In line with its approved Terms of Reference, the Committee should meet at least four times a year. During the year under review, the Committee met 7 times. 

Composition:

The Committee shall consist of at least four members.

Membership as at 30 June 2020:

The membership of the Committee shall be appointed by the Board from amongst the Directors of the Bank and shall be composed of a majority of Non-Executive Independent Directors. As at 30 June 2020, the Committee’s membership is equally represented between Non-Executive and Independent Non-Executive Directors; this non-adherence with the Committee’s Terms of Reference is currently under review.

Current recomposed membership:

Note: Sanjiv Bhasin, CEO, is in attendance but is a non-voting member.

The recomposed Committee is still equally represented between Non-Executive and Independent Non-Executive Directors, therefore, the Committee remains non-compliant with the membership rudiments of its Terms of Reference.

Fundamental functions comprise:

• Oversee the credit risk management of the Bank, including reviewing the loan portfolio and monitoring of large credit exposures;
• Approving/reviewing the credit risk policy and lending guidelines at least once a year;
• Approving/declining credit applications in accordance with the Bank’s Credit Risk Policy when exceeding limits delegated to Management Credit Committee;
• Reviewing and approving any deviations from the Bank’s Credit Risk Policy;
• Ensuring that management establishes adequate credit assessment processes and effective controls to identify any deterioration in the loan portfolio;
• Approving any delegation of credit approval authority to Head of Credit Risk and Management Credit Committee;
• The monitoring of impaired Credit and overall level of provisioning needs to be approved by both Board Credit Committee and Board Risk Committee; and
• Reviewing of Restructured facilities which shall be approved by both Board Credit Committee and Board Risk Committee.