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AfrAsia Bank Limited and its Group Entities
Annual Report 2015
page 87
An overview of the credit approval process and procedures is depicted below:
FRONT-OFFICE
RELATIONSHIP
MANAGEMENT
CREDIT
MANAGEMENT
APPROVAL
PROCESS
CUSTOMER
SERVICE
ASSISTANT/
CUSTOMER
SERVICE OFFICER
RELATIONSHIP
MANAGER
CREDIT
MANAGER
CREDIT ADMIN.
& LEGAL
CREDIT RISK
MANAGEMENT
MCC/
BRC/
CRC
CREDIT APPROVAL
PROCESS
ACCOUNT OPENING
KYC PERFECTION
OPERATIONAL
EVALUATION
PROVIDE DETAILS
ON BACKGROUND
AND DEALS
COLLECT AND
REVIEW DATA; CREDIT
ANALYSIS AND
SUBMISSION OF
CREDIT PROPOSAL
VETTING AND
ADVICE ON
PROPOSED
SECURITY
STRUCTURE
CREDIT
RECOMMENDATION
INDUSTRY ANALYSIS;
COUNTRY ANALYSIS
APPROVAL BY
MANAGEMENT
CREDIT COMMITTEE
OR BOARD RISK
COMMITTEE
Establishes
contact
Evaluates
first customer
information
Customer meeting
Shareholding
structure
Segmental
information
Performs
Operational
Evaluation on the
credit request
Provides details
on the deal and
rationale for
financing
Provides details
on client’s
background,
client base and
products base
and markets
Highlights the key
business risks
Reviews MCIB
and search report
Requests
supporting
documents
Proposes facility
structuring
Obtains
information
Completeness
and plausibility
review
Financial
spreading and
Financial Analysis
Provides
recommendation
to RM and to
GM (Domestic
Banking or Global
Business)
Provides in-
depth advice
on appropriate
security structure
Vetting of
documentation
Review of existing
securities (and
advises on flaws
or pending
documentations,
if any)
Checks
compliance
with authority
structure and
Credit Risk Policy
Reviews
documents and
facility structure
Assesses credit-
related factors
linked to lending
Assesses Loan to
Value
Evaluates
exposure
Formulates
recommendation
on the credit
request
Industry/Country
analysis
Approval by
decision-makers
depending
on authority
structure