Islamic Banking Ethics

What is the core of Islamic Banking and Finance?

• Shari'ah or Islamic Law

• The religion of Islam

• Morality and Ethics

• All of the above are correct answers

Which is the correct definition of ethics?

• Ethics are a set of moral principles which determine behavior

• Ethics are norms, values and beliefs embedded in social processes which define right and wrong for an individual or a community

• Ethics is a branch of philosophy that involves systematizing, defending, and recommending concepts of right and wrong conduct

• All of the above answers are correct answers

Which element(s) in Archie Carroll's CSR pyramid are different if based on the Islamic version of CSR?

• Economic Responsibility

• Social Responsibility

• Ethical and Philanthropic Responsibility

• Economic and Social Responsibility

Islamic business ethics can be categorized into which type of ethical theory?

• Consequentialist Ethics

• Non-consequentialist Ethics

• Neither

What happened in the Enron scandal?

• Culture of deception, self-interest, & lack integrity leading to bankruptcy of Enron and dissolution of Arthur Andersen

• Auditor deficiency of Arthur Andersen leading to its bankruptcy

• Money-laundering of Enron officials leading to their arrest

• None of the above are correct answers

Your colleague goes to work on a Sunday using a Leicester city football kit under his work suit because they had just won the Champions League. This is an example of a lack of:

• Professional behaviour

• Integrity

• Objectivity

• Due care

A new joiner in your bank works in a newly established FinTech division despite having no background and experience, but is expected to be a very fast learner. This is a lack of:

• Professional behaviour

• Professional & technical competence

• Objectivity

• Integrity

Which of the following is not a source of Islamic Ethics?

• Al-Quran

• Qiyas

• Sad Al Dhariah

• Riba & Gharar

The AAOIFI code of ethics is specifically intended for:

• Accountants working for Islamic financial institutions

• Auditors working for Islamic financial institutions

• Employees of Islamic financial institutions

• All of the above are correct answers

Why are Islamic business ethics and corporate social responsibility important in Islamic banking operations?

• Because they are considered as key foundations and principles for Islamic finance and its philosophy

• Because it is a trend that needs to be followed in order to remain relevant and be sustainable

• Because it is necessary to do in order to gain profits through a solid foundation of a good corporate image

• Because it is the right to do