Course Outline

Programe BS Accounting & Finance

Semester 6th
Course Title Financial & Regulatory Institutions
Course Code FIN358
Credit Hours 45 (3 hour per week)

Course Description:
Examines financial institutions and the way that these institutions are regulated in Pakistan and in other countries.
The course provides a history and overview of regulatory institutions, considers the intent of regulatory policies,
and evaluates regulatory outcomes. An important focus is on current public policy issues relating to financial
institutions regulation.

Course Objectives:
1. To understand the main goal & functions of the financial institutions & regulatory authorities.
2. To equip the students with latest functional & professional knowledge to cope with the practical demand
of the employer.
3. To develop the understanding of the students about the different functions of regulatory authorities.

Course Outcomes:
Upon successful completion of these courses, a student will be able to:
 Understand general aspects of business operations, including the differences between proprietorships,
partnerships, and corporations as well as the differences between debt and equity financing.
 Explain the theory and practice of accounting underlying the major categories that generally appear in
published financial statements.
 Identify the basic economic events most common in business operations and understand how they would
be shown in published financial statements..

Course Contents:
Lecture Topic Book
1-4 An Overview of Banks and the Financial Services Sector Ch 1, Book 2
What is a bank? The financial system and competing financial services institutions.
Services banks and many of their closest competitors offer the public and the Key trend
affecting banks and other financial services firms.
5- 8 The organisation and structure of banking and the financial industry. Ch 3, Book 2
The organisation and structure of the commercial banking industry. The array of
corporate organisational structures in banking. Efficiency and size: Banking and financial
firm goals: their impact on operating cost, efficiency and performance.
9- 12 Organisation of Money Market in Pakistan. Ch 2, Book 1
 Money market structure. State bank of Pakistan. Commercial Banks. Co-operative Banks.
Cooperative credit societies. Saving banks. Micro finance institutions. The state bank of
Pakistan as Central Bank. SBP banking services corporations. Prudential regulations.
9- 12 Organisation of Money Market in Pakistan. Ch 2, Book 1
Money market structure. State bank of Pakistan. Commercial Banks. Co-operative Banks.
Cooperative credit societies. Saving banks. Micro finance institutions. The state bank of
Pakistan as Central Bank. Prudential regulations.
13- 17 Specialized Credit Institutes Ch 5, Book 1
IDBP, SME BANK, HBFC.
18- 25 The Securities and Exchange Commission of Pakistan Regulatory
o The Securities and Exchange Commission of Pakistan Act, 1997 institutions/
o The Securities and Exchange Ordinance, 1969 web site
o The Securities and Exchange Rules, 1971
o The investment companies and investment advisers rules, 1971
o The credit rating companies rules, 1995
o The asset management companies rules, 1995
26- 32 Oil & Gas Regulatory Authority Regulatory
Ordinance No. XVII of 2002 (Chapter 1 – 7) institutions/
o Chapter 1 General web site
o Chapter 2 Establishment of OGRA
o Chapter 3 Policy Guidelines
o Chapter 4 Licenses
o Chapter 5 Offences
o Chapter 6 Miscellaneous
o Chapter 7 Repeal & Savings
33- 38 National Electric Power Regulatory Authority Regulatory
NEPRA ACT (ACT No. XL of 1997) institutions/
o Chapter 1 General web site
o Chapter 2 Establishment of Authority
o Chapter 3 Licenses
o Chapter 4 Administration
39- 45 Monopoly Control Authority Regulatory
o MONOPOLIES AND RESTRICTIVE TRADE PRACTICES (CONTROL AND PREVENTION) institutions/
ORDINANCE, 1970 -------- ORDINANCE NO. V OF 1970 (26th February, 1970) web site
(As amended up to 30th June, 1983
o Chapter 1 Preliminary
o Chapter 2 Undue concentration of economic power etc prohibited
o Chapter 3 Monopoly Control Authority
o Chapter 4 Functions & Powers of the authority
o Chapter 5 Registration
o Chapter 6 Penalties & Appeals

Recommended Text:
 1. Siddiqui. H. Asrar (7th edition), Practice and Law of Banking in Pakistan, Royal Book Company Karachi.
2. Rose S. Petert, Hudgins C Sylvia (6th edition), Bank Management & Financial Services, McGraw Hill
International..

Teaching Methods/Class Activities

Students should actively engage in the learning process and in putting concepts learnt into practice through
action learning, lectures, and readings learning modes:

A. LecturesClass sessions will involve lectures, video shows, case studies, assignments, quizzes, discussions
and debates, and presentations of related topics and current issues related to course contents.
B. ReadingsThis is the responsibility of all students. Students should read the relevant chapters of the
textbook, materials, and information on indicated websites before class. They should be prepared to raise
questions and arguments in class on related topics in the class schedule.

STUDENT EVALUATIONS & GRADES

TheBreak up of marks and final grade is based Final Grade Grade Mark
upon:
Mid-Term Exam 30% A+ 90-100
Final Exam 50% A 80-89
Sessionals 20% B+ 75-79
Total 100% B 70-74
B 65-69
C+ 60-64
C 50-59
F Below 50