•
development and implementation of credit products,
•
determination of competence levels for acceptance of credit policy and product deviations,
•
development and implementation of tools supporting risk measurement and assessment,
•
analysis and assessment of the method of credit process implementation and the scope of functional control,
•
portfolio management of credit exposures,
•
training of employees participating in the credit process,
•
development and maintenance of an employee incentive system aimed at compliance with internal credit
standards.
Bank managing the credit risk profile:
•
sets, monitors and reports internal concentration limits for industries, types of collateral, regions and
mortgage-backed credit exposures,
•
monitors and analyses the quality of adopted collateral,
•
monitor and report compliance with prudential standards resulting from Regulation (EU) No. 575/2013 of the
European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and
amending Regulation (EU) No. 648/2012 and the Banking Law Act,
•
sets, monitors and reports internal concentration limits, taking into account individual sub-portfolios,
•
defines changes in credit policy and product offer, taking into account the cyclical nature of the economy and
changes taking place on the real estate market,
•
obtains market data about the quality of loan portfolios and compares them with own loan portfolios.
Capital adequacy and creation of provisions for credit risk
The Group secures impairment of credit exposures by recognising impairment for expected credit losses. The Group
further secures fluctuating losses versus the average levels of expected losses (that is unexpected losses) by
ensuring an adequate level of regulatory capital and economic capital.
Risk-weighted assets and capital requirements are calculated by the Bank as follows:
•
for exposures from the retail segment and SE/Micro and Easy Lending customers - in accordance with the
standard method,
•
for corporate credit exposures - in accordance with the advanced internal ratings based method, excluding
exposures to governments, central banks, local government units, public sector entities and all exposures of
ING Commercial Finance S.A., for which the Group applies the standardised method.
Calculation of impairment for expected credit losses in the Bank for all credit exposures is performed in accordance
with International Financial Reporting Standards.
Credit risk management of individually significant credit exposures
Credit risk management of individually significant credit exposures includes:
•
determination of the credit risk management process for credit risk-bearing transactions,
•
managing documentation requirements for the Bank’s credit client,
•
definition of a credit analysis standard,
•
setting a maximum level of DSTI/DSI, LTV, and a minimum level of own contribution for specific products, types
of transactions,
•
development of rules for making credit decisions and management of credit competencies,
•
managing the following rules:
−
determining risk measures using risk models used by the Bank,
−
verify the timeliness of repayments,
−
monitoring the economic and financial situation of the client,
−
monitoring the customer’s compliance with contractual conditions,
−
monitoring of other defined warning signals,
−
accepting and monitoring collateral accepted by the Bank,
−
use and monitoring of limits available at the Bank.
•
rules for recognising impairment losses on credit exposures and provisions for off-balance sheet liabilities,
•
credit risk management for clients from the portfolio in Stage 3.
The following activities are carried out as part of the process of granting and managing individually significant credit
exposures:
−
client and transaction risk assessment,
