WHAT WE DO
IFRS 9
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IFRS 9 Expected
Credit Losses
Accurate, IFRS-compliant Expected Credit Loss valuations delivered by qualified actuaries. From robust PD/LGD models to complex macroeconomic overlays — we handle the complexity so you can focus on your business.
Specialists in Expected Credit Losses
IFRS 9 represents a fundamental shift to a forward-looking Expected Credit Loss (ECL) model. This requires sophisticated actuarial models, significant data processing, and expert judgement to ensure accurate provisioning.
As part of Lux Actuaries & Consultants, we bring specialised experience in credit risk modeling and IFRS 9 implementations. Our team serves financial institutions across the Middle East and Africa, delivering robust, transparent, and audit-ready ECL models and reports.
Speak directly with an expert.
Discuss your reporting requirements and audit timelines.
Client Manager
Ernest Louw
Comprehensive Valuation Process
From initial model development to final audit sign-off, we handle every aspect of your IFRS 9 ECL provisioning with precision and care.
ECL Modeling & Methodology
Phase 1Expert development of Probability of Default (PD), Loss Given Default (LGD), and Exposure at Default (EAD) models.
Macroeconomic Scenarios
Phase 2Integration of forward-looking macroeconomic variables and scenario weighting for accurate ECL provisioning.
IFRS 9 Compliance Reporting
Phase 3Full compliance with IFRS 9 disclosure requirements, including stage allocation and reconciliation of ECL allowances.
Multi-Jurisdiction Expertise
OngoingValuations across the Middle East and Africa — UAE, Saudi Arabia, South Africa, and beyond. Local regulations with global standards.
Fast Turnaround
OngoingStreamlined processes and experienced teams deliver accurate ECL valuations within tight audit deadlines.
Advisory & Training
OngoingBeyond valuation reports — we help your team understand the models, assumptions, and their impact on the balance sheet.
Frequently Asked Questions
Common questions about IFRS 9 expected credit losses and our services.
An ECL model is a forward-looking approach required by IFRS 9 that estimates the credit losses an entity expects to incur over the life of a financial instrument. It replaces the old incurred loss model, requiring provisions to be made before a default event occurs.
IFRS 9 requires ECL estimates to reflect an unbiased, probability-weighted amount determined by evaluating a range of possible outcomes. This involves incorporating multiple forward-looking macroeconomic scenarios (e.g., base, upside, downside) to adjust PD and LGD parameters.
A SICR triggers the movement of an exposure from Stage 1 (12-month ECL) to Stage 2 (lifetime ECL). It is determined by comparing the risk of a default occurring at the reporting date with the risk of default at initial recognition, using both quantitative and qualitative indicators.
Ready to streamline your IFRS 9 ECL provisioning?
Partner with Lux Actuaries for independent, accurate, and audit-ready expected credit loss models under IFRS 9.
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