Background
This project, a part of the Risk Data Aggregation and Reporting (RaDAR) program, addresses prudential compliance issues with respect to the European BCBS 239 regulation.
Wavestone is assisting the Corporate Banking arm of BNP Paribas CIB (Corporate and Institutional Banking) in the design, management, and auditing of all guarantees received within the framework of 6,000 financing contracts in the EMEA (Europe, Middle East, Africa) region. This audit is being carried out in partnership with American law firm, Jones Day.
Against this backdrop, a team of nearly 100 consultants has been working to meet the deadline imposed by the regulator at the end of 2017. The consultants are drawn from across Wavestone’s areas of excellence (Banking and Insurance, Finance and Performance, etc.), and from several of its global offices (Paris, New York, Hong-Kong, and Luxembourg).
Challenges
Wavestone is working with BNP Paribas on all phases of this guarantee audit—from design to final execution, including:
- Development of an audit grid addressing the relevant regulatory issues;
- Construction of detailed operating procedures for the consultants;
- Oversight of production and the development of control processes;
- Workflow optimization through automation.
Responses and key success factors
In total, more than 6,000 business-loan arrangements have been analyzed to date.
