2025-07-21

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Chapter IV of Supplementary Guidance on the Revised Credit Risk Framework

The regulator issued Chapter IV of the Supplementary Guidance on the Revised Credit Risk Framework to address capital adequacy and credit risk management for non-securitization exposures. This document applies to all Authorized Institutions and directly relates to the revised Supervisory Policy Manual module CA-G-4 concerning the validation of risk rating systems under the Internal Ratings-Based approach. The guidance establishes the regulatory requirements for implementing the IRB approach within the revised credit risk framework.

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Hong Kong Monetary Authority

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