SG-3.1 SG-3.1 Principle
SG-3.1.1
Bahraini Islamic bank licensees must have a dedicated Shari'a Coordination and Implementation function comprised of Shari'a officers and staff. The head of the function must report technically to the SSB and administratively to the CEO to ensure his independence. The function must be adequately staffed with proficient persons having the relevant qualification and experience (See Appendix TC-1 in Module TC (Training and Competency)).August 2017Policy and Procedures
SG-3.1.2
The Shari'a Coordination and Implementation function must be governed by a policy and procedures manual prepared by the management in consultation by SSB. The policy must be approved by the board of directors while the procedures must be approved by
senior management .Amended: January 2020
August 2017Shari'a Officer
SG-3.1.3
The Shari'a Officer must be a full time employee of the
Bahraini Islamic bank licensee and must be responsible at the product design/development stage for assisting the SSB in the issuance of Shari'a pronouncements/resolutions, fatawa, guidelines and instructions about the products and services offered by theBahraini Islamic bank licensee. August 2017SG-3.1.4
The Shari'a Officer must be appointed by the management subject to the approval of the SSB and the approval of the CBB (See Chapter LR-1A).
August 2017SG-3.1.5
Bahraini Islamic bank licensees must immediately notify the CBB when the Shari'a Officer, for whatever reason, ceases to hold the position (i.e. has resigned, been suspended or dismissed). In case of suspension or dismissal, the notification must include the reasons for the action taken (See Chapter LR-1A).August 2017SG-3.1.6
The Shari'a Officer or the Head of Internal Shari'a Audit function must be appointed as the secretary to the SSB.
August 2017
