Integrated credit risk rating across corporate, SME and retail with the ACTICO Credit Risk Platform

Challenge

Maybank in Indonesia envisaged replacing their existing risk rating system to meet the growing needs of its business. The new desired system was expected to establish a foundation for the bank to implement and operationalize the bank’s rating models, and meet the relevant regulatory requirements (e.g. IRBA). Following are some of the salient components of the project:

• Integration of the bank’s internal credit rating models for corporate, SME and retail segments, including mortgage and credit cards
• Incorporation of workflows for the risk rating approval process
• Generation of data for credit rating approval reports, credit portfolio related reports and audit reports
• Batch processing for calculation of PD, and LGD and EAD risk parameters

Solution

ACTICO products in use

Credit Risk Management Platform

Impact

• Fully digitalized and highly automated credit risk assessment process
• Improved efficiency and transparency credit rating process for corporate and SME loans and to ensure high level of output accuracy
• Simulation capabilities to provide visibility on portfolio behavior to changes in market parameters
• Low maintenance efforts due to fully graphical rating model implementation by business users