Following on from the IIF’s 2018 Machine Learning in Credit Risk survey, our 2nd Edition (2019) survey tracks industry progress in the adoption and implementation of these technologies.
60 firms (59 banks and 1 mortgage insurer) have participated in this survey, and the report, covering the types of techniques applied, banks’ maturity in adoption, the particular areas and functions where these are applied, benefits and challenges encountered, and supervisory engagement. The use of ML in credit risk has expanded across all geographies and across several credit risk areas and portfolio types, with particular growth with SME portfolios.
This summary report provides an abbreviated version of the report’s findings, and is a public document. A more detailed report has been prepared on a confidential basis, with distribution limited to the regulatory community and the 60 firms that participated in the survey.