Training on Non-Performing Loans Management

By the end of the course, participants will be able to:

• Understand alternative approaches to NPLs management and recovery structures.
• Understand different NPLs recovery strategies/techniques.
• Understand accounting treatment of non-performing loans and loan loss provisioning.
• Understand IFRS 9 accounting standard for NPL management.

Target Participants

This course is aimed at credit controllers, risk management professionals, corporate finance professionals and corporate bankers.

Course Duration

Online      7 Days

Classroom-based      5 Days

Course Outline

Introduction to Non-Performing Loans

• Definition of NPL
• NPL Types
• Systematic impact of NPL

NPL Strategy

• Assessing the operating environment
• Developing the NPL strategy
• Implementing the operational plan
• Embedding the NPL strategy

NPL governance and decision making.

• Steering and decision making
• NPL operating model
• Control framework
• Monitoring of NPLs and NPL workout activities
• Early warning mechanisms/watch-lists

Forbearance

• Forbearance options and their viability
• Sound forbearance processes
• Affordability assessments

NPL Recognition

• Implementation of the NPE definition
• Link between NPEs and forbearance
• Further aspects of the non-performing definition
• Links between regulatory and accounting definitions

NPL impairment in line with IFRS 9

• Overview of IFRS 9
• Overview of impairment
• Probabilities of Default considerations
• Loss Given Default considerations.
• Individual estimation of provisions
• Collective estimation of provisions
• Other aspects related to NPL impairment measurement.

NPL write-offs

• Overview of NPL write-offs
• Timeliness of provisioning and write-off
• Provisioning and write-off procedures

Training Approach

This course is delivered by our seasoned trainers who have vast experience as expert professionals in the respective fields of practice. The course is taught through a mix of practical activities, theory, group works and case studies.

Training manuals and additional reference materials are provided to the participants.