• ISFI Chapter 8 ISFI Chapter 8 Islamic windows

    • ISFI 8.1.1 What is an Islamic window?

      If an authorised firm conducts a part (but not the whole) of its business in accordance with Shari'a, the part so conducted is an Islamic window.

      Inserted by QFCRA RM/2012-3 (as from 1st February 2013)

    • ISFI 8.1.2 What kinds of business may be conducted by means of an Islamic window?

      (1) Only insurance business (within the meaning given in PINS, rule 1.2.4) may be conducted by means of an Islamic window.
      (2) An authorised firm that is a banking business firm (within the meaning given in BANK) or an INMA firm (within the meaning given in INMA) must not operate an Islamic window.
      Amended by QFCRA RM/2014-3 (as from 1st January 2015)

    • ISFI 8.1.3 Authorisation to operate Islamic window

      (1) An applicant for authorisation that proposes to operate an Islamic window must state that fact in its application.
      (2) An authorised firm that proposes to operate an Islamic window must apply to the Regulatory Authority for an appropriate variation of the conditions of its authorisation.
      Inserted by QFCRA RM/2012-3 (as from 1st February 2013)

    • ISFI 8.1.4 Conditions of operating Islamic windows

      (1) An authorised firm that operates an Islamic window—
      (a) must identify the part or parts of its business that are to be conducted in accordance with Shari'a; and
      (b) must establish and maintain policies, procedures, systems and controls that ensure that that part or those parts are so conducted.
      (2) An authorised firm that operates an Islamic window must comply with—
      (a) chapter 3 (except rule 3.1.1A); and
      (b) chapter 5;
      in relation to the part or parts of its business conducted by means of the window.
      (3) For the application of chapter 3 and chapter 5 to such a firm, references to an Islamic financial institution are to be read as references to the firm.
      (4) The firm must ensure that the disclosures required by AAOIFI FAS 18 are made to each customer with or for whom it conducts Islamic financial business.
      Amended by QFCRA RM/2019-4 (as from 1st January 2020).

    • ISFI 8.1.5 Shari'a supervisory board

      (1) An authorised firm that operates an Islamic window must comply with chapter 6 in relation to the part or parts of its business that is conducted by means of the window.
      (2) For the application of chapter 6 to such a firm, references to an Islamic financial institution are to be read as references to the firm.
      Inserted by QFCRA RM/2012-3 (as from 1st February 2013)

    • ISFI 8.1.6 Performance of internal Shari'a review

      (1) An authorised firm that operates an Islamic window must, to the extent possible, perform the internal Shari'a review in accordance with the AAOIFI Standards on Governance (GSIFI No. 3).

      Note An authorised firm that operates an Islamic window must perform an internal Shari'a review of the firm's compliance with fatwas, rulings and guidelines issued by its Shari'a supervisory board — see r 6.3.1, as applied by r 8.1.5.
      (2) If the firm cannot perform its entire internal Shari'a review in accordance with those standards, it must document how it will perform the remainder of that review.
      Inserted by QFCRA RM/2012-3 (as from 1st February 2013)