Standing Committee on Islamic Financial Reporting

MASB approved accounting standards apply to Islamic transactions undertaken by entities under the purview of the Financial Reporting Act 1997. However, the International Financial Reporting Standards (IFRS) adopted as MASB approved accounting standards may not have specifically considered Islamic financial transactions in arriving at its conclusions. In view of this, the Standing Committee has been given the responsibility of advising the Board as to whether an existing or proposed approved accounting standard can be made applicable to Islamic finance transactions.

The Standing Committee comprises representatives from the accountancy profession, regulators, the banking and takaful professions and academia. The following persons were appointed to the Standing Committee in recognition of their roles in their respective professions:

Members of the Standing Committee:

• Encik Mohamed Zharif Md Agil (Chairman) - Assurance Partner and Islamic Leader, PwC Malaysia
• Encik Muhammad Syarizal Rahim – Partner, Ernst & Young
• Encik Ahmad Nasri Abdul Wahab – Partner, KPMG
• Encik Ahmad Shahriman Mohd Shariff - CEO, CIMB Islamic Bank Berhad and CEO, Group Islamic Banking, CIMB Group
• Dato' Badlisyah Abdul Ghani
• Ms. Chow Wai Sum – Head of Finance, Etiqa Family Takaful Berhad and Acting Head of Finance, Etiqa General Takaful Berhad 
• Dr. Azrul Azlan Iskandar Mirza, Deputy Director of Shariah, Islamic Capital Market, Securities Commission Malaysia
• Encik Nik Faris Nik Sallahuddin – Deputy Director, Prudential Financial Policy Department, Bank Negara Malaysia
• Dr. Marjan Muhammad – Director, Research Quality Assurance & Publications, International Shari'ah Research Academy for Islamic Finance (ISRA)
• Dr. Md Nurdin Ngadimon

Observers of the Standing Committee:

• Encik Nor Shahrizan Sulaiman – Chairman, Islamic Capital Markets Committee, MIBA and Deputy CEO, Maybank Islamic Berhad
• Puan Ratna Shae'rah Kamaludin – Executive Director, AIBIM
• Encik Zaifizar Zainal Abidin – Assistant General Manager, Malaysian Takaful Association 
• Puan Rasmimi Ramli – Executive Director, Sustainability, Digital Economy & Reporting, Malaysian Institute of Accountants

Responsibilities of the Standing Committee:

(i) The Standing Committee shall identify technical issues related to Islamic finance for consideration and deliberation.

(ii) The Standing Committee shall conduct research and benchmarking to identify the alternative approaches to address the issues.

(iii) The Standing Committee shall assist the Board in:

• Preparing documents relating to Islamic financial reporting for issuance by the Board.
• Forwarding Islamic financial reporting issues along with their suggested solution(s) either directly to the IASB or indirectly through the Asian-Oceanian Standard-setters Group (AOSSG) or any other body.
• Preparing documents on Islamic finance accounting issues and recommendations for the Shariah Advisory Council of Bank Negara Malaysia or Securities Commission Malaysia, when necessary.

(iv) The Standing Committee shall provide explicit recommendations to the Board on the applicability of approved accounting standards to an Islamic finance transaction and indicate whether or not there are Shariah concerns.