Islamic Banking and Finance Summer School (IBFSS 2017)

1 - 3 May 2017
Venue: Lancaster University Management School
Keynote Speaker: Professor Datuk Rifaat Ahmed Abdel Karim, PhD PJN

Overview

The Islamic finance industry has witnessed unprecedented growth in the last two decades, during which it has become firmly integrated into the global financial system. With total assets approaching $3 trillion, its projected annual growth is expected to reach 10%. After the onset of the Global Financial Crisis in 2008, the resilience of the Islamic financial system attracted great interest across the global investment community. That resilience and the subsequent expansion of the sector are primarily attributed to the ethical and asset backed system that underpins the Islamic business model.

GOLCER Islamic Banking and Finance Summer School in collaboration with Timberlake presents an innovative and versatile programme which has been designed for those seeking to embark upon, or are currently enrolled in, postgraduate research in Islamic finance. It offers an opportunity for researchers and practitioners to better inform themselves about the tools and procedures necessary to undertake research in this area. Participants are introduced to theoretical and empirical aspects underlying Islamic banking; and comparisons are drawn with conventional banking and financial systems. The contemporary practice of Islamic banking and its impact upon efficiency, risk-taking, capital markets and regulation are discussed. Great emphasis is placed upon hands-on exercises and case studies that allow participants to fully understand each learning point. This is achieved by a series of EViews/Stata Lab sessions. All participants receive a certificate of attendance.

About the Keynote Speaker

Professor Abdel Karim has an international reputation as a leader and authority in the Islamic financial services industry (IFSI) at both the professional and the academic levels. He has played a pioneering role in the development of Islamic finance. His leadership in the setting of accounting, auditing, governance, Shari’ah and regulatory standards, as well as in the development of high quality short-term financial instruments to facilitate liquidity management for Islamic financial institutions, has been highly instrumental in establishing the position of the IFSI in the mainstream of global financial services. 

Objectives

The Objectives of the course are as follows:

  • Introduce the jurisprudential and theoretical foundations of Islamic Banking and Finance.
  • Provide an update on the regulatory framework of Islamic banking and finance.
  • Introduce the tools required in modern statistical analysis of Islamic economic and financial indicators.
  • Provide an overview of the Islamic financial products and their structure.
  • Conventional banking: Friend or Foe? Analysis of benefits and threats to Islamic banking.
  • Demonstrate how to present, interpret and analyse information based on financial and banking data.
  • Demonstrate how applied research in Islamic finance is undertaken and also to appreciate the use of econometric modelling.
  • Highlight current issues facing Islamic banking and financial sector.

Agenda

Day 1

9:00 – 9.15 Welcome (Dean / Director GOLCER)
9.15 – 9.30 Opening Speech (Islamic Business Universe Current outlook) 
9.30 – 10.00 Invited Speaker (Professor Abdel Karim)
10.00 – 13.00 Session 1: Banking Efficiency and Productivity 

  • Measuring Efficiency
  • Types of Efficiency (Technical + Allocative)
  • Technical Change
  • Scale Economies
  • Total Factor Productivity
  • Production Frontier and Feasible Production Set
  • DEA Analysis
  • Stochastic Frontier Methods

14.00 – 17.00 Session 2: Risk and Stability of Islamic Financial Institutions 

  • Introduction to Risk Management
  • Risk Management in Islamic Banks
  • Guiding Principles of Risk Management
  • Risk Management Governance
  • Risk Management Tools
  • Measuring Risk Failure
  • Measuring Industry Concentration and Penetration

17.00 – 18.30 Lab Session
19.30 - Gala Dinner
Breaks: Coffee (11.00 – 11.30, 15.30 – 16.00), Lunch (13.00 – 14.00)

Day 2

9.00 – 10.00 Invited Speaker (TBC)
10.00 – 11.00 Session 1: Regulation and Shariah governance 

  • Structuring of Sharia Supervisory Board (SSB)
  • Role and responsibilities of the SSB
  • Conflict resolution in SSB – schools of thoughts, GCC vs Malaysia, AAOIFI vs IFSB Standards  
  • IFSB Standard on Shariah Governance
  • Shariah Governance Framework
  • Group discussion: Standardisation of Shariah rulings

11.30 – 13.00 Session 2: Corporate Governance

  • Corporate Governance
  • The legal status of the non-executive directors compared to the SSB and their fiduciary duties
  • Regulatory structures: case studies for FCA and PRA Regulations
  • Conflict of interest issues for SSB members
  • Stewardship

14.00 – 15.30 Session 3: Common law and Shariah: a legal transplant for Islamic finance?

