Standard Entry

Applicants should normally have:

• Completed secondary/high-school education or equivalent.
• GCSE/GCE O-Level, High School Diploma or an equivalent international qualification.

Professional Entry

Applicants holding qualifications in:

• Banking
• Finance
• Accounting
• Business
• Economics
• Islamic finance
• Shari’ah studies
• Financial services

may also be considered.

Mature Entry

Applicants without formal post-secondary qualifications may be considered based on relevant professional experience in:

• Banking
• Islamic banking
• Finance
• Accounting
• Microfinance
• Investment
• Takaful
• Treasury
• Financial regulation
• Business management

International Applicants

International applicants may be required to submit:

• Academic certificates/transcripts
• Proof of identity
• Qualification equivalency where applicable
• Certified English translations where necessary
• Evidence of English proficiency where required

Duration: 6 Months
Structure: 2 Semesters × 3 Months
Mode: On-Campus | Virtual | Blended | In-House
Target Sector: Islamic Banks | Islamic Banking Windows | Commercial Banks | Takaful Operators | Islamic Investment Firms | Sukuk Markets | Fintechs | Microfinance Institutions | Development Finance Institutions | Central Banks & Regulators

Module 1: Foundations of Islamic Economics, Banking & Finance

Key Topics

• Introduction to Islamic economics
• Islamic financial system
• Principles of Shari’ah in financial transactions
• Fiqh al-Mu’amalat
• Prohibition of Riba
• Gharar and excessive uncertainty
• Maysir and gambling
• Halal and prohibited economic activities
• Risk-sharing principles
• Asset-backed and real-economy transactions
• Islamic banking versus conventional banking
• Objectives of Shari’ah in financial activities
• Contemporary Islamic financial institutions

Practical Exercise:
Compare a conventional loan with a Shari’ah-compliant financing structure.

Module 2: Islamic Financial Contracts & Transaction Structures

Key Topics

• Murabahah
• Mudarabah
• Musharakah
• Ijarah
• Salam
• Istisna’a
• Wakalah
• Qard Hasan
• Kafalah
• Hawalah
• Rahn
• Tawarruq
• Wa’d
• Contract combinations
• Ownership and possession
• Promise versus contract
• Contract documentation

AAOIFI’s Shari’ah standards specifically address numerous contemporary contracts, including Murabahah, Ijarah, Salam, guarantees, credit agreements, online financial dealings, mortgage applications and banking services.

Practical:
Structure a Murabahah, Ijarah and Musharakah transaction and identify the Shari’ah requirements applicable to each.

Module 3: Islamic Banking Products & Services

Key Topics

• Islamic current accounts
• Mudarabah investment accounts
• Savings products
• Murabahah financing
• Ijarah financing
• Home finance
• Vehicle finance
• SME financing
• Corporate financing
• Trade finance
• Working-capital finance
• Credit cards and payment cards
• Islamic deposits
• Digital Islamic banking
• Islamic banking windows

Practical:
Design a Shari’ah-compliant retail banking product.

Module 4: Islamic Lending, Credit & Financing Risk

Key Topics

• Islamic financing appraisal
• Credit assessment
• Customer due diligence
• Financing eligibility
• Risk assessment
• Credit risk
• Market risk
• Liquidity risk
• Operational risk
• Shari’ah non-compliance risk
• Equity investment risk
• Collateral and guarantees
• Financing concentration
• Default and recovery
• Risk mitigation

The IFSB framework recognizes that Islamic financial institutions require prudential approaches adapted to the characteristics of Shari’ah-compliant products and financing structures.

Module 5: Islamic Banking Operations & Shari’ah Compliance

Key Topics

• Islamic bank operating model
• Front-, middle- and back-office functions
• Financing administration
• Profit calculation and distribution
• Investment accounts
• Customer onboarding
• KYC/CDD
• AML/CFT
• Shari’ah compliance
• Shari’ah review
• Shari’ah audit
• Non-compliant income
• Rectification and purification
• Internal controls
• Operational risk

AAOIFI’s governance standards include specific frameworks for Shari’ah governance, the Shari’ah compliance function, internal Shari’ah audit and Shari’ah boards.

