This course introduces the concept of Credit Behaviour During Crop Failure Events within the Tractor & Farm Equipment Credit framework. It focuses on understanding how crop failure incidents influence borrower repayment behaviour, cash flow disruptions, and overall credit risk.
Learners will explore key assessment dimensions such as climate risks, crop failure patterns, dependency on subsidies, and exposure to mono-crop cultivation, with an emphasis on independent validation and well-documented rationale. The course highlights how these factors interact to shape borrower response under stress, including delayed repayments, restructuring needs, or potential defaults. It also distinguishes credit behaviour during crop failure events from broader portfolio diversification strategies, emphasizing its role in assessing exposure-level stress response rather than portfolio-level risk distribution.
By the end of the course, participants will understand how to evaluate borrower behaviour under adverse agricultural conditions, particularly within Agricultural Income and External Risk Assessment. The course also emphasizes the role of the credit manager in validating team-level analysis, approving case recommendations, and managing segment-level exposure, including oversight of stress indicators, documentation standards, exception handling, and escalation protocols aligned with credit committee priorities.