  • Background to Islamic law of contract
  • English common law as the contractual foundation for Islamic products
  • The case for wa’ad for Islamic financial products
  • Case study: ” choice of law” clause in UK courts
  • Fiqhi and Legal Issues
  • Is arbitration a solution?

16.00 – 17.30 Round Table discussion
Breaks: Coffee (11.00 – 11.30, 15.30 – 16.00), Lunch (13.00 – 14.00)

Day 3

9.00 – 10.00 Invited Speaker (TBC)
10.00 – 11.00 Session 1: Accounting and Reporting in Islamic Financial Institutions 

  • The importance of financial reporting in Islam.
  • Objectives and concepts of financial accounting for IFI.
  • Presentation and disclosure in the financial statements of Islamic banks.
  • Accounting Standards for equity-based and debt-based contracts.
  • The nature of unrestricted and restricted investment accounts.
  • Risk models for loan losses in Islamic and conventional banks.

11.30 – 13.00 Session 2: Financial Reporting in Islamic Finance: A Regulatory Perspective 

  • Distinctive features of regulatory frameworks (Islamic versus conventional banks).
  • A snap shot: financial reporting quality in Islamic versus conventional banks.
  • The impact of the global financial crisis on banks’ regulatory requirements.
  • Limitations in adopting international financial reporting standards (IFRS).
  • Regulatory capital adequacy requirements in Islamic banks.
  • Adoption of Basel III: Future Challenges and Rewards.
  • Auditing Standards for IFI.

14.00 – 15.30 Session 3: Islamic Economy, Financial and Capital Markets

  • The role of the Islamic capital market (ICM).
  • The growth and development of Islamic capital markets.
  • Components of Islamic capital markets.
  • Islamic capital markets and instruments.
  • Sukuks: Types, Characteristics and Issuance.
  • Islamic indices performance, volatility and Correlation

16.00 – 17.30 Lab Session
Breaks: Coffee (11.00 – 11.30, 15.30 – 16.00), Lunch (13.00 – 14.00)

Day 4

9.30 – 10.30 Lab Session 3
11.00 – 13.00 Writing retreat session 

  • The session is most relevant to those seeking to publish in the top-ranked academic journals.
  • Attendants would work closely with some of our experienced members over a one-page report to sharpen their academic writing skills.

14.00 – 16.00 Round Table Discussion / Closing remarks
Breaks: Coffee (10.30 – 11.00), Lunch (13.00 – 14.00)

Delivered by

Professor Jill Johnes, University of Huddersfield
Professor Mike Tsionas, Lancaster University
Dr Marwan Izzeldin, Lancaster University
Dr Vasileios Pappas, University of Bath
Dr Marwa Elnahas, Newcastle University Business School
Sheik Faizal Manjoo, Markfield Institute for Higher Education
Dr Momna Saeed, GOLCER, Lancaster University
Gerry Steele, Lancaster University

 

Registration Fees

Registration fees are as follows
£ 1,200 for professionals
£ 950 for academics
£ 750 for students

The fees include printed and electronic version of the welcome
pack with the material of each session, coffee & tea breaks, lunch
and gala dinner.


Accommodation

You can either stay on the University Campus, in Lancaster House
Hotel, or student accommodation, from where everything will be
in walking distance, or you can stay in Lancaster City Centre – a
short bus ride or taxi journey away from the Campus.

Lancaster House Hotel

Lancaster University Student Accommodation

Summer School Venue

The Summer School will take place at the following location:
Lancaster University Management School, Lancaster University,
Lancaster, LA1 4YW, UK

Lancaster is close to Manchester Airport (57.8 miles; 1.40h by
train), and conveniently placed on the London-Glasgow train
line (254 miles; 2.40h by train from London), (162 miles; 2.20h
by train from Glasgow). Birmingham International Airport is
143 miles; 2.40h away.

Lancaster University Management School is around 4 miles to
the south of the City of Lancaster, easily accessed by frequent bus
service or taxi.

To register click here:

Registration