Dubai Islamic Bank introduces American students to principles of Islamic Finance

Dubai Islamic Bank recently conducted two workshops on the principles and foundations of Islamic finance for 44 senior finance professionals and Executive MBA students from Stetson University and Jacksonville University in Florida, United States of America (USA).

The DIB Academy in cooperation with Dar Al Sharia (DAS) Legal & Financial Consultancy, a subsidiary of DIB, conducted these sessions at their purpose-built premises, which were created specifically to enhance the learning and development function at the Bank.

Sohail Zubairi, CEO of DAS, presented sessions on Islamic finance principles to Executive MBA candidates that included C-level executives such as Chief Financial Officers, Chief Executive Officers, Managing Directors, Chief Operating Officers and other senior executives from a cross section of commercial and financial institutions.

Zubairi highlighted the basic difference between conventional and Islamic banking; Sharia perspective on current global financial crisis; economic philosophies of Islam; impact of interest/usury in the economic models; differences between risk capital and loan capital; reasons for Islamic banking's prohibition of trading in debt and risk guarantees; and the reasons why Islamic finance has remained relatively less affected by the global financial crisis.

'We are pleased to introduce candidates from prestigious universities in the USA to principles of Islamic Finance. Islamic finance has remained relatively less affected in these times of global economic crisis, greatly enhancing its attractiveness among customers worldwide. It is not surprising then to see such great interest among global management students for Islamic finance. As the pioneer of Islamic banking, DIB is committed to raising awareness and enhance understanding of Islamic Finance.' said Obaid Al Shamsi, Head of Human Resources, DIB.

The presentation by Sohail Zubairi also touched upon the pre-requisites of forming a contract in Sharia and he explained the investment contracts (Mudaraba, Musharaka and Wakala) and sale contracts (Bai Mutlaq, Bai Muajjal, Murabaha, Istisna, Ijara and Salam) in Sharia.