Banking Regulation and Basel Frameworks Training Course

Duration 10 days 19 modules · 65 contact hours
Level Intermediate Certificate on completion
Who attends Bank Risk Managers, Finance and Regulatory Reporting Managers and others
Fee from USD 2,200 KSh 190,000 for Kenyan organisations
Where 52 cities + online See dates by city
Next start 16 Nov 2026 Course code SD-BI-147

Before you join: Participants should have working familiarity with bank financial statements, core banking products and basic risk concepts such as credit risk, liquidity risk and capital adequacy.

Dates & prices

Two start dates a month in every city, and live online on weekdays or weekends. Fees are per participant; classroom fees include tuition, materials, lunch and refreshments, and the certificate.

Suggest a date or city

Showing the next six months. Later dates, other cities and private deliveries for your team are available on request.

Course overview

Banks operate under capital, liquidity, governance and disclosure requirements that affect product pricing, balance-sheet growth, risk appetite and supervisory relationships. Professionals must translate Basel standards and local rules into decisions that can be evidenced to regulators, boards, internal audit and risk committees. Errors in risk-weighted asset calculation, capital planning, liquidity measurement or regulatory reporting can lead to capital add-ons, remediation programmes, restrictions on distributions and loss of market confidence.

This course examines the Basel framework from its supervisory purpose through to practical application in a bank. Participants work with the Basel Core Principles, Basel III capital requirements, credit, market and operational risk measurement, liquidity standards, leverage ratio, large exposures, stress testing, Pillar 2 assessment and Pillar 3 disclosures. The course also addresses IFRS 9 expected credit losses, recovery and resolution planning, conduct supervision, climate-related financial risk and the interaction between international standards and local implementation.

Participants build a regulatory profile for a simulated bank, calculate selected prudential metrics, assess capital and liquidity vulnerabilities, prepare components of an ICAAP and ILAAP, and respond to supervisory findings. Teaching combines instructor briefings, banking cases, spreadsheet-based calculations, group review of regulatory returns and structured planning discussions. Each participant leaves with a reusable prudential risk assessment pack, including calculation templates, governance checklists and a regulatory action plan.

The course is suited to professionals working in risk, finance, treasury, compliance, internal audit, credit, regulatory reporting and bank supervision. It is particularly valuable for staff who need to connect detailed regulatory requirements with balance-sheet decisions and evidence-based management action.

What you will be able to do

  • Interpret Basel Core Principles and Basel III requirements for bank supervision
  • Calculate risk-weighted assets using standardised credit, market and operational risk approaches
  • Assess CET1, Tier 1 and total capital against regulatory minimums and buffers
  • Prepare liquidity coverage ratio and net stable funding ratio analyses
  • Construct an ICAAP and ILAAP evidence plan for a regulated bank
  • Evaluate stress-testing results and translate them into capital and liquidity actions
  • Review Pillar 3 disclosures and regulatory returns for material prudential weaknesses
  • Present a complete prudential assessment and supervisory remediation plan

Benefits of attending

For you

  • Interpret prudential rules with greater confidence during regulator, audit and committee discussions
  • Identify the balance-sheet effects of capital, liquidity and concentration requirements
  • Produce clearer evidence for ICAAP, ILAAP and risk appetite reviews
  • Recognise common weaknesses in regulatory reporting controls and governance
  • Build a credible development path toward senior risk, treasury or regulatory roles

For your organisation

  • Improve the quality and traceability of capital and liquidity management decisions
  • Reduce avoidable errors in risk-weighted assets, prudential ratios and regulatory disclosures
  • Strengthen readiness for supervisory reviews, thematic inspections and internal audit testing
  • Connect risk appetite limits with capital plans, funding plans and stress scenarios
  • Create a common regulatory language across risk, finance, treasury and compliance teams

Course modules

19 modules over 10 days

Participants can explain how international Basel standards become enforceable local prudential requirements.

  • Purpose of prudential regulation: safety, soundness, confidence and financial stability
  • Basel Committee mandate, standards process and member jurisdiction implementation
  • Basel Core Principles used to assess effective banking supervision
  • Microprudential and macroprudential objectives distinguished through supervisory examples
  • Home-host supervision, consolidated supervision and cross-border supervisory colleges
  • National rulebooks, supervisory discretion and proportionality in Basel implementation

Participants can connect business-model choices with capital, liquidity and supervisory consequences.

