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As far as Risk Appetite concern, what should be the tolerance threshold for NPL in consumer financing?

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Question added by Mohammad Feroz Al Azad , Head of ORM, And Head of ICC (Internal Control & Compliance , Brac Bank Limited
Date Posted: 2014/02/23
PROSENJIT MITRA
by PROSENJIT MITRA , ASSISTANT SALES MANAGER , AVIVA LIFE

An appetite for credit losses can be formulated and limits and triggers can be set to warn the organization if actual exposure is moving too far. NPL percentage total of commercial loans from four operating quarter for fiscal years to by taking time  T1  and terminated at  T5 by doing average we can calculate the the threshold for banking consumers.

                                                                                      

 

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