BRIAN KETTELL, the Course Director, worked at the Bahrain Monetary Agency for several years and has extensive experience in Islamic banking.

He has published 13 books on banking and financial markets and over 20 case studies on Islamic banking and finance. His books are all available from Amazon.

Five-Day Course

The first four days consist of the contents of the Four Day Course.and  then moves on to discuss the Strategic Issues facing the Islamic Banking Industry.

Risk in Islamic Banking

• What are the risks faced by Islamic banks which are not faced by conventional banks?
• Business risks – displaced commercial risk, withdrawal risk, solvency risk
• Governance risks- fiduciary risk, operational risk, transparency risk
• Transactions risks-credit risk, market risk, mark up risk
• Treasury risks- asset and liability management, liquidity risk, hedging risk
• Systemic risks- regulatory risk, business environment risk, institutional risk
• CAMEL ratings for conventional and Islamic banks

Asset, Liability and Capital Adequacy issues for Islamic banks

• Liquidity management in conventional banks
• Liquidity management in Islamic banks
• Sharia requirements for Islamic money market instruments
• Liability management in conventional banks
• Liability management in Islamic banks
• Asset management for conventional banks
• Asset management for Islamic banks
• Capital adequacy for conventional banks
• Capital adequacy for Islamic banks

Islamic Banking Business Model

• What are the implications for Islamic banks using Profit and Loss Share (PLS) principles?
• What does the finance literature tell us about debt finance and PLS finance?
• Agency problems, asymmetric risk and moral hazard issues
• Problems associated with PLS in practice
• Agency theory solutions for conventional banks and for Islamic banks

Challenges for Islamic Banks

• Lack of uniform regulatory framework
• No single totally Islamic financial centre
• Slow pace of innovation
• Accounting issues not resolved
• Inconsistent Sharia rulings
• Corporate Governance
• Structure of the industry
• Personnel and training issues

Islamic Financial Innovation

• Financial innovation for conventional banks.
• Financial innovation for Islamic banks
• Barriers to entry within Islamic financial markets
• Stages of financial innovation for Islamic banks
• Which Islamic financial innovations have succeeded and failed?
• Securitisation and financial innovation
• What are the pressures for Islamic financial innovation ?
• What are the special factors affecting Islamic financial innovation ?
• Financial engineering for Islamic products
• Applying the Porter model to Islamic banks