ADVOKS GLOBAL · KENYA
The Central Bank of Kenya (Mortgage Refinance Companies) Regulations, 2019
14. Credit committee
Edition: 2022-12-31 · In force
14. Credit committee
Every credit committee shall—(a)review and oversee the overall lending policy, including monitoring and risk management tools;(b)review loan applications based on established discretionary approval limits;(c)review lending practices and quality of loan portfolio;(d)ensure that there are effective procedures and adequate resources to identify and mitigate credit risk;(e)monitor and evaluate all issues that may materially impact on the present and future quality of the loan portfolio and credit risk management;(f)delegate and review lending limits to the sanctioning arms of the mortgage refinance company;(g)ensure adequate provisions for loans and advances, bad and doubtful debts and write off policy;(h)conduct loan reviews independent of any person or committee responsible for sanctioning credit;(i)ensure that the credit policy and risk lending limits are reviewed at least once on an annual basis and as and when the environment so dictates; and(j)set limits on lending exposure in line with the mortgage refinance company's risk management programs and market conditions.