← Level 2: Credit Analysis and Appraisal

Credit risk grading

Module 03 / 5 · 65 min

Turn judgment into a consistent, documented score that drives approval, collateral, pricing and follow-up intensity.

In this module you will learn to

Explain why every borrower is graded and when a re-grade is required
Score a borrower on the five-parameter model and its weights
Convert a total score into a grade and a final rating that combines grade with collateral coverage
State what each grade allows, including unsecured lending and the action plan requirement

Built on

Erudite Africa training module: Level 2: Credit Analysis and Appraisal (October 2026)
Erudite Africa: Credit Analysis Training Program overview (October 2026)
A commercial bank's Revised Credit Procedure Manual (August 2025), unnamed
NBE directives as listed in the lessons: SBB/87/2024, SBB/88/2024, SBB/90/2024, NBE/INT/13/2026, CRB/02/2019, MCR/01/2020
Movable Property Security Right Proclamation No. 1147/2019

Examples and companies are fictional. Bank practices are shown as typical Ethiopian practice, not as any one bank's policy. Always apply your own institution's approved policy and the current NBE directives.