International Standards Assessment for Islamic Banking

Source details

Session No.: CE 25.22
Location: Kuwait City, Kuwait
Date: May 11-15, 2025 (1 week)
Delivery Method: In-person Training
Primary Language: English
Interpretation Language: Arabic
Qualifications: Attendees should be familiar with the Basel Core Principles for effective Banking Supervision (BCP). Familiarity with the IFSB banking standards is a plus.

Designed for experienced individuals from banking regulatory and supervisory agencies (RSA) with at least 5 years of relevant experience.
Typical attendees are involved in banking regulation and supervision, bank examinations, risk management, and financial sector surveillance.

The program provides theoretical knowledge and practical skills across three focus areas.

1) International Standards Review

Reviewing and strengthening understanding of the Basel Core Principles for Effective Banking Supervision and the IFSB's Core Principles for Islamic Finance Regulations-Banking Segment.
Examining the interlinkages between the two standards.
Learning the standards assessment methodologies.
Reviewing the IMF-World Bank Financial Sector Assessment Program (FSAP) and the role of standards assessments.

2) Standards Assessment Process

Identifying relevant background information and learning best practices for data collection.
Carrying out an overview of relevant institutional and macroeconomic conditions and market infrastructure.
Carrying out analysis of preconditions for effective banking supervision.
Conducting a detailed Principle-by-Principle assessment, including:
- providing a description of the system regarding each Principle,
- a grading or "assessment",
- the necessary related comments.
Preparing a structured detailed assessment report and compliance table summarizing the results of the assessment and the recommended action plan.
Engaging with the authorities and communicating findings effectively to stakeholders.

3) Practical Skills

Reviewing case studies of selected past FSAP assessments.
Engaging in hands-on exercises that simulate real-world assessment scenarios, allowing participants to apply their knowledge in a controlled environment.

Prepare aspiring financial stability assessors to undertake responsibilities of evaluating financial systems' stability and compliance with international standards.
Equip participants with a robust understanding of international banking standards and practical skills to:
- conduct assessments,
- identify gaps,
- communicate findings effectively, including in the context of the IMF-World Bank Financial Stability Assessment Program (FSAP).
Contribute to the overall aim of fostering resilient Islamic financial systems globally.