Stress testing, reporting and the portfolio review

Module 05 / 5 · 70 min

Stress the book under Ethiopian scenarios, translate losses into capital, build dashboards and reports for management, ALCO, the board and NBE, and present the capstone portfolio review.

In this module you will learn to

Design Ethiopian stress scenarios and run a birr depreciation stress test on a loan book
Translate stressed losses into NPL, provision and capital ratio effects
Build a portfolio dashboard and the reports owed to ALCO, the board and NBE
Present a remediation plan in a portfolio review

Built on

Erudite Africa course specification: 1.f Loan Portfolio Management, Training Module: Ethiopian Context (October 2026)
Erudite Africa: Ethiopian regulatory register in the Training Module: Ethiopian Context (October 2026)
NBE directives as listed in the lessons: SBB/87/2024, SBB/88/2024, SBB/90/2024, SBB/95/2025; NBE Risk Management Guidelines (May 2010); NBE MPC meeting No. 7 press release (July 2026)
A commercial bank's Revised Credit Procedure Manual (August 2025), unnamed
IFRS 9 Financial Instruments
Movable Property Security Right Proclamation No. 1147/2019; the law on property mortgaged or pledged with banks (reported as Proclamation No. 97/1998)

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.