Credit Risk Management Training

Credit risk is the single largest risk for most banks and NBFCs, and understanding it is central to lending, treasury, risk and audit careers. This course takes you through the full credit cycle: origination, analysis, structuring, approval, monitoring, collection and recovery.

You will learn how to analyse a corporate borrower using financial statements, cash flows, industry and management quality, and how to assign an internal rating. For retail lending, you will see how application scorecards and behavioural scores work. The course then explains the core measures of credit risk: probability of default (PD), loss given default (LGD), exposure at default (EAD), expected and unexpected loss, and how they feed into pricing, provisioning and capital. It covers the regulatory background, including the Basel framework, RBI norms on asset classification and provisioning, and expected credit loss under IFRS 9 and Ind AS 109.

Practical sessions cover covenant design, security and collateral, early-warning indicators, restructuring concepts, concentration limits and portfolio stress testing. There is no external exam; the course supports preparation for risk roles and for certifications like FRM.