As well as the regulatory obligation, business benefits have been a major driver for organisations embarking on the path of Basel II compliance, some of which are as follows:

Reduce regulatory capital requirement to increase capital efficiency

Improve credit risk and return profile

Reduce operational losses

Improve risk governance framework

Improve data management, creating better MIS for more informed decision making

Achieve better credit rating, increasing the shareholder value

Improve brand and enhance reputation among customers, investors and industry analysts

Basel II affects every aspect of the business. The organisation is challenged to:

Secure and maintain board and senior management sponsorship

Maintain and track the overall progress of a programme which impacts all business areas

Consider the various Basel II options and assess their business impact

Adopt and embed the new risk culture and processes for Basel II to become business-as-usual

Upgrade or align IT systems for data consistency and integrity across the organisation

Identify overlaps with existing portfolio of project to leverage existing investments

With the clock ticking for Basel II readiness, many of the world's largest banks are uncertain about meeting their regulator timelines. They see significant challenges remaining in their preparations to implement Basel II.
Astek has considerable expertise in providing Basel II diagnostics and planning, and can provide you with an independent assessment of the progress of your current programme. Depending on the state of readiness, a high-level prioritised action plan, or a complete programme plan is produced to enable your organisation to achieve compliance.