rbi speech, 2006-09-27
The possible reasons could be (i) from a systemic perspective, it makes economic sense to devote more resources to evaluating the risk factors of larger loans (ii) there is a long history of ratings agency evaluations for publicly traded firms which, along with the extensive data available for publicly traded firms, provided an extremely useful benchmark for the development of quantification methods for commercial portfolios.
Sentiment: neutral
Topic: mp_risk_management