  • Bank balance-sheet structure: assets, liabilities, equity and contingent exposures
  • Interest income, fee income and credit costs affecting capital generation
  • Business-model analysis identifies concentration, funding and earnings vulnerabilities
  • Asset growth translated into risk-weighted assets and capital demand
  • Off-balance-sheet commitments converted into prudential exposure measures
  • Management actions assessed for their capital, liquidity and profitability effects

Participants can classify regulatory capital instruments and assess minimum capital compliance.

  • Common Equity Tier 1 eligibility criteria and regulatory capital deductions
  • Additional Tier 1 and Tier 2 instrument loss-absorption features
  • Capital conservation buffer, countercyclical buffer and systemic bank buffers
  • Minimum CET1, Tier 1 and total capital ratios calculated
  • Capital stack reconciled from accounting equity to regulatory own funds
  • Distribution restrictions triggered by breaches of combined buffer requirements

Participants can calculate credit risk-weighted assets under the standardised approach.

  • Exposure classes assigned under the Basel standardised credit risk approach
  • External credit ratings, risk weights and due-diligence requirements applied
  • Loan-to-value treatment for residential real estate lending exposures
  • Commercial real estate, corporate and retail exposure risk weights
  • Credit conversion factors applied to commitments, guarantees and letters of credit
  • Collateral, guarantees and credit risk mitigation eligibility assessed

Participants can assess key governance and model-risk issues in internal credit risk measurement.

  • Probability of default, loss given default and exposure at default
  • Foundation and advanced IRB approaches distinguished from standardised treatment
  • Rating systems tested for discrimination, calibration and override governance
  • Default definitions, cure periods and distressed restructuring indicators
  • Model risk controls covering validation, approval and performance monitoring
  • Credit concentration analysis by borrower, sector, geography and product

Participants can identify market risk capital drivers and trading book control requirements.

  • Trading book boundary rules distinguish trading and banking book positions
  • Fundamental Review of the Trading Book purpose and structure
  • Standardised approach sensitivities: delta, vega and curvature risk charges
  • Default risk charge and residual risk add-on explained
  • Profit and loss attribution supports internal model approval
  • Independent price verification and valuation adjustments strengthen market risk controls

Participants can assess operational risk capital, loss data and resilience control arrangements.

  • Basel operational risk standardised measurement approach calculation components
  • Business indicator component derived from income and service activities
  • Internal loss multiplier links historical operational losses to capital
  • Risk and control self-assessment identifies material process weaknesses
  • Operational loss taxonomy captures fraud, systems and execution events
  • Operational resilience mapping identifies important business services and dependencies

Participants can evaluate non-risk-based constraints and counterparty concentration exposures.

  • Basel leverage ratio exposure measure reconciled to accounting assets
  • On-balance-sheet, derivative and securities financing exposures included
  • Large exposure limits applied to connected counterparties and groups
  • Counterparty aggregation tests control circumvention of exposure limits
  • Credit risk mitigation recognition under the large exposures framework
  • Concentration limits compared with internal risk appetite thresholds

Participants can calculate the Liquidity Coverage Ratio and assess short-term liquidity resilience.

  • Liquidity risk sources: funding withdrawals, collateral calls and market disruption
  • High-quality liquid assets classified by eligibility, haircuts and caps
  • Thirty-day cash outflows calculated using Basel run-off rates
  • Contractual inflows constrained by recognition caps and operational limits
  • Liquidity Coverage Ratio calculated and tested against minimum requirements
  • Contingency funding plans specify triggers, actions and communication responsibilities

Participants can assess longer-term funding adequacy using the Net Stable Funding Ratio.

  • Available stable funding assigned by liability maturity and funding stability
  • Required stable funding calculated across asset classes and encumbrance
  • Deposit composition analysed for behavioural stability and concentration risk
  • Asset encumbrance assessed through secured funding and collateral arrangements
  • Maturity mismatch reports identify refinancing and rollover risk
  • Net Stable Funding Ratio linked to funding strategy decisions

Participants can assess interest rate risk exposures and related supervisory expectations.

  • Interest rate risk drivers: repricing, yield curve, basis and option risk
  • Economic value of equity measures long-term interest rate sensitivity
  • Net interest income measures earnings sensitivity under rate scenarios
  • Standardised shock scenarios applied to banking book positions
  • Non-maturity deposit assumptions governed through behavioural modelling controls
  • Outlier tests identify institutions requiring heightened supervisory attention

Participants can explain the main links between IFRS 9 impairment and prudential capital.

