Table V.

Sharīʿah governance

SectionsPointsWeight (%)Explanation
Sharīʿah board0719Sharīʿah board score should be allocated based on three criteria including composition, qualifications and independence
Internal control &
Sharīʿah audit
1233Marks should be allocated based on staff sufficiency, qualification, procedures and controls, and external Sharīʿah audit
Charitable
operations
0617Marks should be allocated based on zakāh collection from customers and owners of the bank; sources of ḥaram income generation; distribution mechanism for charity funds
Human
resources
0514Human resources development includes wage structure, qualification, training, career path and merit system
Products
development
038.5Includes new products developed as well modifications made to existing products of the conventional industry in the light of Sharīʿah norms
Organizational
design
038.5Whether an independent Islamic bank or a business segment under a conventional banking system
Total36100Overall, 36% score is allocated for Sharīʿah governance due to its importance and vital role in achievement of the Sharīʿah-compliance objective

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