Islamic Finance

Number of Lectures: 6-12 Total Hours: 24 Marking: MCT – 30%; Final Exam – 70%

The course offers insights into Islamic Banking and its development. The course covers Islamic banking products and how these are differentiated from standard banking services. A fundamental topic is usury and its role in the economy. The module will further explore the risks in Islamic financial instruments and what is the risk management framework under such a financial system. A comparative lecture on Islamic banking institutions and nonbank financial institutions will also uncover the distinctive nature of the two approaches. The course will also cover regulatory and governance issues related to the different structure of Islamic banking institutions.