General Instructions
• Submissions via email or late submissions will not be accepted.
• Make sure your work is clear, well‑structured, and includes your complete details on the cover page.
• Plagiarism or use of AI-generated content will result in a grade of zero.
Activity: Practical Application of Islamic Finance
In Islamic finance, various contracts are designed to provide Sharia-compliant alternatives to conventional financial transactions. These contracts aim to promote justice, risk sharing, and ethical investment while avoiding interest-based dealings. In Saudi Arabia, Islamic finance plays an essential role in supporting national development goals under Vision 2030, contributing to entrepreneurship, housing, education, and sustainable growth across different sectors. Based on this context, prepare a report addressing the following parts:
1.Part 1: Project Concept and Relevance: Explain the idea or sector your group selected and describe how it relates to the Saudi economy or community needs. Clarify why this project requires financing and how Islamic finance can contribute to its success.
2.Part 2: Sharia Basis and Financial Structure: Identify the Islamic finance contract chosen for your project, such as Ijarah, Kafalah, Rahn, or Sukuk. Explain the contract’s Sharia foundation, its main features, and how the financing structure operates in your proposed context.
3.Part 3: Practical Application: Describe how your project would function in practice. Explain the key parties involved, how profits or returns are generated, how risks are shared, and how the process remains compliant with Islamic principles.
4.Part 4: Challenges and Implications: Discuss potential challenges or ethical issues that might arise in applying your chosen contract. Summarize how your project reflects the values and objectives of Islamic finance in promoting fairness, social responsibility, and economic sustainability in Saudi Arabia.
Exception: If a group consists of three members, Part D (Challenges and Implications) may be omitted. The main conclusions should be briefly summarized in the final paragraph of the report. This adjustment will not affect grading, as the remaining sections cover all essential components of the project.
Group Assignment Guidelines
This is a group assignment consisting of four students per group. Each student is responsible for completing one of the four parts above. After all members finish their individual sections, the group must cooperate and integrate the content into a single cohesive report that includes an introduction, the four body sections, and a conclusion. Each student should ensure their part is unique, avoids duplication, and complements the contributions of their group members.
Presentation Guidelines
Each group will deliver a short presentation (up to 12 minutes) summarizing their report and key findings.
Four marks will be allocated for the overall quality, organization, and clarity of the presentation.
Three marks will be awarded based on each student’s ability to clearly explain their own section and respond to questions related to it.
Three marks will be awarded for each student’s understanding of the other sections prepared by group members, including the introduction and conclusion, demonstrated through answering related questions.
Note: Slides used during the presentation should be included as images at the end of the report.
Total: 10 marks for the written report + 10 marks for the presentation (20 marks overall).