A Diploma in Islamic Banking and Finance Can Enhance Your Corporate Career

A Diploma in Islamic Banking and Finance will give you an edge in the corporate world. You will not only gain an understanding of Islamic banking and finance, but you will also learn how the Islamic finance industry works. The course is also ideal for business students, particularly those from Muslim countries. Though it may sound unusual, it is actually quite beneficial for people who have a business background but aren’t necessarily interested in the financial industry.

Benefits of working in the Islamic finance industry

Working in the Islamic finance industry offers a variety of benefits like Islamic banking certification offered by the International Institute of Islamic Bankers. Salaries are often high, and there is less competition for higher posts in the industry. The industry also offers career opportunities in a variety of locations. It is a growing field, with more than 300 companies operating globally.

The Islamic finance industry is growing at a rapid pace, and the demand for banking services is increasing. Because of this, it is a very promising career choice. The financial rewards are high, and job security is guaranteed. As a result, it is a highly rewarding career option.

Despite the fact that the Islamic finance industry is relatively young, it has grown in popularity over the past decade. Currently, this industry is growing at an annual rate of 10 to 12%. Moreover, many local and international banks have branched out into this branch of finance. Initially confined to Muslim countries, Islamic finance is now a global market worth more than $2 trillion.

Differences between Islamic banking and traditional western finance

There are several differences between Islamic banking and traditional western finance. One of the most notable is the low risk. Unlike conventional banks, Islamic banks don’t have to worry about losses or losing customers. In addition, they have higher intermediation ratios and are better capitalized. In fact, Islamic banks have done better than conventional banks during the recent financial crisis. This makes Islamic banking an appealing alternative to the more traditional forms of finance.

Despite being younger and less profitable than conventional banks, Islamic banks were able to weather the financial crisis better than conventional banks. Their higher capitalization was largely due to a lack of liquidity in the market. In addition, Islamic banks were less likely to disintermediate during the financial crisis. These differences are worth further research.

While Islamic banking dates back to the Medieval era, its popularity only became widespread in the past century. The first commercial Islamic bank was established in the Middle East in the early 1970s. It served the needs of local Muslim businesspeople. Today, 520 banks worldwide provide Islamic banking services and more than 1,700 mutual funds are compliant with Islamic principles. As of February 2018, the Islamic financial market is valued at $2.8 trillion and expected to reach $3.7 trillion by 2024.

A major difference between Islamic banking and traditional western finance is that it shares risk. In contrast, conventional banking relies on interest as a means of protecting itself from risk. The use of interest transfers risk to the debtor, and the bank becomes less interested in the success of its clients’ business. Unlike conventional banks, Islamic banks only invest in projects that are likely to be successful.

The second difference between Islamic banking from doing Top Ph.D in Islamic Economics, Banking and Finance
and traditional western finance is that Islamic banks channel most of their lending through shariah-compliant methods. This means that there are fewer risks associated with enterprise risk. For example, Islamic banks use cost plus financing, wherein the bank purchases goods on behalf of its client and gives them to that client. In return, the client has to repay the cost of the goods plus the profit margins in instalments.

While conventional banks are driven by profits, Islamic banks aim to minimize losses and create a socially responsible system. Interest-free banking is a key principle in Islamic finance, and unlike traditional banks, Islamic banks also encourage risk-sharing with clients. This system is gaining popularity globally, and is the fastest growing segment of the financial industry.

Islamic finance originated in the Islamic world fifty years ago, primarily in countries with large Muslim populations. The founders of Islamic finance were concerned with making sure the sources of funds were strictly Shariah-compliant. As a result, Islamic finance assets have grown to US$2.88 trillion in 2019, and are expected to hit US$3.69 trillion by 2024. Furthermore, Islamic financing has expanded its appeal to non-Muslim countries.

Sustainable development of Islamic finance

Whether you’re considering a career change, or you want to help develop your global community, a Sustainable Development of Islamic Finance diploma can help you make a difference. By understanding the principles and practices of Islamic finance, you can apply those principles and practices to help finance sustainable development and fight poverty.

As the world moves towards sustainability, the role of Islamic finance is growing. It can accelerate the delivery of the Sustainable Development Goals. For example, sukuk – Islamic bonds – are being used to finance renewable energy and climate change initiatives. In addition, Islamic endowment funds are helping provide alternative financing to small, medium and micro enterprises, and solar energy projects.

Islamic finance is a form of alternative finance based on principles of equality in finance. It aims to support community development by focusing on business activities that benefit the community. Although it may be unfamiliar to many Americans, this system has a long history in the Middle East. In fact, the first Islamic bank was established in Egypt in the 1960s. Since then, Islamic finance has spread to Muslim and Gulf countries, and even Europe.

Studying in an international institution is a great way to expand your horizons, broaden your cultural knowledge, and improve your corporate career prospects. Studying Islamic finance abroad is also a great way to gain insight into another country’s Islamic financial system. Your knowledge of the Islamic finance framework and financial systems will benefit you in your future job hunt.

If you are interested in advancing your corporate career, a Sustainable Development of Islamic Finance diploma can help you reach your goals. The Middle East has been at the forefront of the growth of the Islamic finance industry, and these countries are known for their government support for Islamic finance. With this support, they are also attracting an increasing number of investors and a wider audience.

The Islamic finance industry is in need of more human resources. It is an industry that is growing rapidly, and the lack of qualified human resources keeps IFIs from advancing their operations. Unfortunately, formal education institutions have been slow to respond to this need. This has led to a number of non-formal educational institutions to conduct short courses to meet the industry’s needs. While short courses do not necessarily provide a comprehensive curriculum, they are a good way to develop your knowledge of Islamic finance.

The Islamic financial industry started to grow after the Muslim countries gained independence from colonialism in the 1950s. In Egypt, social movement activist Ahmad-al-Najjar founded Mit Ghamr Local Saving Bank in 1963, which used Islamic Sharia principles to create a social welfare institution. Other countries soon followed and introduced Islamic financial institutions.