Synopsis

Over the past three decades, the Islamic Banking and Finance industry has emerged from nothing to an industry with assets of hundreds of billions of dollars under its management. The industry has also witnessed the exponential growth during the last few years in all parts of the world.

The Online Professional Diploma in Islamic Banking aims to progressively build and equip you with the fundamental knowledge of Islamic Banking. The Diploma will cultivate a sound understanding of the fundamental concepts as well as develop and advance the relevant knowledge needed to progress in Islamic Banking or further studies.

If you are serving in the industry and want career progression, or wish to demonstrate an acute level of commitment and personal accountability to a wider society, or want more than a basic understanding of a broad range of concepts and operating principles, this course is for you.

Program Modules and Award of Credit Units:

The National University of Singapore (Extension) offers an on-line program leading to Professional Diploma in Islamic Banking and Finance (PDIBF). Students have to complete all six modules for the award of the professional diploma.

The program comprises of 6 modules, and the total credit for this diploma is 23 credit units.

Module Composition

Each module comprises of at least 6 units. The maximum number of units is 10 units in a module.

Formative and Summative Questions

In each unit, students will be tested based on formative and summative questions.

Formative questions: These are auto-assessed and do not contribute to the final result of the module. They are included in the units for the purpose of guiding students in understanding the content units. Students should attempt these questions until they succeed in getting them right.

Summative questions: Students will find at least 3 summative questions in each module. These questions must be attempted. They will be assessed by the module convener and the grade will contribute to the overall course assignments mark.

Module Assessment

The program is assessed as follows:

50% - Course Summative Assignments
50% - Examination

The aggregate marks of course summative assignments and final examination will form the total overall mark for each of the modules.

Examination:

Examinations are set twice in a year – mid-June and early December.

Duration of Program

Student is allowed to sit at least 2 modules at a time. The minimum duration for completion for each module is 6 months and the maximum is 18 months. This would allow a student to register and attempt at least three examination sittings for each module. If a student fails to pass at the third sitting, the examination body would require the student to repeat the module. No student is allowed to repeat a module more than once.

The design in the duration for the program is therefore flexible and student may sit for the modules at their own pace. However, the minimum time duration for the completion of the program is 18 months.

Entry Qualifications

A candidate for admission into Professional Diploma in Islamic Banking and Finance must satisfy the following requirements:

• At least 2 GCE ‘A’ levels Examination or its recognised equivalent, of which at least one subject must be a ‘C’ grade
• Must possess English and Maths are GCE ‘O’ level Examination or its recognised equivalent at Grade ‘C’. Candidates who do not possess a Grade ‘C’ GCE English ‘O’ level are expected to show English proficiency by attaining  IELTS score of 6.0 or TOEFL score of 550.
• For those without GCE ‘A’ level qualification, but have at least 4 ‘O’ level in any subjects of which one subject must be English GCE ‘O’ level at Grade “C’ and at least 3 years of working experience at officer’s level in any organisation, may be allowed to apply for admission. The Board of Examiners will assess the entry credibility for such candidates.

All candidates will be required to submit their qualification documents once they are admitted to the online program. The Board of Examiners will have the final discretion for admitting any candidates to the program.

Date for Intake

Candidates may register into the program at any time of the year. However, a student needs to be registered at least 12 weeks prior to examination.

COE 113 – Accounting for Islamic Financial Products

Module Outline

Unit One: History and Development of Islamic Accounting

• Aim of the Unit and Learning Outcomes
• Islamic Worldview of Accounting
• Shariah Islami’iah
• The Development of  Islamic Banking
• The Critique of Conventional Western Accounting
• The Framework and Objectives of Islamic Accounting
• Statement of Financial Accounting 1 (SFA 1)
• Statement of Financial Accounting 2 (SFA 2)
• Role of the Accountant from Islamic Perspective
• The Development of AAOIFI and its 2008 Standards
• Summary

Unit Two: General Disclosure and Presentation of Financial Statements in IFI

• Aim of the Unit and Learning Outcomes
• Financial Statements of Islamic Banks.
• Statement of Financial Position (Balance Sheet)
• Statement of Cash Flow
• Statement of Changes in Owners’ Equity (FAS1: 4/4)
• Statement of Changes in Restricted Investments (FAS 1: 4/5)
• Statement of Sources and Uses of the Zakah and Charity Fund (FAS 1: 4/6)
• Statement of Sources and Uses of the Qard (FAS 1: 4/7)
• General Disclosure
• Summary
• Summative Assessment Question One

Unit Three: Accounting for Murabahah Financing

• Aim of the Units and Learning Outcomes
• Definition of Murabahah
• Types of Murabahah
• Basic Murabahah Sale
• Murabahah Sale to the Purchase Orderer
• Types of Murabahah Sale to the Purchase Orderer
• Accounting Treatment of Murabahah
• General Rules
• Summary

Unit Four: Accounting for Mudarabah and Musharakah

• Aims of the Unit and Learning Outcomes
• Partnership Contracts
• Types of Mudarabah
• Terms and Elements of Mudarabah
• Mudarabah Rules
• Accounting Treatment of Mudarabab Financing
• Definition and Types Musharakah
• Financing of Musharakah
• Principles of Musharakah Financing and its Rules
• Accounting Treatment of Musharakah Financing
• Summary

Unit Five: Ijarah Financing

• Aims of the Unit and Learning Outcomes
• Definition of Ijarah
• Types of Ijarah
• Elements of Ijarah
• Accounting Treatment of Ijarah
• Summary

Unit Six: Accounting for Salam and Istisna’

• Sale (Bay’)Contracts
• Definition of Salam
• Parallel Salam
• General Rules
• Accounting treatment of Salam and Parallel Salam (FAS 7)                         
• Definition of Istisna’
• Parallel Istisna’
• Differences and similarities between Istisna’ and Salam
• Juristic Rules of iIstisna
• Accounting Treatment of Istisna’ by Bank as Al-Mustani (FAS 10)
• Illustration of Accounting Treatments
• Summary

Unit Seven: Provisions and Reserves- FAS 11 and Investment- FAS 17

• Definitions and types of Provisions
• Presentation and disclosure requirements
• Reserves for Investment accounts – PER and IRR
• Disclosures on the bases for profit allocation between owner’s equity and investment account holders
• Measurement and presentation requirements
• Classifications of Investments
• Investments in Sukuk and shares
• Presentation and disclosure requirements
• Summary