Module 6: Islamic Finance Accounting & Financial Reporting

Key Topics

• Accounting principles for Islamic financial institutions
• Islamic financing assets
• Murabahah accounting
• Ijarah accounting
• Mudarabah and Musharakah
• Investment accounts
• Profit allocation
• Impairment and credit losses
• Financial statements
• Disclosure
• AAOIFI accounting standards
• IFRS considerations
• Differences between AAOIFI and IFRS approaches
• Audit of Islamic financial institutions

AAOIFI currently maintains dedicated accounting, auditing and governance standards for Islamic financial institutions, including standards concerning Islamic financial products and financial reporting.

Semester I Applied Assignment

Islamic Banking Product Analysis

Participants select an Islamic banking product and prepare:

1. Product structure
2. Underlying Shari’ah contract
3. Customer journey
4. Transaction flow
5. Risk analysis
6. Accounting considerations
7. Shari’ah compliance considerations
8. Comparison with a conventional alternative

Module 7: Islamic Capital Markets & Sukuk

Key Topics

• Introduction to Islamic capital markets
• Shari’ah-compliant securities
• Sukuk principles
• Sukuk structures
• Asset-backed versus asset-based structures
• Ijarah Sukuk
• Mudarabah Sukuk
• Musharakah Sukuk
• Wakalah Sukuk
• Sovereign Sukuk
• Corporate Sukuk
• Sukuk issuance process
• Investor considerations
• Shari’ah governance of Sukuk
• Sukuk risks

Practical:
Analyse and structure a simplified Sukuk transaction.

Module 8: Takaful & Islamic Risk Protection

Key Topics

• Principles of Takaful
• Takaful versus conventional insurance
• Tabarru’
• Wakalah model
• Mudarabah model
• Hybrid models
• Family Takaful
• General Takaful
• Retakaful
• Underwriting
• Claims
• Takaful governance
• Risk management

Module 9: Islamic Treasury, Liquidity & Financial Markets

Key Topics

• Islamic treasury management
• Liquidity management
• Islamic money markets
• Interbank Islamic transactions
• Shari’ah-compliant investments
• Foreign exchange considerations
• Currency transactions
• Commodity-based structures
• Central bank liquidity facilities
• Sukuk portfolios
• Asset-liability management
• Investment account management

AAOIFI’s Shari’ah standards include specific treatment of currency trading and other financial-market transactions.

Module 10: Shari’ah Governance, Regulation & Risk Management

Key Topics

• Shari’ah governance framework
• Shari’ah Supervisory Board
• Shari’ah compliance function
• Internal Shari’ah audit
• External Shari’ah review
• Shari’ah risk
• Fiduciary risk
• Governance of investment accounts
• Regulatory supervision
• Board responsibilities
• Risk governance
• Internal controls
• Compliance culture
• Regulatory reporting

The IFSB Core Principles for Islamic finance regulation build upon the Basel Core Principles while adapting them to the specific characteristics of Islamic financial institutions.

Module 11: Islamic Fintech, Digital Finance & Innovation

Key Topics

• Islamic fintech
• Digital Islamic banking
• Mobile Islamic finance
• Digital payments
• Islamic crowdfunding
• Digital Sukuk
• Blockchain and Islamic finance
• Smart contracts
• AI in Islamic finance
• Digital identity
• Shari’ah issues in digital transactions
• Cybersecurity
• Digital fraud
• Financial inclusion

AAOIFI’s standards include provisions relevant to online financial dealings and contemporary digital financial activities.

Module 12: Islamic Banking Strategy & Integrated Capstone

Key Topics

• Islamic banking strategy
• Business-model design
• Islamic banking transformation
• Conventional-to-Islamic conversion
• Islamic banking windows
• Customer segmentation
• Product innovation
• Financial inclusion
• Sustainable Islamic finance
• ESG and Islamic finance
• Future of Islamic banking
• Global Islamic finance markets

Integrated Islamic Banking Capstone

Participants develop a complete Islamic Banking Business & Product Strategy.

