IBANK 12.1.1 Introduction

(1) This Chapter sets out the requirements for an Islamic banking business firm's compliance with Shari'a in relation to its Shari'a supervisory board, policies, disclosure and reporting obligations, financial communications and reviews.
(2) The components of sound Shari'a governance include:
(a) competence and independence of the members of the Shari'a supervisory board;
(b) clear terms of reference regarding board's mandate, reporting line and responsibility;
(c) well-defined operating procedures (including confidentiality and consistency, when appropriate);
(d) clear lines of reporting; and
(e) good understanding by the members of, and familiarity with, professional ethics and conduct.
Derived from QFCRA RM/2015-2 (as from 1st January 2016).