Credit Risk Management

DAY 1: Understanding Credit Risk Fundamentals

1. Definition and significance of credit risk.
2. Various types of credit risk and their consequences.
3. Essential factors influencing credit risk.
4. The effects of credit risk on financial institutions.
5. Overview of international credit risk regulations and standards.

DAY 2: Assessing Creditworthiness

1. Methods for evaluating the creditworthiness of borrowers.
2. Insights into credit scoring models and their approaches.
3. Evaluating financial statements for credit risk analysis.
4. Industry-specific factors in credit evaluations.
5. Tools and methods for performing due diligence.

DAY 3: Strategies for Mitigating Credit Risk

1. Management of collateral and secured lending practices.
2. Structuring loans to reduce credit risk exposure.
3. Utilising credit derivatives and insurance for risk reduction.
4. Managing credit risk from counterparties.
5. Formulating policies to manage and lessen credit exposure.

DAY 4: Monitoring and Reporting Credit Risk

1. Frameworks for continuous credit risk evaluation.
2. Early warning mechanisms for identifying credit decline.
3. Stress testing to ensure credit risk resilience.
4. Communicating credit risk to stakeholders and regulatory bodies.
5. Incorporating credit risk into overall enterprise risk management.

DAY 5: Technology in Credit Risk Management

1. Utilising credit risk management systems (CRMS).
2. The impact of data analytics and AI on credit risk evaluation.
3. Automating processes for credit approval and oversight.
4. Improving risk management practices through blockchain technology.
5. Emerging trends in credit risk management technology.