The project should cover:

Market Analysis → Customer Segment → Shari’ah Contract → Product Structure → Transaction Flow → Pricing/Profit Mechanism → Risk Management → Shari’ah Governance → Accounting → Compliance → Digital Delivery → Business Case

Participants present the project to a simulated Islamic Bank Executive & Shari’ah Supervisory Committee.

AAOIFI Benchmarking

The programme incorporates concepts drawn from:

• AAOIFI Shari’ah Standards
• AAOIFI Accounting Standards
• AAOIFI Auditing Standards
• AAOIFI Governance Standards
• Shari’ah governance principles
• Islamic banking and financial-market standards

AAOIFI states that its standards cover Shari’ah, accounting, auditing, ethics and governance, and are used either mandatorily or as guidance in Islamic-finance jurisdictions around the world.

IFSB Benchmarking

The curriculum incorporates IFSB principles concerning:

• Islamic banking regulation
• Capital adequacy
• Credit risk
• Market risk
• Operational risk
• Liquidity risk
• Shari’ah governance
• Investment account holders
• Corporate governance
• Risk management
• Transparency and disclosure

IFSB specifically seeks to adapt international prudential standards to the unique risks and structures of Islamic financial institutions.

European Benchmarking

The programme incorporates relevant European concepts concerning:

• Banking governance
• Consumer protection
• AML/CFT
• Risk management
• Financial reporting
• Prudential regulation
• Sustainable finance
• Digital financial services

Where Islamic financial products operate within European jurisdictions, participants examine how Shari’ah requirements interact with conventional financial regulation and European banking frameworks.

U.S. Benchmarking

The programme introduces U.S.-relevant concepts including:

• Banking supervision
• Consumer financial protection
• AML/CFT
• Risk-based compliance
• Corporate governance
• Financial reporting
• Digital finance
• Financial innovation

The emphasis is on understanding how Islamic financial institutions or Islamic products can operate within a dual regulatory environment combining Shari’ah requirements with national banking law.

The programme uses a Shari’ah + Banking + Finance + Practical Application model.

Participants will work through practical cases involving:

• Murabahah financing
• Ijarah
• Mudarabah
• Musharakah
• Islamic deposits
• Islamic mortgages
• SME financing
• Sukuk
• Takaful
• Islamic treasury
• Islamic fintech
• Shari’ah compliance

Assessment focuses on the participant’s ability to understand and apply Islamic financial principles to real banking and financial transactions.

Graduates will be prepared for developing professional roles across Islamic banking and broader financial services.

Potential Job Titles

• Islamic Banking Officer
• Islamic Finance Officer
• Islamic Banking Relationship Officer
• Islamic Finance Analyst
• Shari’ah Compliance Assistant
• Islamic Banking Operations Officer
• Islamic Financing Officer
• Islamic Credit Officer
• Islamic Treasury Assistant
• Sukuk Operations Officer
• Islamic Investment Assistant
• Takaful Officer
• Islamic Banking Product Officer
• Islamic Finance Customer Service Officer
• Islamic Finance Business Development Officer
• Shari’ah Governance Assistant

Potential Employment Sectors

• Islamic commercial banks
• Islamic banking windows
• Central banks and financial regulators
• Islamic investment banks
• Development finance institutions
• Takaful companies
• Sukuk and capital-market institutions
• Islamic asset-management companies
• Islamic microfinance institutions
• Fintech companies
• Digital Islamic banks
• Family offices
• Wealth-management firms
• Consulting and professional-services firms
• Universities and research institutions

The qualification is designed to support professional mobility across major Islamic-finance markets, including:

Gulf & MENA | Malaysia & Indonesia | Pakistan & Bangladesh | Africa | United Kingdom | Europe | North America | Emerging Markets

It is particularly relevant to professionals working in Islamic banking departments, Islamic banking windows and institutions operating in mixed conventional/Islamic regulatory environments.

IBSF INTERNATIONAL CERTIFICATE IN ISLAMIC BANKING & FINANCE

Duration: 6 Months | 2 Semesters | 3 Months Each

The Certificate in Islamic Banking & Finance is a professionally oriented programme designed to provide participants with a comprehensive understanding of the principles, products, contracts, operations, governance and risk-management practices of Islamic financial institutions.