The introduction of new regulatory standards is a significant change in ECL computation and financial reporting for banks. It has impact on many stakeholders including investors, regulators, analysts, risk managers and auditors. Given the importance of banks in the global capital markets and the wider economy, the effective implementation of the new standard has the potential to benefit many. Conversely, a low-quality implementation based on approaches that are not fit for purpose has the risk of undermining confidence in the financial results of the banks.

Banks that report under PFRSs have been mandated to implement PFRS 9:

Financial instruments effective January 2018. CRIF’s advanced offerings in PFRS9 space can help you ensure regulatory compliance, optimization, and best industry practices in ECL computation. CRIF’s ECL computation automation solution ensures reduction in time and improvement in accuracy in periodic ECL computation and reporting.

Leverage CRIF’s expertise to effectively implement ECL computation framework.

1. Framework Development Complete PFRS9 framework to compute Expected Credit Loss (ECL) that includes the staging rule to pinpoint a significant increase in credit risk, PD, LGD, EAD and macroeconomic overlay. These are computed alignment with global and regional regulatory guidelines.
2. Framework Validation Validate the existing ECL framework to benchmark risks against the regulatory requirements and best practices pertinent to the industry.
3. Automation Automation for ECL computation to ensure timely and precise computations of periodic ECLs. Automation for regulatory disclosure reports.

Ensure reduction in effort and improvement in accuracy with CRIF’s ECL Computation Automation.