The Risk Aggregator Model in Banking for India
India has relied on banks to drive its financial inclusion efforts. However, the high levels of NPAs in banks’ balance sheets has forced them to cut back on lending, adversely affecting the financial inclusion agenda.
Enforcing Data Protection: A Model for Risk-Based Supervision Using Responsive Regulatory Tools
The effectiveness of a future Indian data protection regime would hinge largely on the capacity and approach to supervision and enforcement. The paper discusses some novel ideas to guide the enforcement of a data protection regime.
Developing the Natural Catastrophe Risk Insurance Market for Low-Income Households in India
Natural disasters leave behind them a tale of death and destruction that affects the economy on the whole and severely impacts communities, especially low-income households, which bear its brunt.
Aggregate Risk, Saving and Malnutrition in Agricultural Households
Why is malnutrition in India’s central belt, which includes the state of Madhya Pradesh and Bihar, so high and so persistent despite relatively high rates of income growth?
Stress Testing Credit Risk of Indian Banks
In the aftermath of the Global Financial Crisis, RBI took a major leap forward and set up a new Financial Stability Unit in 2009 specifically focusing on the measures to be taken for assessment and evaluation of financial system stability in the country
Designing a Framework for Event Risk & Loss Estimation: Understanding Natural Disasters
In the previous post of this series on Event Risk & Loss Estimation, we discussed briefly the motivation and key modules of a framework for estimating capital against event risk.
Estimating the Diversity Score of a Portfolio across Multiple Correlated Sectors: Generalized Herfindahl-Hirschman Index
Diversification is an effective risk mitigation strategy for portfolio risk management.
Estimating Default Risk in Fund Structures
We recently hosted a series of Knowledge Management sessions titled “Spark” on an array of topics. Over the coming days we will be sharing notes and proceeds from these sessions.
A greater role for Development Finance Institutions
The Committee on Comprehensive Financial Services for Small Businesses and Low Income Households (CCFS) seeks the creation of an ecosystem of different types of institutions, each with their choice of specialisation such that there would be multiple partnerships between these specialists.
FSLRC on Systemic Risk
Following the IMF-FSB-BIS definition, the FSLRC defines systemic risk as “[a] risk of disruption to financial services that is caused by an impairment of all or parts of the financial system and has the potential to have serious negative consequences for the real economy.”
