Dear Colleagues,
"Internal Control in a Credit Organization" journal issue No. 4 (40) for 2018 has published an article by Elena Rozanova entitled as "Stress test No. 0409111: quality assessment of the ICAAP documentation in small and medium-sized banks."
The results of filling the form 0409111as a test (August-September 2018) provide good informational basis for assessing the quality of the ICAAP, not only from the regulator, but also from risk managers and the internal audit of the bank, demonstrating an assessment of its own work effectiveness. What problems did this form filling out as a test shoed for small and medium-sized banks? Is it possible to solve them at the next report submission?
In the first quarter of 2019, banks with a universal license will have to submit another form of reporting - 0409111 “Information on the organization of internal procedures for assessing capital adequacy (ICAP) and their results”. It contains a questionnaire with 689 questions, the answers to which include:
quantification of compliance with the points;
justification of this assessment in the form of a summary of the content of the documents;
evidence - links to page numbers, sections, clauses and sub-clauses, the content of which is stated;
16 tables containing information on the bank’s performance in terms of risk and capital, organizational structure, risk management system.
As a confirmation of the reality of all of the above, a huge amount of internal regulatory documents (IGD) and reports must be attached, which should be entered in the registry, and for reference purposes - marked in accordance with the glossary and use of special codes.
