Introduction to Islamic Finance

Islamic Finance has become one of the world’s fastest growing financial sectors as investors show an increasing desire for a variety of Islamic financial instruments. From Kuala Lumpur to Dubai, from Los Angeles to London, some 300 Islamic banks and other financial instituations are operating in some 50 countries, with total assets that top USD400 billion.

The Institute of Accounting Technicians hopes to build on the success of Islamic Banking in mostly Muslim countries, as well as European and North American countries that have sizable Muslim populations. By completing this course a financial advisor will be in a very good position to offer consulting services to Muslims and Islamic Financial Institutions.

The certificate in Islamic finance will provide a basis of sound theoretical knowledge and combined with professional experience will provide an excellent basis for planning opportunities.

Course Content

Financial Accounting Statements

1. Objectives of Financial Accounting for Islamic Banks & Financial Institutions
2. Concepts of Financial Accounting for Islamic Banks & Financial Institutions
3. Financial Accounting Standards
4. General Presentation and Disclosure in the Financial
5. Statements of Islamic Banks and Financial Institutions
6. Murabaha and Murabaha to the Purchase Order
7. Mudaraba Financing
8. Musharaka Financing
9. Disclosure of Bases for Profit Allocation Between
10. Owners’ Equity and Investment account Holders
11. Equity of Investment Account Holders and their Equivalent
12. Salam and Parallel Salam
13. Ijarah and Ijarah Muntahia Bittamleek
14. Zakah
15. Istisna’a and Parallel Istisna’a Provisions and Reserves
16. General Presentation and Disclosure in the Financial
17. Statements of Islamic Insurance Companies.
18. Disclosure of Bases

Auditing

1. Objectives and Principles of Auditing
2. The Auditors Report
3. Terms of Audit Engagement
4. Testing by an External Auditor for Compliance with Shari’a Rules and Principles.

Governance

1. Shari’a Supervisory Board: Appointment, Composition and Report
2. Shari’a Review.
3. Internal Shari’a Review

Ethics

1. Code of Ethics for Accountants and Auditors of Islamic Financial Institutions

Certification Routes

There are two routes for this Certification

i. Examination based: Four hour examination worldwide. Available on demand.

ii. A dissertation of minimum 15,000 words.
The dissertation title will need to be submitted for approval. For guidance the most recent title approved by IFC is:

“The Islamic Financial System and its Operative Capacity in the Global Economy”.

Assessment:  Passmark 50%

Resources: Glossary of Islamic Financial Terms

For further details please download the course brochure.

All study material can be bought online from our bookstore.

If you are interested in studying for this certificate please email our administrative office.