Course Description
This intensive 2-day training program prepares participants for the growing country and geopolitical risks: The return of country risk analysis in banking and financial risk management.
On the first day we examine the complete overview of country risks: In the morning we will begin with the definitions and concepts, the taxonomy of country risks; sovereign ratings main sources of information for monitoring; Sovereign Ratings and history of defaults/recovery; country risk main methodologies (scorecards, quantitative models, credit ratings); and the Country Risk Early Warning Indicators. In the afternoon, we will cover the Sovereign Rating Core Drivers: Political, Legal and Governance Risk; Economic Growth and Structure, Recession Risk; Fiscal Flexibility Risks: Government Balance, financing & Fiscal Debt Structure; External imbalance risk; exchange rate risks; liquidity & refinance risks; External Debt structure; Monetary Risk & banking sector Risks, monetary policies.
On the second day we begin by a detailed analysis of the Country downside risks considerations and other country risks: with 2 parts: In the morning: Downside risks and scenarios: Introduction on Macro Scenarios, Taxonomy; Fiscal and External Debt Sustainability; Assessments: the concepts, IMF tools and non-sovereign country risks: Impact of sovereign risk on non-sovereign counterparties; Sovereign ceilings and rating government supported entities; Banking Sector Risk; other Country risks, including Climate Change, Sovereign ESG risks. In the afternoon, we will cover the main methods of Country Risk Management: Country Risk Monitoring: Watching, Monitoring and Due diligence; the Country Risk Mitigation techniques (hedging, insuring); the Limiting Non- Sovereign Country Risks; and finally the Generative Risk Management Tools: Sovereign Stress Testing and Scenario analysis.
What is the goal of this training?
The goal of the training is to make sure that your company understands Country Risk and can act with the right confidence and appropriate assessment and management techniques. It will well your employees to understand country risk by identifying, classifying, and assessing economic, financial and political factors, that impact it. On a more practical basis, students will be able to present data in a summarised way, study the main country risks, present baseline view, and latest developments of country risk; identify and present the main downside risks; and its latest management techniques.
Who should attend?
- Directors/Board Members of Financial Institutions
- Country Risk and Sovereign Analysts in financial institutions
- Economists in global companies
- Country AML/Reputational/ESG Experts
- Wholesale Credit Risks Analysts
- Sovereign Stress Testing and Scenario Analysts
Methodology
This training consists of classroom-based teaching combined with interactive group exercises, as well as the introduction of specific case studies.
