Objectives On completion of this tutorial, you will be able to:

• Identify how banks manage credit risk at the strategic level and the challenges associated with this
• Recognize the need to manage credit risk at the business unit level as well as the strategic level and the role of business heads in that regard

Tutorial Overview Banks must manage credit risk at both a strategic and business unit level. This tutorial looks in detail at the requirements for banks to manage credit risk at the strategic level and some of the challenges they face in that regard, including internal and external constraints on business objectives, the issues involved in setting group credit risk appetite, establishing an appropriate and robust strategic credit risk management framework, and creating and sustaining a strong credit culture. The tutorial also describes the importance of managing credit risk at the business unit level and the role of business heads, in conjunction with credit, in implementing business unit strategy in line with the bank's business objectives and target market. Prerequisite Knowledge Credit Risk Management - Stakeholders Tutorial Level: Intermediate Tutorial Duration: 60 minutes