance.·       Define Shariah.·       Define Islamic finance is set of rules that are Shariah compliant.·       Highlighting the Islamic perspective of wealth.·       Understand the history of modern Islamic finance and.  Module 2. Islamic Law & Contracts - Learning OutcomesIt is planned students will be able to:1.    Explain Sources of Islamic Law (Shariah)2.    Learn the actions of Islam.3.    Learn common elements of a contract.4.    Learn of different ownership categories.5.    Learn the classification of contracts.6.    Learn key contract conditions.                                                                                  Module 2. SummaryAt the end of Module 2 students will be able to:·       Understand the key sources of Islamic Law is the Qur’an and the Sunnah.·       Define actions of Islam.·       Highlight common elements of a contract.·       Understand ownership categories.·       Understand the classification of contracts.·       Understand key contract conditions. Module 3. Modes of Finance - Learning OutcomesIt is planned students will be able to:1.     Understand prohibition of Interest (Riba)2.     Understand prohibition of uncertainty/risk (Gharar).3.     Understand how Islamic insurance (Takaful) works.4.     Understand debt and equity based finance.5.     Understand different modes of finance.6.     Understand the difference between Islamic and conventional banks.7.     Understand key consideration when choosing an Islamic product.8.     Understand how Islamic housing finance works. Module 3. SummaryAt the end of Module 3 students will be able to:·       Explain the prohibition of interest and uncertainty/risk.·       Explain how Islamic insurance (takaful) works.·       Explain difference between Debt and Equity based financing.·       Explain the difference between Islamic and Conventional banks.·       Explain the different modes of finance.·       Explain key consideration when choosing an Islamic product.·       Explain how Islamic housing finance works. Module 4. Regulatory Issues - Learning OutcomesIt is planned students will be able to:1.     Understand the role of independent Shariah boards?2.     Understand legal and regulatory environment.3.     Understand Islamic finance potential.  Module 4. SummaryAt the end of Module 4 students will be able to:·       Define the role of independent Shariah boards.·       Highlighting the link between Shariah, law and business opportunities.·     Contact the publisher to provide feedback on the course or ideas on how it can be promoted globally.

Overview

Section 1: Introduction

Lecture 1 Introduction to instructor – Almir Colan

Lecture 2 What is Islamic Finance?

Lecture 3 Demand for fair and just system

Lecture 4 Upper hand

Lecture 5 Business lessons from Madinah

Lecture 6 Islamic Perspective on wealth

Lecture 7 Functions of money

Lecture 8 The right balance

Lecture 9 Growth of Islamic finance industry

Lecture 10 Historical context

Section 2: Islamic law and contracts

Lecture 11 What is Shariah?

Lecture 12 Sources of Islamic law

Lecture 13 Actions in Islam

Lecture 14 What is a contract?

Lecture 15 Common elements of a contract

Lecture 16 Types of transactions

Lecture 17 Ownership categories

Lecture 18 Classification of contracts

Lecture 19 Contract Conditions

Section 3: Prohibited transactions

Lecture 20 Prohibition of Interest (Riba)

Lecture 21 Types of Riba

Lecture 22 Difference in Islamic and Conventional Banks

Lecture 23 3 Rules by Imam Nawavi

Lecture 24 Examples of Riba (interest) in different transactions

Lecture 25 Wisdom behind Prohibition of Riba (interest) - Case study GFC

Lecture 26 Prohibition of Gharar (Excessive Risk)

Lecture 27 Case study: Islamic Insurance (Takaful)

Section 4: Modes of finance

Lecture 28 Modes of Islamic financing

Lecture 29 Equity partnership, joint venture (Musharaka)

Lecture 30 Investment Partnership (Mudaraba) & Banking

Lecture 31 Leasing (Ijarah) & Leasing vs Sale

Lecture 32 Cost plus sale (Murabahah)

Lecture 33 Choosing an Islamic Product

Lecture 34 Housing Finance

Section 5: Regulatory Issues

Lecture 35 Role of Independent Sharia Boards

Lecture 36 Global Regulatory Environment

Lecture 37 Law, Shairah & Business

Lecture 38 Next step

Lecture 39 Close & Feedback

Section 6: Assessment

Section 7: Extra

Lecture 40 Responsible Ethical Finance: An Islamic Perspective (article)

This course is suited to all participants who want to enhance their understanding of Islamic banking and finance, enter the field or further their career opportunities.