Expected Credit Loss (ECL) Study Template

Are you facing challenges in applying IFRS 9 and calculating the Expected Credit Loss (ECL) provision? Are you looking for an effective tool that simplifies this process and ensures accurate results in compliance with the standard? Do you want to simplify the ECL calculation process?

“Digital Basket Store” offers you the Expected Credit Loss (ECL) Study Template, an advanced accounting tool designed on Excel to simplify the calculation of the ECL provision according to IFRS 9. By inputting your financial data, the template generates all necessary tables and calculations automatically, saving you time and effort while ensuring accurate and effective measurement of the provision, helping you comply with the standard.

What makes the ECL Study Template the ideal tool for complying with IFRS 9 and improving credit risk management?

1. Specialized tool for calculating the ECL provision:
   • The ECL Study Template specifically focuses on calculating the ECL provision according to IFRS 9 requirements, making it an accurate and effective tool for this crucial aspect of the standard.
   • Accurate application of the standard: The template ensures the precise application of all standard requirements, avoiding any errors or violations and ensuring accurate calculations.
   • Comprehensive coverage of ECL elements: The template covers all elements of ECL calculation, including Probability of Default (PD), Loss Given Default (LGD), and Exposure at Default (EAD), ensuring a thorough and accurate provision calculation.
   • Handling different stages: The template helps you apply the requirements of different stages (Stage 1, Stage 2, Stage 3) to correctly determine the provision.
2. Ease of use through financial data input:
   • The ECL Study Template is user-friendly, requiring only the input of relevant financial data, with the template handling the rest, saving you from complex calculations.
   • Required financial data: The template requests specific financial data such as receivables data, loan data, and other relevant data for measuring credit losses, simplifying data collection.
   • Time and effort saving: The template saves you time and effort that would otherwise be spent on manual complex calculations, allowing you to focus on analyzing results and making decisions.
   • Simple interface: The template features a simple and user-friendly interface that makes data entry easy.
3. Automatic creation of necessary tables and calculations:
   • The ECL Study Template generates all necessary tables and calculations for measuring the ECL provision automatically, saving you time and ensuring accuracy.
   • Specially designed tables: The template provides tables designed specifically to display the inputs and outputs of the ECL model, making it easier to understand, analyze, and review results.

Examples of tables:

• PD calculation table: To calculate the probability of customers or borrowers defaulting on their payments.
• LGD calculation table: To estimate the percentage of loss expected in case of default.
• EAD calculation table: To determine the value exposed to loss at default.
• ECL provision calculation table: To calculate the required provision amount based on the results of the previous tables.
  • Accurate calculations: The template performs all necessary calculations accurately, ensuring reliable results.

4. Accuracy and effectiveness in measuring the provision:
   • The ECL Study Template ensures the accuracy and effectiveness of measuring the ECL provision by applying the correct equations and using the input financial data, enhancing result reliability.
   • Reliable results: The template provides reliable results that you can depend on for financial reporting, boosting investor and stakeholder confidence.
   • Reducing error risks: The template reduces the risk of errors in calculating the ECL provision, avoiding any issues with auditors.
   • Improving financial data quality: The template helps improve the quality of financial data by providing accurate and reliable information about the ECL provision.
5. Full compliance with IFRS 9 requirements:
   • The ECL Study Template is designed to comply with all IFRS 9 requirements for financial instruments, ensuring adherence to the latest international standards.
   • Compliance with international standards: The template ensures compliance with the latest international financial reporting standards, enhancing the transparency and credibility of your financial reports.
   • Enhancing transparency: The template enhances the transparency of financial reports by providing accurate and reliable information about the ECL provision, helping users understand the credit risks faced by the company.
   • Facilitating the audit process: The template facilitates the audit process for external auditors by presenting all data in an organized and accurate manner.

The ECL Study Template is the perfect solution for simplifying the ECL provision calculation process and ensuring accurate results and compliance with IFRS 9. Get it now from “Digital Basket Store” and take credit risk management in your company to a new level of efficiency, accuracy, and compliance, and start applying the international standard with confidence!