Page 7 - NIBAF-Training Matters July - December 2022

financial information, over-reliance on Banking Conduct & Consumer NIBAF also organized two online
key individuals (mostly the owners), Protection Department, SBP. The trainings on SME regulatory
lack of management infrastructure, trainers discussed SME sector in the framework and refinance schemes on
business model sustainability and local & global perspective, its September 26-27, 2022 and
difficulty in predicting future cash characteristics & diversity in business November 17-18, 2022. The objective
flows all work towards making credit model, SME Financing challenges , of these programs was to enhance
risk assessment of SMEs the most Risk management & types of Risks , understanding of the participants
challenging tasks in banking. Banks Key Components of Credit Risk regarding Prudential Regulations for
that lend to SMEs have adopted Management , Board and Senior SME financing and features of SBP
alternative credit evaluation Management’s Oversight , Systems subsidized refinance & credit
approaches which rely heavily on and procedures for identification, guarantee schemes. The participants
subjective assessment rather than acceptance, measurement, took keen interest in these programs
financial assessment as in cases of monitoring and controlling risks , by asking questions on different
lending to other sectors. Credit Analysis and Risk Evaluation , aspects of SBP schemes and PRs.
Early Warning Signals, Financial The trainers/SBP officials clarified the
In order to help participants Analysis of SMEs , understanding importance of these schemes besides
understands various type of SME working capital requirements through discussion on business potential for
risks and alternative assessment cash cycle and inventory analysis, banks, employment generation and
techniques, NIBAF organized two different techniques to assess risk contribution towards economic
trainings on the topic on October 10- during pre- & post approval process growth.
11, 2022 at NIBAF Karachi and through case studies and exercises.
another online on December 15-16,
2022. Both the trainings were
conducted by Mr. Wajih Ullah, DGM, SME Regulatory Framework
Commercial & Retail Risk, HBL along and Refinance Schemes
with Mr. Sajid Khan, Joint Director,

Customized Program on Digital Banking: SBP Regulatory & Policy Framework

NIBAF has also been conducting customized programs to meet specific requirements of individual institutions.
Accordingly, a three-day program on “Digital Banking: SBP Regulatory & Policy Framework” was conducted
from Sept 12-14, 2022. The session was delivered by team from Banking Supervision Department, Banking
Policy and Regulations Department and Banking Conduct Policy Department and attended by twenty-three
participants along with officers from senior management. The session covered areas of branchless banking
regulations, digital on boarding of customer with PSO/PSP& EMI and service quality standards. Mr. Jazil
Mahmood, Senior Joint Director, SBP discussed digital frauds and mitigation measures; Mr. Nadeem Joint
Director, SBP explained the policy perspective of digital banking, branchless banking rules and regulations,
latest trends in the field of digital banking to enhance financial inclusion, modalities of retail digital banking; Mr.
Sajid Khan Afridi, Joint Director, SBP discussed service quality of banking products and conducting
assessment in the digital
banking context with the
help of real time
scenarios/case studies
during his session. The
program was highly
appreciated by
participants who found
the program to be very
useful and relevant to
their job assignments.
They further
recommended to launch
further iterations of the
program for the industry.