This course aims to introduce students to the discussion of the main principles of Islamic law of banking and finance, to analyse the relationship between Islamic and conventional banking systems, evaluation of the current practices of Islamic banking system in Malaysia specically and the Muslim world generally.
One objective is to understand the principles and practice modes of Islamic finance for industry and commerce and explore their implications on investment and funding corporations and projects. Another objective is to enable students to evaluate the current practices of Islamic banks, their merits and limitations.
The course is designed to enable people who have no finance, economics, law or Islamic studies knowledge to provide them with knowledge sufficient for them:
- To understand the main principles of Islamic law of banking and finance.
- To explain the rationale for the prohibition of riba and its consequences for savings and investment.
- To explore the range of Islamic financial instruments available for investors and corporations.
- To evaluate the current practices of Islamic banks and their relationship with non-financial corporations and the differences and similarities with conventional banking system.
- To assess the merits and weaknesses of Islamic law of banking and finance.
- Be able to articulate issues in Islamic banking and finance faced during the course of work.