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Erudite AfricaCenter of Excellence
← Interest Free Banking Financing: Foundation

Eligibility and Sharia'h screening

Module 04 / 6 · 60 min

Apply the general eligibility rules, screen the business activity and the finances of a customer, and decide eligible, eligible with conditions or not eligible.

In this module you will learn to

  • Check the general eligibility of an applicant: capacity, license, TIN, credit history, viability and own contribution
  • Screen a business activity against the SAC's prohibited list
  • Apply financial screening ratios to a company with mixed activities
  • Explain purification of small amounts of non-permissible income
  • Reach and record a screening decision with its conditions

Built on

  • Erudite Africa Investments course outline: Interest Free Banking Financing, Three-Level Course, Level 1 Foundation (October 2026)
  • A typical Ethiopian bank's interest free banking financing business procedure (May 2025), unnamed: definitions, governance, roles and team approach
  • NBE Directive No. SBB/72/2019, Licensing and Authorization of Interest Free Banking Business
  • NBE Bank Corporate Governance Directive No. SBB/91/2024 (influential shareholder at 2%)
  • AAOIFI Sharia'h Standards, including No. 8 Murabaha, No. 9 Ijarah, No. 10 Salam and No. 11 Istisna'; the host bank's Sharia'h Advisory Committee rulings take precedence

Examples and companies are fictional. Bank practices are shown as typical Ethiopian practice, not as any one bank's policy. Always apply your own institution's approved policy and the current NBE directives.