Credit Risk Services – Deloitte Assistance

In a constantly changing regulatory environment, it is imperative for Financial Institutions to have a clear understanding of how economic and regulations environment affect their Credit Risk profile in a context of a robust risk management framework.

Regularly, Deloitte helps his clients to evaluate, design and implement a robust credit risk management framework (governance, processes, models, data and reporting) to address regulatory requirements, best practices and risk appetite constraints.

Deloitte Credit Risk professionals can assist clients in all stages of implementation or evaluation of your risk credit management framework, from the analysis of applicable regulations and market practice to the system implementation.

Our multidisciplinary teams bring together their expertise in prudential matters, accounting regulations, modelling, risk data systems and governance.

These teams rely on tools, methodologies and models developed by Deloitte and easily adaptable to address your issues.

Here are few topics on vehicles Deloitte can provide you with the necessary support and assistance:

• Governance framework: Support in the design or review of the framework governing credit risk oversight and monitoring.
• Fundamental credit analysis: Support with credit analysis and collateral valuation.
• Model Risk Management: A comprehensive feature for managing model risk and meeting regulatory requirements.
• IRB internal model: Support for credit risk modelling combining regulatory requirements (MoC, Downturn, New definition of Default …) and Statistical/Mathematical models’ techniques to improve the profitability of portfolios.

• Loan Book Management: Assistance in the design or review of the credit risk reporting framework to the attention of the BOD or AM & Review of credit risk practices, loan book trends, and product fees and commercial terms in relation to peers to identify potential strategic enhancements

• NPL Management: Approach built to optimize the management of non-performing loan portfolios and make them a lever of profitability.

• IFRS 9 Impairment model: Support for calculation and Implementation of IFRS 9 impairment model based on the evaluation of the Staging process, risk parameters (PD, LGD & CCF) forward-looking process.
• Independent review or External: Review or validation of credit risk framework and/or models (including internal audit review).