  • IFRS 9 staging distinguishes performing, underperforming and credit-impaired exposures
  • Expected credit loss models combine PD, LGD, EAD and scenarios
  • Significant increase in credit risk criteria and backstop indicators
  • Forward-looking macroeconomic scenarios governed through model overlays
  • Prudential treatment of provisions reconciled with regulatory capital adjustments
  • Credit impairment trends incorporated into capital planning and stress testing

Participants can structure an ICAAP that addresses material risks and capital adequacy.

  • Pillar 1 risks distinguished from material risks outside minimum requirements
  • ICAAP scope, governance, documentation and board approval requirements
  • Risk identification process links materiality assessment to capital allocation
  • Internal capital adequacy assessed under base and stressed conditions
  • Supervisory Review and Evaluation Process findings translated into remediation actions
  • Pillar 2 capital guidance and requirements distinguished conceptually

Participants can prepare evidence for liquidity adequacy assessment and recovery readiness.

  • ILAAP governance aligns liquidity risk appetite, strategy and board oversight
  • Liquidity stress scenarios cover idiosyncratic, market-wide and combined events
  • Survival period analysis measures time available under funding stress
  • Early warning indicators trigger escalation before liquidity contingency activation
  • Recovery options assessed for feasibility, timing and execution risk
  • Recovery plan governance coordinates treasury, risk, communications and senior management

Participants can translate severe but plausible scenarios into capital and liquidity management actions.

  • Stress-testing framework defines governance, scenarios, models and management use
  • Macroeconomic scenarios translate into credit losses and income pressure
  • Reverse stress testing identifies conditions causing business-model failure
  • Capital projections incorporate losses, distributions, growth and management actions
  • Liquidity projections model deposit outflows, market access and collateral needs
  • Scenario limitations documented through sensitivity analysis and expert judgement

Participants can assess whether governance arrangements support prudent bank management.

  • Board responsibilities for strategy, risk appetite and control oversight
  • Three lines model applied to risk ownership and independent assurance
  • Risk appetite statements connect limits, metrics, escalation and decision rights
  • Senior management accountability assessed through committee mandates and reporting
  • Fit-and-proper assessments cover competence, integrity and independence
  • Conduct risk indicators identify customer harm, incentives and control failures

Participants can review prudential disclosures and reporting processes for reliability and transparency.

  • Pillar 3 disclosure objectives support market discipline and comparability
  • Capital, RWA, liquidity and leverage disclosure templates interpreted
  • Regulatory reporting data lineage traced from source systems to returns
  • BCBS 239 principles applied to risk data aggregation controls
  • Reconciliations test consistency between finance, risk and regulatory reporting
  • Disclosure governance addresses approvals, materiality and publication timetables

Participants can prepare for supervisory reviews and manage a defensible remediation response.

  • Supervisory inspection phases: planning, fieldwork, findings and follow-up
  • Information requests answered through controlled evidence inventories
  • Supervisory findings rated by severity, root cause and prudential impact
  • Root-cause analysis separates process failures, data issues and governance weaknesses
  • Remediation plans define owners, milestones, evidence and validation criteria
  • Board reporting tracks overdue actions, residual risk and supervisory commitments

Participants can build, review and present a complete prudential assessment and supervisory remediation plan for a simulated bank.

  • Bank profile assessed against capital, liquidity, governance and concentration requirements
  • Risk-weighted assets, capital ratios and buffers calculated from case data
  • Liquidity Coverage Ratio and funding vulnerabilities evaluated under stress
  • ICAAP and ILAAP evidence gaps prioritised using materiality criteria
  • Supervisory findings converted into accountable remediation plan milestones
  • Board risk committee presentation defends assumptions, conclusions and recommended actions

Exercises and examples are adapted to each cohort's sectors and roles.

