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  • Chapter 2 – Introduction to Islamic Finance

    CHAPTER 2: INTRODUCTION TO ISLAMIC FINANCE

    WEEK 2 (Lecture) and (Tutorial)

    SYNOPSIS / OVERVIEW

    Lesson 2 introduces the concepts of Islamic economics and Divine Guidance in Islam for the development of an interest-free economy based on the principles of socio-economic justice. The module also explains the objective (the maqasid) of Shari'ah that provides a moral framework for conducting business and personal dealings with justice and fairness.

    Islamic Finance: How Does It Make Money Without Interest? | Global Finance  Magazine

    Here are the main topics to be covered in Chapter 2 (Week 3):

    • History of Islamic Banking and Finance
    • Internationalization of Islamic Banking and Finance
    • Islamic Banking and Finance Today
    • Development of IBF in Malaysia
    • Basics of Islamic Banking
    • Comparison of Islamic With Conventional Banks

    LEARNING OUTCOMES

    By the end of this lesson, student should be able to:

    • Explain business and financial activities during the time of the Prophet.
    • Discuss early establishment of Islamic Banking and Finance: 1950-1970s.
    • Describe the major difference between the Islamic and conventional banking system.


    REQUIRED READINGS

    Chapter 1: Introduction to the class. Overview of Shari‘ah, Islamic thought and practice, the place of Shari‘ah within the Islamic religion, and Shari‘ah-oriented transactions.

    Arshad A. Ahmed, co-authored with Umar F. Moghul, Contractual Forms in Islamic Finance Law, and Islamic Investment Company of the Gulf (Bahamas) Ltd. v. Symphony Gems N.V. & Others: A First Impression of Islamic Finance, 27 Fordham International Law Journal 150-154, 156-165 (December 2003) Seyyed Hossein Nasr, The Heart of Islam 113-156 (2004).

Chapter 1 : Introduction to FinanceChapter 3 – Financial Statement & Cash Flow_Part 1