Shariah supervisory boards

E169423

Shariah supervisory boards are panels of Islamic scholars who ensure that financial products and operations comply with Islamic law in the context of Islamic finance.

All labels observed (3)

How this entity was disambiguated

Statements (49)

Predicate Object
instanceOf Islamic finance governance body
corporate governance mechanism
religious oversight body
aimsToEnsure avoidance of gharar (excessive uncertainty)
avoidance of investment in haram (prohibited) activities
avoidance of maysir (gambling)
compliance with profit-and-loss sharing principles where applicable
prohibition of riba (interest)
appliesTo Islamic finance
surface form: Islamic banks

Islamic capital market products
Islamic financial institutions
Islamic insurance (takaful) operators
Islamic investment funds
composedOf Islamic scholars
decisionType collective scholarly opinion
expectedAttribute confidentiality
independence from management influence
integrity
objectivity
professional competence
governedBy AAOIFI Shariah standards in many jurisdictions
central bank or regulatory guidelines in some countries
national Shariah governance frameworks
hasPrimaryRole ensuring compliance with Shariah principles in financial activities
helpsBuild trust of Muslim investors and customers
helpsMitigate Shariah non-compliance risk
historicalDevelopment emerged with modern Islamic banking in the late 20th century
keyFunction advising management on Shariah-related issues
approving new Islamic financial products
issuing Shariah opinions (fatwas) on financial matters
monitoring purification of non-compliant income
overseeing ongoing Shariah compliance of operations
reporting on Shariah compliance to stakeholders
reviewing financial products for Shariah compliance
mayConduct Shariah audits or reviews
mayInclude members with financial or legal expertise
mayIssue annual Shariah compliance reports
operatesWithin Islamic banking sector
Islamic capital markets
Islamic finance industry
takaful sector
relationshipTo board of directors of Islamic financial institutions
management of Islamic financial institutions
requiresExpertiseIn Islamic commercial law (fiqh al-muamalat)
Islamic finance
Islamic jurisprudence (fiqh)
supportsPrinciple asset-backed or asset-based financing
ethical investment
risk-sharing in financial contracts

How these facts were elicited

Referenced by (3)

Full triples — surface form annotated when it differs from this entity's canonical label.

Islamic finance governedBy Shariah supervisory boards
council of scholars relatedConcept Shariah supervisory boards
subject surface form: Council of Scholars
this entity surface form: Sharia board
takaful involves Shariah supervisory boards
subject surface form: Takaful
this entity surface form: Sharia supervisory board