What you take back to work

  1. Basel III capital adequacy calculation template
  2. Liquidity Coverage Ratio and Net Stable Funding Ratio workbook
  3. ICAAP and ILAAP evidence checklist
  4. Prudential stress-testing scenario model
  5. Pillar 3 disclosure review checklist
  6. Supervisory remediation action plan

Who should attend

  • Bank Risk Managers — apply prudential requirements to risk appetite and capital decisions
  • Finance and Regulatory Reporting Managers — improve accuracy of capital, RWA and disclosure reporting
  • Treasury Managers — manage liquidity ratios, funding profiles and contingency funding arrangements
  • Compliance Officers — interpret supervisory expectations and coordinate regulatory remediation
  • Internal Auditors — test prudential governance, data controls and regulatory reporting processes
  • Bank Supervisors — assess bank capital, liquidity, governance and risk management evidence

Skills and tools covered

Prudential capital analysisLiquidity risk measurementRegulatory reporting reviewICAAP planningSupervisory assessmentStress testing

Tools and standards

Basel III, Basel Core Principles, IFRS 9, BCBS 239

How the course runs

Training methodology

The course uses short instructor briefings to establish the regulatory rules, followed by bank cases, calculation work, small-group reviews and supervisory simulations. Participants interpret simplified balance sheets, loan portfolios, liquidity positions, governance papers and disclosure extracts. Groups assess a simulated bank against prudential requirements, compare proposed management actions and prepare evidence for a supervisory meeting. Individual application planning links course methods to participants' own reporting, risk, treasury, audit or compliance responsibilities.

Requirements and prerequisites

Participants should have working familiarity with bank financial statements, core banking products and basic risk concepts such as credit risk, liquidity risk and capital adequacy. Experience in risk, finance, treasury, compliance, audit, credit or supervision is useful. Participants should be comfortable reading management information and performing straightforward spreadsheet calculations. Prior study of Basel standards is not required, and the course does not assume advanced quantitative modelling, programming, econometrics or prior experience preparing regulatory returns.

A typical training day

08:30 – 10:30First session
10:30 – 10:45Refreshment break
10:45 – 12:30Second session
12:30 – 13:30Lunch and networking
13:30 – 15:00Third session
15:00 – 15:15Refreshment break
15:15 – 16:30Workshop and daily review

Live online deliveries follow the same structure in East Africa Time, with shorter screen blocks and longer breaks.

What the fee includes

  • Instruction by a practitioner facilitator
  • Full course workbook and materials
  • Exercise files, templates and case studies
  • Refreshments and lunch on classroom deliveries
  • Certificate of completion
  • Post-course application plan

Frequently asked questions

Participants should understand basic bank products, financial statements and risk concepts. Prior Basel training is not required, and advanced quantitative modelling is not assumed.

Bring a laptop with spreadsheet software if possible, plus examples of non-confidential reports or issues relevant to your role. Course cases and calculation materials are provided.

It suits professionals in bank risk, finance, treasury, compliance, internal audit, credit, regulatory reporting and supervision. It is designed for staff with some professional experience rather than complete newcomers to banking.

Financial risk management courses usually concentrate on identifying and measuring individual risks. This course focuses on prudential rules, supervisory expectations, capital, liquidity, governance, reporting and the evidence a bank must maintain.

Participants can use the templates to review capital and liquidity metrics, improve ICAAP or ILAAP evidence, test reporting controls and prepare for supervisory meetings. The final action plan identifies priorities for their own function.

Each day runs from 08:30 to 16:30 and provides about 6.5 contact hours. The first week establishes Basel architecture and core calculations; the second week focuses on supervisory assessment, governance, reporting, stress testing and the capstone.

Questions about this course?

Ask about dates, fees, group bookings or running it for your team. Our training team replies by email.

Ask on WhatsApp info@skillsetdevelopment.com

More courses in Banking & Insurance

Banking & Insurance Bank Valuation and Financial Modelling Training Course 5 days · from USD 1,100 · next 16 Nov Banking & Insurance Banking Innovation Training Course 10 days · from USD 2,200 · next 16 Nov Banking & Insurance Banking Regulation and Compliance Training Course 10 days · from USD 2,200 · next 16 Nov Banking & Insurance Banking Supervision and Regulation Training Course 10 days · from USD 2,200 · next 16 Nov Banking & Insurance Banking and Financial Intermediation Training Course 5 days · from USD 1,100 · next 16 Nov Banking & Insurance Banking and Financial Services Administration Training Course 5 days · from USD 1,100 · next 16 Nov Banking & Insurance Basel III Capital Adequacy Training Course 10 days · from USD 2,200 · next 16 Nov Banking & Insurance Basel III Risk Management Masterclass Training Course 10 days · from USD 2,200 · next 16 Nov