BASEL ACCORD STANDARDS IMPLEMENTATIONS

Service Description

Day 1: Introduction to Basel Accord Standards and Regulatory Landscape • Overview of Basel I, II, and III frameworks. • Historical context and evolution of Basel Accord Standards. • Key objectives: financial stability, risk mitigation, and capital adequacy. • Global regulatory landscape and Basel's role in international banking. • Importance of alignment with Basel standards for competitive advantage. • Differentiating between Pillar 1, Pillar 2, and Pillar 3 requirements. Day 2: Risk Management and Types of Risks • Establishing a robust risk management framework as per Basel principles. • Understanding credit risk and its assessment methodologies. • Quantifying market risk through Value at Risk (VAR) calculations. • Identifying operational risk sources and implementing effective controls. • Stress testing techniques for assessing an institution's resilience to adverse scenarios. • Linking risk management to capital allocation and strategic decision-making. Day 3: Data Management and IT Strategy • Ensuring data accuracy and integrity for reliable risk calculations. • Data reconciliation methods to address inconsistencies and discrepancies. • Developing an IT strategy aligned with risk modelling and reporting needs. • Role of advanced software in automating risk assessment processes. • Data governance practices and the importance of data lineage. • Leveraging technology to enhance transparency and reduce manual errors. Day 4: Regulatory Reporting and Capital Adequacy • Overview of regulatory reporting obligations under the Basel framework. • Calculation of capital adequacy ratios: CET1, Tier 1 Capital, Total Capital. • Understanding the Leverage Ratio and its impact on capital requirements. • Liquidity risk measurement through the Liquidity Coverage Ratio (LCR). • Role of stress testing in assessing capital resilience during crises. • Aligning reporting with regulatory expectations for accurate compliance. Day 5: Practical Implementation and Case Studies • Developing a step-by-step Basel standards implementation roadmap. • Real-world case studies showcasing the successful adoption of Basel principles. • Challenges faced during implementation and strategies to overcome them. • The evolving role of compliance officers in Basel compliance. • Interactive workshop: Applying Basel concepts to hypothetical scenarios. • Continuous improvement: Monitoring, updating, and refining Basel practices.