When a bank's loan book turns sour without anyone noticing early enough, the damage shows up in capital ratios and investor confidence long before it shows up in any headline. This is exactly why regulators and internal risk teams insist on a disciplined, standardized approach to grading credit exposures.

This training course from the Arab British Fellowship Training Academy walks participants through the full journey from loan origination to asset grading, combining hands-on classification exercises with the accounting logic behind every provisioning decision — so the numbers on the balance sheet actually reflect the real health of the portfolio.

Who is this course for?

The course speaks directly to people who sit close to lending decisions and portfolio risk:

• Bank branch managers and senior credit officers
• Risk and compliance teams at commercial and investment banks
• Staff at housing and savings associations, insurance companies, and investment funds
• Accountants, auditors, and consultants who review loan portfolios
• Legal advisors and rating agency analysts working with multinational financial institutions

What you will be able to do afterwards

• Grade credit exposures using recognized asset classification standards
• Trace a loan's full life cycle from approval through monitoring to recovery or write-off
• Read the financial analysis and guarantees behind a lending decision, not just the loan amount
• Handle credit documentation correctly and apply penalty procedures when needed
• Apply core accounting rules — from the accounting equation to closing entries — to loan-related transactions
• Prepare and interpret the financial statements that classification decisions ultimately feed into

Module 1: Why Asset Classification Protects the Bank

• How proper asset classification safeguards a bank's capital and reputation.
• Advanced tools for predicting future financial performance, and the successes and failures of national economies.
• The practical damage that flawed mathematical treatments can cause in classification work.

Module 2: The Credit Life Cycle, From Branch to Head Office

• An overview of how the credit function operates at bank branch level.
• Core principles and procedures that govern the lending process.
• The guarantees typically associated with a loan.

Module 3: Assessing the Borrower — Financial Analysis of Loaning

• How financial analysis supports the lending decision.
• The data required to build and use a planning budget.

Module 4: Documentation, Penalties, Control and Recovery

• Credit documentation requirements and penalty procedures.
• Credit control practices and loan recovery methods.
• Control methods for handling real credit problems in practice.

Module 5: Accounting Foundations for Loan Portfolios

• Core accounting terminology and how accounting information flows through sound systems in line with international standards.
• Methods for registering and posting accounting entries.
• Skills for tracking financial performance over time.
• Closing accounts and building budgets in line with international standards.
• Understanding financial statements and the value of each one.