Large Exposure Department

The main functions of the “Large exposure” (LE) department are:

  • Conducting a preventive supervision of borrowers having critical sized exposures in the banking sector.
  • Unifying loan rating of a LE borrower among banks.
  • Elaborating economic sector studies in coordination with the “Regulations, Macro prudential and Consumer protection” department.

The Main objectives of the “LE” department can be resumed as the following:

  • Avoiding unexpected delinquencies among LE borrowers that could lead to major losses for the different players in the banking sector.
  • Reducing systematic risk and contagion risks in the banking sector.

Preventive supervision consists of three majors tasks:

  • Performing a Risk Focused Study approach for each LE’s borrower.
  • Reviewing LE portfolio at specific deadlines. These deadlines are set according to borrowers rating and performance.
  • Tracking and Monitoring, periodically, the major changes in the loan exposure of LE borrowers.