Shariah Governance & Audit

Shariah governance and audit are considered core components of good governance and internal control systems in Shariah based Public Listed Companies (PLCs). Objectives of Shariah governance and audit differ from corporate governance and internal audit in Shariah based PLCs. Currently only Islamic Financial Institutions (IFIs) listed in the stock exchange must comply with Shariah principles in their business activities, operations, transactions and offering of financial products to their customers. They are governed by Shariah governance policy issued by Bank Negara Malaysia (BNM). This practice differs among Muslim countries and other jurisdictions. PLCs should also adhere to Shariah governance practices Shariah audit to ensure their activities are fully Shariah compliant.